# Industry warns against EU’s traceability plans to prevent deforestation – POLITICO

> Industry groups warn that the EU's proposed traceability rules would be extremely difficult to implement, requiring farm-level GPS mapping and digital tracing from farm to factory. Palm oil is singled out as especially hard to trace to specific plots. Under the proposal, most companies would have 12 months to comply after the law takes effect.

- Date: 2022-06-30 · published 2022-06-30T12:00:00.000Z
- Category: policy · region EU · magnitude low
- Page: https://feedsoft.ai/events/40967-industry-warns-against-eu-s-traceability-plans-to-prevent-deforestation-politico
- Commodities: [Soybeans](https://feedsoft.ai/c/SOY.md), [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

If compliance proves costly or impractical, supply of soy and palm oil into the EU could tighten or become more expensive, supporting EU premiums. Industry pushback may also lead to delays or softer rules, which would reduce that pressure.

## Read by commodity

- SOY: neutral
- PALMOIL: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SOY | 2018-11-09 | [Denmark leading the way against deforestation in the EU - The Copenhagen Post](https://feedsoft.ai/events/62076-denmark-leading-the-way-against-deforestation-in-the-eu-the-copenhagen-post.md) | +2.4% | +4.9% |
| SOY | 2020-07-10 | [EU’s trade deals can put an end to deforestation](https://feedsoft.ai/events/52143-eu-s-trade-deals-can-put-an-end-to-deforestation.md) | -0.5% | -1.9% |
| SOY | 2022-03-02 | [WTO Committee Discusses EU Plans to Combat Deforestation \| International Institute for Sustainable Development](https://feedsoft.ai/events/42299-wto-committee-discusses-eu-plans-to-combat-deforestation-international.md) | -0.1% | -3.7% |
| SOY | 2024-05-23 | [What is the EU Deforestation Regulation (EUDR)? - Sustainability Online](https://feedsoft.ai/events/30266-what-is-the-eu-deforestation-regulation-eudr-sustainability-online.md) | -2.9% | -6.9% |
| SOY | 2022-06-30 | [Industry groups still find fault with proposed EU deforestation law](https://feedsoft.ai/events/40968-industry-groups-still-find-fault-with-proposed-eu-deforestation-law.md) | -5.0% | -3.9% |
| PALMOIL | 2021-12-20 | [Lives and forests at risk: Indonesia shows flaws in EU’s plans to fight deforestation – POLITICO](https://feedsoft.ai/events/43617-lives-and-forests-at-risk-indonesia-shows-flaws-in-eu-s-plans-to-fight.md) | +1.3% | +11.0% |
| PALMOIL | 2022-03-02 | [WTO Committee Discusses EU Plans to Combat Deforestation \| International Institute for Sustainable Development](https://feedsoft.ai/events/42299-wto-committee-discusses-eu-plans-to-combat-deforestation-international.md) | -2.6% | -3.6% |
| PALMOIL | 2022-06-30 | [EU Deforestation Regulation: Will the traceability requirement hold smallholder producers back? - AidEnvironment](https://feedsoft.ai/events/40970-eu-deforestation-regulation-will-the-traceability-requirement-hold-smallholder.md) | -24.6% | -29.3% |

## Sources

- politico.eu: https://www.politico.eu/article/industry-warn-against-eu-traceability-plan-prevent-deforestation/

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