Starting in 2026, companies selling coffee in the European Union must ensure their products are free from deforestation. This regulation aims to combat global deforestation driven by coffee and other agricultural products. The EU Deforestation Regulation requires companies to trace coffee beans back to their exact origins, ensuring no forests were cleared after December 31, 2020. This change will significantly impact coffee production and trade, especially for small farms that may struggle to meet the new requirements.
• Companies must provide GPS coordinates and proof of non-deforestation for coffee origins.
• Small farms may lose market access if they cannot comply with the new rules.
• Larger growers with existing tracking systems could benefit from the regulations.
• Agroforestry practices may help farmers meet sustainability goals while growing coffee.
This shift is crucial for promoting sustainable coffee consumption in Europe. However, it could lead to higher prices and reduced availability for consumers globally. As demand for traceable and sustainable coffee increases, the market dynamics may change, affecting prices and supply for coffee drinkers everywhere.
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