As you are likely aware, on June 29, 2023 the EU Regulation on Deforestation-Free Products (EUDR), entered into force. This means that coffee imported into the EU as of December 30, 2024 needs to be produced on land that was not deforested after December 31, 2020 and in accordance with relevant national legislation. For this purpose, each operator needs to submit a Due Diligence statement and corresponding geolocation data for all plots of land where the coffee was produced.

Despite the text of the regulation and FAQs being published by the European Commission, some critical points remain unclear in their interpretation and practical implementation. We are actively monitoring and accompanying the developments, among others via the European Coffee Federation, and will continue to update you.

With NKG, you are prepared for the EUDR

The EUDR prohibits the placing on, making available on and export from the EU market of a range of products e.g., coffee, if they are not deforestation-free.
Through our supply chain programs and our long-standing relations into supply chains and presence in origins of NKG exporters, we are in the best position to to implement the EUDR.

EUDR – Relevant dates

31st December 2020

Cut-Off Date for Deforestation:
Any coffee produced on land that was under agricultural use and not considered forest at the cut-off is eligible under EUDR.

29th June 2023

Entry into force

30th December 2024

Relevant obligations for companies enter into applicability:

Only coffee produced on non-deforested land and in compliance with national legislation can enter the EU
EU-based companies need to provide geodata of all plots of land where coffee was grown, perform Due Diligence and issue a Due Diligence Statement
Confiscation, destruction or donation, and penalties of at least 4% of turnover in case of non-compliance

30th June 2025

Delayed entry into applicability of due diligence requirements for small- and micro-undertakings (operators).

What NKG is Doing to Support You

Our Objectives: Ensure an undisturbed flow of coffee into the EU, create a common NKG Due Diligence System, strengthen customer relationships, and minimize transaction costs through efficient information sharing with customers and suppliers.
Through our 17 export companies, NKG has established long-standing relationships with suppliers and possesses in-depth knowledge of the local coffee sectors.
An effective response to EUDR requires substantial efforts and investments in both human and technical resources. Luckily, we can leverage the power of over 300 colleagues working in sustainability globally.
Our proprietary supply chain programs NKG Verified and NKG Bloom exceed the requirements of EUDR and other regulations, serving as initial blueprints for compliance. All NKG Verified supply chains and some NKG Bloom supply chains will be EUDR aligned by the end of Q3-2024. Furthermore, our field teams work daily with producers, providing services to address root causes of deforestation.
Working full speed to fill the remaining gaps and provide compliant coffees in a reliable manner for our customers in Europe and keep Europe an attractive market, as we have done for decades. We are determined to ensure business continuity as we have done for the past decades.
Continue to engage and drive coordinated pre-competitive or industry efforts on an international and national level. While EU-based companies are the ones directly affected by the regulation, the clear majority of the workload needs to be covered in the origins.
Country-level risk assessments and engagement with our suppliers via our Supply Chain Integrity Program, SCIP.
Deforestation monitoring method: We have developed a comprehensive and reproducible deforestation analysis method based on public data. We will publish a more comprehensive document about our EUDR due diligence approach.
Osapiens is our partner in our mission to enhance supply chain management and regulatory compliance. With osapiens, we will harmonize data, establishing clear protocols for both suppliers and customers. For seamless and efficient data flow, a single endpoint will be provided and complemented by a portal, including applicable EU TRACES information. Additionally, osapiens offers a comprehensive range of capabilities for business partner due diligence. NKG will be able to deliver complete information packages at a shipment level, ensuring thorough and accurate documentation.