# Proposal from the European Parliament on Deforestation Due Diligence

> Clifford Chance published a briefing on recommendations from the European Parliament for an EU-wide due diligence framework covering imports of forest and ecosystem-risk commodities. The recommendations are broader and more stringent than the UK government's parallel proposal. The briefing analyses the key differences between the two.

- Date: 2020-11-02 · published 2020-11-02T12:00:00.000Z
- Category: policy · region EU · magnitude low
- Page: https://feedsoft.ai/events/50182-proposal-from-the-european-parliament-on-deforestation-due-diligence
- Commodities: [Soybeans](https://feedsoft.ai/c/SOY.md), [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

A binding EU due diligence rule could raise compliance costs and limit imports of soy and palm oil linked to deforestation, which would weigh modestly on export demand for those commodities. The proposal is still at the recommendation stage, so the price impact is limited for now.

## Read by commodity

- SOY: bearish ▼
- PALMOIL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SOY | 2022-11-29 | [Deforestation: What makes Europe’s due diligence proposal the ‘most efficient on the world stage’?](https://feedsoft.ai/events/38690-deforestation-what-makes-europe-s-due-diligence-proposal-the-most-efficient-on.md) | -1.3% | +1.7% |
| SOY | 2020-11-10 | [The European Parliament takes a bold stance on legislation to tackle imported deforestation - Fern](https://feedsoft.ai/events/50183-the-european-parliament-takes-a-bold-stance-on-legislation-to-tackle-imported.md) | +4.4% | +3.7% |
| 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% |
| SOY | 2023-01-16 | [MEPs approve Parliament/Council agreement on ‘imported deforestation’ EU regulation \| AGENCE EUROPE](https://feedsoft.ai/events/37812-meps-approve-parliament-council-agreement-on-imported-deforestation-eu.md) | -3.1% | +0.3% |
| SOY | 2025-11-26 | [European Parliament supports year-long deforestation law delay \| Reuters](https://feedsoft.ai/events/21985-european-parliament-supports-year-long-deforestation-law-delay-reuters.md) | -0.8% | -5.5% |
| PALMOIL | 2020-11-10 | [The European Parliament takes a bold stance on legislation to tackle imported deforestation - Fern](https://feedsoft.ai/events/50183-the-european-parliament-takes-a-bold-stance-on-legislation-to-tackle-imported.md) | +3.2% | +6.7% |
| PALMOIL | 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) | -1.0% | -8.4% |
| PALMOIL | 2018-09-11 | [European Parliament calls for tangible EU measures to help put an end to deforestation \| AGENCE EUROPE](https://feedsoft.ai/events/63050-european-parliament-calls-for-tangible-eu-measures-to-help-put-an-end-to.md) | -1.2% | -3.7% |

## Sources

- cliffordchance.com: https://www.cliffordchance.com/briefings/2020/11/proposal-from-the-european-parliament-on-deforestation-due-dilig.html

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