No more delays: EU pushes ahead with EUDR, markets eye premiums – ASAP Agri

Last week, the European Commission confirmed its intention to move forward with the EU Deforestation Regulation (EUDR) despite earlier discussions about a possible one-year postponement. Instead of a full delay, Brussels plans to introduce a six-month grace period for compliance and enforcement, along with simplified rules for smaller operators.

The EUDR aims to cut Europe’s contribution to global deforestation, ensuring that products such as soybeans, palm oil, cocoa, coffee, beef, and timber no longer come at the expense of the world’s forests.

Under the proposal, large and medium-sized companies will still be required to comply from 30 December 2025, but enforcement will begin only after mid-2026. Micro- and small enterprises will have until 30 December 2026 to meet the requirements. The European Parliament and the Council are expected to adopt the amendment by the end of 2025, clearing the way for the regulation to take effect without interruption.

Rather than delaying implementation, the Commission is focusing on making compliance more manageable. Small and micro “primary operators” — those with annual turnover below 12 MLN EUR in low-risk countries — will no longer need to submit detailed due-diligence reports. Instead, they’ll file a one-time declaration confirming the origin and production location of their products.

If Brussels’ plan is adopted and no further delay occurs, the market will begin forming EUDR-compliant supply chains as early as next year. For soybean oil and meal, crushers estimate an initial EUDR premium at around 10–15 USD/MT, depending on verification costs and buyer confidence, with few buyers willing to pay ahead of certainty.

Christina Serebriakova, CEO of ASAP Agri and broker at Atria Brokers, notes: “If we add any kind of premium to Ukrainian soybean meal right now, we won’t sell a single tonne.” Her remark captures the mood among traders — cautious, pragmatic, and shaped by last year’s experience, when expectations of an early EUDR rollout created a “virtual premium” of 25–30 USD/MT for soybean meal that vanished once the law was postponed.

https://asapagri.com