The recent deferment of a European Union policy aimed at curbing deforestation has sparked significant concern among leading food manufacturers.
Nestlé, Ferrero, Unilever, and Mars have publicly opposed the EU’s decision to postpone this landmark deforestation regulation, originally set to be enforced from 30 December. The companies argue that the delay spreads uncertainty across the supply chain, potentially jeopardising investments. The law intends to restrict the sale of products derived from commodities like cocoa and palm oil grown on deforested lands, a measure that has faced resistance from commodity-producing countries such as Brazil, Indonesia, and Malaysia.
In a unified statement, these confectionery leaders highlighted the vulnerability of firms reliant on cocoa and rubber imports, indicating that further delays could exacerbate material sourcing uncertainties. Francesco Tramontin, Vice President of Global Public Affairs at Ferrero, emphasised in the Financial Times the importance of ‘avoiding potential reopening of the regulation’ to preserve company investments towards sustainable practices.
Bart Vandewaetere, Vice President of ESG Engagement for Nestlé Europe, reiterated that compliance with the regulation is a priority, with significant strides made by suppliers towards meeting its requirements. He urged policymakers to retain the regulation’s core framework, thus avoiding further disruptions.
This collective corporate stance follows earlier appeals from supermarket giants advocating for regulations in line with EU standards to address the impact of commodities linked to deforestation.
The postponement of the EU’s deforestation law has ignited a fervent response from major players in the food industry, underscoring the importance of regulatory stability in advancing sustainable practices.
