Coffee industry striving to adapt to EU’s anti-deforestation law
Vietnam’s coffee industry needs to take measures to adapt to a new European Union (EU) law that prevents the import of commodities linked to deforestation.
Hanoi (VNA) – Vietnam’s coffeeindustry needs to take measures to adapt to a new European Union (EU) law thatprevents the import of commodities linked to defore𒀰station.
The law, passed in late June and will come into effect by the end of 2024, requires companies sellingcommodities into the EU to produce a due diligence statement andverifiable data proving their goods were not grown on land deforested after2020. The new law covers cattle, cocoa,coffee, beef, soy, palm, timber, and their derivatives such as chocolate, tire, and furniture. The EU is the largest coffee importer from Vietnam. In 2022, Vietnam exported to the EU 689,049 tonnes, worth nearly 1.5billion USD, up 25.8% in volume and 45.4% in value compared to 2021. Being impacted by the new EU law,Vietnamese coffee exporters now have to ensure that the coffee they export isnot linked to deforestation. According to the Vietnam Coffee andCocoa Association, coffee farmers in Vietnam face a major difficulty inensuring traceability. They usually grow coffee in small areaswhich are mostly about 0.5ha or less. It’s not easy for them to prove theorigin of their farming land or afford costs to improve the traceability fortheir coffee. However, according to the association, towell-invested businesses, satisfying green and sustainable standards can bringthem a great opportunity to enhance their products’ value and brands. According to experts, the application ofdigital technology is crucial to meeting the regulation on non-deforestationproducts./.
Vietnam needs to develop a coffee value chain to help the industry develop along an integrated, multi-valued and humane direction, so that coffee growers can receive the most benefits in the value chain, said Minister of Agriculture and Rural Development Le Minh Hoan.
The EU's ban on deforestation-linked imports are causing concern among Vietnamese producers as the requirements to trace commodities back to their origin can push up costs and entail finding alternative suppliers.
Measures to develop coffee production and supply without causing deforestation following regulations of the European Union (EU) were discussed during a conference jointly held by the Ministry of Agriculture and Rural Development (MARD) and the EU Delegation to Vietnam on June 29.
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