A significant delay to the European Union’s new deforestation law has sparked protests from leading food and drink companies.
Several major food manufacturers have expressed strong opposition to the European Union’s decision to postpone a key deforestation law. Initially scheduled for implementation at the end of December, the law aims to prohibit the sale of foods containing commodities produced on deforested land, including cocoa, palm oil, rubber, and wood.
Concerns have arisen due to the European Commission’s decision to delay the law following intense lobbying from producer nations such as Brazil, Indonesia, and Malaysia. The delay has prompted companies like Nestlé, Unilever, Mars, and Ferrero to jointly oppose the move, citing uncertainties that could disrupt and jeopardise industry investments.
In a statement, these confectionery leaders cautioned that further delays from the European parliament could make companies dependent on cocoa and rubber imports susceptible to supply chain uncertainties. They stress the necessity of a stable regulatory environment to ensure an uninterrupted supply of materials.
Francesco Tramontin, the Vice President of Global Public Affairs at Ferrero, highlighted the importance of solidifying current regulations to safeguard preparations made by companies and to promote further investments in sustainable practices. “Avoiding potential reopening of the regulation is crucial,” he stated, underscoring the efforts already undertaken by businesses.
Bart Vandewaetere, Vice President of ESG Engagement for Nestlé Europe, pointed out the efforts made by their suppliers towards meeting the proposed law’s requirements. He urged policymakers to maintain the law’s core structure without reconsidering it, emphasising industry readiness for compliance.
This development follows earlier calls by supermarket giants this year demanding governmental action to address commodities that contribute to deforestation, aligning national measures with EU standards.
The postponement of the EU’s deforestation law has created uncertainty within the food and drink sector, with leading companies urging for a swift resolution to stabilise supply chains and sustain investments in sustainable practices.