Evidence of zero deforestation<\/strong> since the 2020 cut-off date<\/li>\n\n\n\n
If you\u2019re the first to place soy on the EU market, you\u2019re considered an operator under the regulation. Everyone else involved in the trade or resale is classified as a trader and still has reporting obligations.<\/p>\n\n\n\n
Which Soy Products Fall Under the Regulation?<\/h2>\n\n\n\n
The EUDR doesn\u2019t just apply to whole soybeans. It covers a wide list of soy-derived products, and each one must meet the same compliance requirements.<\/p>\n\n\n\n
Products include:<\/p>\n\n\n\n
- \n
- Whole soybeans, with or without shells<\/li>\n\n\n\n
- Soybean flour and meal<\/li>\n\n\n\n
- Soybean oil (refined or crude, but not chemically modified)<\/li>\n\n\n\n
- Oilcakes and solid residues from soybean oil extraction<\/li>\n<\/ul>\n\n\n\n
No matter how processed the product is, it must be traceable to the original farm plot.<\/p>\n\n\n\n
![\"\"](\"https:\/\/eudr.co\/wp-content\/uploads\/2025\/09\/deforestation9-1-1024x683.jpg\")
<\/figure>\n\n\n\nTraceability Isn\u2019t Easy, Especially for Soy<\/h2>\n\n\n\n
The soy supply chain is messy by nature. It starts with thousands of smallholder farmers and ends in bulk exports from crushing plants and ports. Along the way, soy from different farms is often mixed. That\u2019s where the real compliance challenges begin.<\/p>\n\n\n\n
In a typical scenario:<\/p>\n\n\n\n
- \n
- Soy is harvested from many farms and brought to a local silo<\/li>\n\n\n\n
- It\u2019s mixed with other loads during transport or storage<\/li>\n\n\n\n
- It gets crushed, refined, or further processed<\/li>\n\n\n\n
- By the time it\u2019s exported, the origin data might be gone<\/li>\n<\/ol>\n\n\n\n
To stay compliant, companies must put systems in place to prevent mixing or at least track each load separately. This may involve using segregated silos, clear batch coding, and a first-in-first-out approach at storage facilities.<\/p>\n\n\n\n
What Good Geolocation Data Looks Like<\/h2>\n\n\n\n
The regulation is very clear: every soy shipment must be linked to precise geolocation coordinates. That means providing either:<\/p>\n\n\n\n
- \n
- Point coordinates<\/strong> (latitude and longitude) for small plots<\/li>\n\n\n\n
- Polygon boundaries<\/strong> for larger or irregular fields<\/li>\n<\/ul>\n\n\n\n
But collecting this data isn\u2019t as straightforward as it sounds. Some small farmers don\u2019t have GPS equipment. Others may give approximate or outdated coordinates. In remote areas, map accuracy is also a problem.<\/p>\n\n\n\n
Here\u2019s what strong geolocation practices should include:<\/p>\n\n\n\n
- \n
- Validated coordinates with no overlaps or inconsistencies<\/li>\n\n\n\n
- Regular satellite monitoring for land-use changes<\/li>\n\n\n\n
- Local verification teams to check field boundaries<\/li>\n\n\n\n
- Centralized databases to store farm-level data<\/li>\n<\/ul>\n\n\n\n
Building a Real Due Diligence System<\/h2>\n\n\n\n
A due diligence system isn\u2019t just a document. It\u2019s an ongoing process for identifying risks and making sure your soy stays compliant.<\/p>\n\n\n\n
To build one, you\u2019ll need to:<\/p>\n\n\n\n
- \n
- Map out your entire supply chain<\/strong>, including intermediaries<\/li>\n\n\n\n
- Collect legal proof<\/strong>, like land tenure documents and farming permits<\/li>\n\n\n\n
- Assess the risk<\/strong> using real-world factors, like:
\n- \n
- Country risk scores<\/li>\n\n\n\n
- Proximity to protected or forested areas<\/li>\n\n\n\n
