Companies that have paid to source agricultural produce that complies with the European Union’s anti-deforestation law would lose out if the EU decides to delay implementing the legislation by a year, industry groups and traders said.
Deforestation is the second largest source of the greenhouse gas emissions that cause climate change after the burning of fossil fuels, according to the European Commission. The EU had planned to ban the import of commodities from suppliers unable to prove their goods were not linked to deforestation.
The EU Deforestation Regulation (EUDR) would have impacted imports of cocoa, coffee, cattle, soy, oil palm, timber, rubber and related products such as chocolate and leather.
It was scheduled to come into effect Dec. 30, but the EU Commission recently proposed a 12-month delay, under pressure from industries and governments who said it would cause supply chain disruptions, exclude poor, small-scale farmers from the EU market and drive up the cost of basic foodstuffs because many farmers and suppliers were not ready to comply.
The EU’s vegoil and oilmeal group Fediol said its members, which include trading giants such as Cargill and food processors such as AAK, will suffer losses from a delay after paying premiums to secure raw materials that comply with the law.
“It’s a financial loss they are making by having been ready on time,” Fediol director general Nathalie Lecocq said.
Cocoa processors and chocolate makers face the same scenario with traders saying they had sold deforestation free beans to them at a premium of up to six per cent.
The premium will now likely fall to zero because consumers won’t be willing to pay more for cocoa that complies with a law that has been pushed back.
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Time for huge tariffs on European imports if they are barring our exports for such bone head reasons. Then put the same tariff on their manufacturing that they put on our agriculture. And while we are at it, how about 100 % tariff on China for all the shit they’ve pulled in destroying our economy.
Toxic Green®
there. see? now we know why the TURDeau is staying on; he isnt finished smashing the Cdn economy, health care, housing (he did good on that eh?) immigration, gun legislation, aboriginal issues.
pretty much as claimed he screws up everything he touches but helloooo!!! CanaDUH !!!!
IT WAS PLANNED RIGHT FROM THE START. BEFORE HE RAN FOR MP THAT FIRST TIME.
THIS
IS
THE
TURDEAU
LIBERAL
PLAN. and compliant sheeple Canaduhians clearly AGREE. thus 3 election victories.
now tell me lm wrong . . . . .
The EU is a cesspool of green theocracy and Islamic immigration. It likely won’t survive the rest of this decade. Italy must be thinking seriously of departing.
So Cargill has complied with all the BS paperwork and incurred some costs, but was happy to do so to shut out smaller competition. Now they’re stuck with the costs and prefer to continue with the sham to recoup them. This is what’s bad about government regulation and unlevels of playing field.
Here in canuckistan, the grain companies just have the farmers sign attestation to the fact that they have not pushed bush (cleared land for farming) and then go on buying grain as they normally would. No price premiums are given. There is still some land clearing going on anyways. Some who do that, segregate that grain and ship it to saudi owned G3 terminals instead. If there is an issue with a buyer regarding this, and you have sold grain off newly cleared land then the grain company could sue you. That is how business is done here in canuckistan. The offending grain is then sold at a discount and life goes on as usual.
There is a yogurt company in Europe that has to stop buying cheap soya beans from Brazil (to feed its dairy cows) because they can’t guarantee the soya beans didn’t come from deforested Brazilian forest. No problem. They are sourcing their beans from Asia at a higher price and the Asians are sourcing their beans from Brazil at a lower price. See what happens when a bureaucrat tries to eliminate deforestation? Price of yogurt goes down in Asia.