# Council adopts new rules to cut deforestation worldwide

> The Council of the EU gave final approval to a regulation requiring operators who place palm oil, cattle, wood, coffee, cocoa, rubber and soy on the EU market, or export from it, to trace those goods back to the plot of production. The rules set a cut-off of 31 December 2020, so only products grown on land not deforested after that date may be sold in or exported from the EU.

- Date: 2023-05-16 · published 2023-05-16T12:00:00.000Z
- Category: policy · region EU · magnitude medium
- Page: https://feedsoft.ai/events/35969-council-adopts-new-rules-to-cut-deforestation-worldwide
- Commodities: [Soybeans](https://feedsoft.ai/c/SOY.md), [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Mandatory traceability and a deforestation cut-off could tighten EU access for soy and palm-based feed and oil supplies, shifting trade toward compliant origins and adding cost that may support prices for verified-clean supply. The impact depends on how strictly compliance is enforced and when it takes effect.

## Read by commodity

- SOY: bearish ▼
- PALMOIL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SOY | 2022-12-06 | [Council and Parliament strike provisional deal to cut down deforestation worldwide](https://feedsoft.ai/events/38271-council-and-parliament-strike-provisional-deal-to-cut-down-deforestation.md) | +1.6% | +2.8% |
| SOY | 2023-05-19 | [EU adopts new rules for deforestation-free products \| White & Case LLP](https://feedsoft.ai/events/35970-eu-adopts-new-rules-for-deforestation-free-products-white-and-case-llp.md) | -0.7% | +10.0% |
| SOY | 2021-11-16 | [EU Targets Key Commodities in New Rules to Prevent Deforestation - Bloomberg](https://feedsoft.ai/events/44101-eu-targets-key-commodities-in-new-rules-to-prevent-deforestation-bloomberg.md) | +1.4% | +0.2% |
| SOY | 2019-12-16 | [EU action to protect the world’s forests – Council adopts conclusions - PubAffairs Bruxelles](https://feedsoft.ai/events/55607-eu-action-to-protect-the-world-s-forests-council-adopts-conclusions-pubaffairs.md) | +2.3% | +2.3% |
| SOY | 2023-04-19 | [Parliament adopts new law to fight global deforestation  \| News \| European Parliament](https://feedsoft.ai/events/36437-parliament-adopts-new-law-to-fight-global-deforestation-news-european-parliament.md) | -4.9% | -10.2% |
| PALMOIL | 2022-12-06 | [Council and Parliament strike provisional deal to cut down deforestation worldwide](https://feedsoft.ai/events/38271-council-and-parliament-strike-provisional-deal-to-cut-down-deforestation.md) | -4.6% | +3.7% |
| PALMOIL | 2023-05-19 | [EU adopts new rules for deforestation-free products \| White & Case LLP](https://feedsoft.ai/events/35970-eu-adopts-new-rules-for-deforestation-free-products-white-and-case-llp.md) | +0.3% | -1.0% |
| PALMOIL | 2021-11-16 | [EU Targets Key Commodities in New Rules to Prevent Deforestation - Bloomberg](https://feedsoft.ai/events/44101-eu-targets-key-commodities-in-new-rules-to-prevent-deforestation-bloomberg.md) | +1.7% | -6.5% |

## Sources

- consilium.europa.eu: https://www.consilium.europa.eu/en/press/press-releases/2023/05/16/council-adopts-new-rules-to-cut-deforestation-worldwide/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.