EUDR system reduces administrative burden by 75%

On May 26, the Ministry of Agriculture and Environment, in coordination with the European Union Delegation to Viet Nam and GIZ, organized a conference updates on the European Union Deforestation Regulation (EUDR) following the official announcement on May 4.

‘Low risk’ does not mean no risk

In his opening remarks, Mr. Nguyen Do Anh Tuan, Director General of the International Cooperation Department (also Head of the Working Group), stated that the meeting aimed to update government agencies, organizations, businesses, and interested stakeholders on the latest EUDR, as well as Vietnam’s achievements and progress in the forestry, coffee, and rubber sectors.

Key changes introduced in the latest update include the simplification of due diligence statements for micro and small enterprises at the primary production stage; updates to the scope of covered products, including the addition of instant coffee and palm oil derivatives; permission for businesses to voluntarily form groups; and upgrades to the information technology system.

“However, Viet Nam being classified as a ‘low-risk’ country for deforestation does not mean there is no risk, nor does it exempt businesses from due diligence obligations and transparency standards,” Mr. Tuan emphasized.

The third version of the guidance document issued this month has introduced many new challenges and technical bottlenecks, requiring Viet Nam to promptly complete forest boundary maps, cultivation area databases, control and traceability systems, and strengthen capacity for businesses and smallholder farmers.

Automation and support for small and medium-sized enterprises

According to updates from the EU Delegation to Viet Nam, First Secretary Cyril Loisel assessed Viet Nam’s deforestation rate as low, allowing businesses to benefit from simplified due diligence requirements.

This means that coffee exporters to the EU can use publicly available information to demonstrate low-risk status without having to conduct in-depth assessments across the entire supply chain.

EU is also upgrading the platform toward greater automation, enabling businesses to connect directly instead of manually entering data. The new system will include simplified declaration functions for small businesses, registration of new user roles, voluntary group formation such as cooperatives or industry associations, and improved interoperability with the data systems of EU member states.

“According to our assessment, these changes will help reduce the administrative burden for businesses by around 75%,” First Secretary Cyril emphasized.

Businesses should note that the regulation will take effect from 30 December 2026. The EU is currently focusing on supporting the implementation process and ensuring the regulation is successfully applied.

We have also released an updated version of the Frequently Asked Questions (FAQs), compiling the issues most frequently raised by businesses across different countries and supply chains.

Several adjustments have also been made to the list of products covered by the regulation. For example, certain leather products used in the production of footwear and handbags have been removed from the scope.

In the coffee sector, the EUDR has been expanded to include instant coffee produced from coffee beans, as this product may also pose deforestation risks in certain regions. However, he noted that the inclusion of instant coffee does not create significantly more information requirements compared to coffee beans and can be integrated relatively easily.

Mr. Cyril Loisel stated: “We highly appreciate Viet Nam’s cooperation and coordination in implementing the EUDR in recent years. At the same time, many coffee, rubber, and timber supply chains are also actively preparing to participate in the implementation of the regulation.”

The Ministry of Agriculture and Environment, together with local authorities and international organizations, is accelerating reviews, field inspections, and updates of forest cover and cultivation area data to harmonize different information sources, thereby building an accurate and reliable mapping database system.

At the meeting, Agriculture Team Leader at GIZ Viet Nam Sonja Esche, provided updates on the support activities implemented by the SAFE project in the two provinces.

In Sơn La Province, the project organized four training-of-trainers courses on the EUDR and geolocation data collection using the GROUND tool, along with 43 training sessions for 1,251 farmers, of whom 51% were women, on EUDR requirements. The project also supported two coffee nurseries for the TN1 and TN2 varieties, which were recognized as clonal gardens, and developed 7.5 hectares for replanting and grafting rehabilitation.

In Gia Lai Province, the project established 10 hectares of intercropping and agroforestry models, developed two livelihood models for coffee farming households living near forests, and organized training courses for trainers.