Achieve EUDR Compliance for Coffee

What is the Current Landscape of Coffee Cultivation and Production?

According to the International Coffee Organization’s ‘Coffee Report and Outlook,’ world coffee production in 2022-2023 was 168.2 million bags, a 0.1% increase from the previous year. South America remains the largest producer of coffee, with 89.3 million bags, followed by Asia and Oceania (49.9 million bags).

When it comes to the import of coffee into the European Union (EU), the numbers above remain consistent. In 2023, most of the EU’s coffee imports came from Brazil, amounting to about 34% of the total extra-EU imports. Vietnam was responsible for 24%, with Uganda providing 8%.

How Will the EUDR Impact the Trade of Coffee?

Relevant products must be traceable to the farm plot by geolocations and polygons uploaded into EU information systems. Each origin will be benchmarked for risk and grouped into “low,” “standard,” or “high”-risk categories. 

The coffee sector must undergo significant changes to align with the new sustainability standards:

• Traceability Enhancement
  Coffee producers will implement tracking systems to ensure transparency and verify the origins of cocoa beans, ensuring compliance with regulations. This will build consumer trust and create new market opportunities for compliant producers.
• Opportunities for Sustainable Practices
  Coffee producers can access the European market by offering sustainably sourced, deforestation-free coffee. This promotes innovation in sustainable agriculture, enhancing soil health, biodiversity, and farmers’ livelihoods.
• Supply Chain
  Coffee manufacturers and retailers must collaborate with suppliers to ensure responsible cocoa sourcing, investing in traceability technologies, farmer training, and long-term partnerships with compliant producers.
• Compliance Requirements
  Coffee producers and exporters must now provide detailed documentation proving that their coffee is not linked to deforested areas. EUDR on coffee production will provide strict compliance with deforestation-free sourcing.

What Gaps Need to be Addressed by Producers, Growers and Traders for EUDR Compliance?

A few challenges that could come out of the EUDR for coffee producers/traders include:

• Traceability and Transparency: Establish a clear and transparent supply chain to ensure that coffee is sourced from deforestation-free areas, including the maintenance of detailed records and documentation to prove compliance with EUDR requirements.
• Land Use and Deforestation Monitoring: Implement satellite and remote sensing technologies to monitor land use changes and ensure no deforestation occurs and adopt and enforce policies that commit to zero deforestation in coffee production.
• Regulatory Compliance: Understand and comply with all relevant EU regulations and standards related to coffee imports and regularly update practices and policies to align with evolving regulatory requirements.
• Country-Specific Regulations: Ensure that production is done in accordance with all country-of-origin regulations. 

Addressing these gaps will not only help in complying with the EUDR but also promote sustainable and responsible coffee production, benefiting both the environment and the industry.

How Do Certification Schemes Factor into This?

Some existing certification schemes are adapting their programs to support EUDR compliance. Rainforest Alliance certification includes a specific EUDR addon module for existing certified producers. Other certification schemes such as Fair Trade USA, Starbucks C.A.F.E. Practices, SCS Sustainably Grown and USDA Organic are expanding verification measures to address gaps in deforestation-free and plot-level tracking.

How SCS Can Help

SCS can support clients with our comprehensive EUDR services by offering tailored solutions that address each aspect of the EUDR compliance process. Here’s how we can help:

EUDR Consulting Services 

• Corporate regulatory and implementation education and advisory
• Needs assessment and strategy development
• Due diligence system development and review
• Gap and risk assessment
• Commodity and value chain traceability
• Customized verification checklists

Compliance Assessments: Review and assessment of EUDR compliance of various players within your supply chain. 

Due Diligence Integrity Assessments: Review and assessment of EUDR due diligence statements (past or current). 

Self-Paced Training: Self-paced training on EUDR compliance for those in the coffee, wood, palm oil, cocoa, and other EUDR impacted industries.

With these services, SCS enables clients to not only meet but also exceed EUDR requirements, safeguard their reputation and ensure sustainable, deforestation-free practices across their supply chains.

For more information contact: EUDR Business Group