The food industry is concerned about new EU rules that will require companies to prove their goods have not been produced on recently deforested land. These rules will affect commodities like palm oil, coffee, cocoa, beef, soy, and rubber. The industry feels that the EU has not provided enough detail and is worried about the lack of time to prepare before the rules come into force in 2024.
Companies will need to precisely locate where their commodities were produced and will be subject to extra checks, but the details of this process have not been finalized. There are concerns that the new rules will raise prices for consumers without effectively reducing deforestation. On the other hand, some argue that the industry has already had time to prepare and that the EU and companies should work with producing countries to prevent negative impacts.
Overall, the industry is worried about the lack of clarity and time to prepare for these new regulations. Data solutions start-ups are experiencing increased interest from companies trying to comply with the rules. However, there are limitations to how much technology can aid compliance due to the reluctance of suppliers and traders to disclose details about their commodity sources.
>>Join our Facebook Group be part of community. <<