- Presence of Indigenous communities<\/li>\n\n\n\n
- Historical deforestation trends
<\/li>\n<\/ul>\n<\/li>\n\n\n\n - Set up mitigation plans<\/strong> to deal with any red flags<\/li>\n<\/ol>\n\n\n\n
Mitigation might involve field audits, remote sensing tools, or even switching suppliers in extreme cases.<\/p>\n\n\n\n
What Happens When You Find a Risk?<\/h2>\n\n\n\n
Let\u2019s say you identify soy coming from an area with a history of deforestation. Or maybe a supplier can\u2019t prove land rights. The regulation doesn\u2019t expect perfection, but it does require action.<\/p>\n\n\n\n
You\u2019ll need to:<\/p>\n\n\n\n
- \n
- Ask for more documentation<\/li>\n\n\n\n
- Delay or block the shipment<\/li>\n\n\n\n
- Commission a local inspection<\/li>\n\n\n\n
- Work with suppliers on corrective steps<\/li>\n\n\n\n
- Flag the load as high risk in your system<\/li>\n<\/ul>\n\n\n\n
Only once the risk is reduced to \u201cnegligible\u201d can you submit your due diligence statement.<\/p>\n\n\n\n
Submitting the Due Diligence Statement (DDS)<\/h2>\n\n\n\n
Once your data checks out, you\u2019re required to submit a DDS to the EU\u2019s centralized system. This statement includes:<\/p>\n\n\n\n
- \n
- Commodity details<\/li>\n\n\n\n
- Geolocation coordinates<\/li>\n\n\n\n
- Documentation of legality<\/li>\n\n\n\n
- Confirmation of zero deforestation<\/li>\n\n\n\n
- Description of your due diligence process<\/li>\n<\/ul>\n\n\n\n
After submission, you\u2019ll get a reference number that must be used during customs clearance. If you can\u2019t produce that number, your shipment could be delayed or rejected.<\/p>\n\n\n\n
![\"\"](\"https:\/\/eudr.co\/wp-content\/uploads\/2025\/09\/deforestation9-1024x768.jpg\")
<\/figure>\n\n\n\nOngoing Monitoring: It Doesn\u2019t Stop After One Shipment<\/h2>\n\n\n\n
EUDR compliance isn\u2019t a one-time thing. It requires continuous monitoring, especially for high-volume or high-risk supply chains.<\/p>\n\n\n\n
Best practices for long-term monitoring include:<\/p>\n\n\n\n
- \n
- Regular satellite imagery checks on known farm plots<\/li>\n\n\n\n
- Routine supplier updates and re-verification<\/li>\n\n\n\n
- System alerts for land-use changes or flagged areas<\/li>\n\n\n\n
- Annual risk re-evaluations and updates to your DDS<\/li>\n<\/ul>\n\n\n\n
Some platforms even integrate these features automatically, helping you spot compliance gaps in real time.<\/p>\n\n\n\n
Supporting Smallholders Without Losing Compliance<\/h2>\n\n\n\n
Many soy traders rely on smallholder producers. But these producers are often the least equipped to provide the required documentation or coordinate data.<\/p>\n\n\n\n
Instead of cutting them out, companies should consider:<\/p>\n\n\n\n
- \n
- Offering training on mapping and documentation<\/li>\n\n\n\n
- Helping digitize their field records<\/li>\n\n\n\n
- Using mobile tools for geolocation collection<\/li>\n\n\n\n
- Creating shared compliance platforms that multiple buyers can access<\/li>\n<\/ul>\n\n\n\n
This not only helps with EUDR alignment, but also strengthens long-term supply partnerships.<\/p>\n\n\n\n
- Collect legal proof<\/strong>, like land tenure documents and farming permits<\/li>\n\n\n\n
- Map out your entire supply chain<\/strong>, including intermediaries<\/li>\n\n\n\n
- Polygon boundaries<\/strong> for larger or irregular fields<\/li>\n<\/ul>\n\n\n\n
- Point coordinates<\/strong> (latitude and longitude) for small plots<\/li>\n\n\n\n
![\"\"](\"https:\/\/eudr.co\/wp-content\/uploads\/2025\/06\/eudr.png\")
<\/figure>\n\n\n\n