Updated May 2026

EUDR guide: for your sector.

Choose your sector – and see straight away what the EU Deforestation Regulation actually requires of you, what the process looks like and which solution fits you. No legal jargon.

8 sector guides · Glossary · Frequently asked questions
1. Choose your sector

Which obligations apply to me?

Click on your sector – we will show you the key points straight away.

Sawmills
Role: usually downstream · own statement only when importing directly

Sawmills process raw timber into sawn timber, boards, beams or chipboard. If they buy timber that has already been placed on the market with a due diligence statement, they have – since the 2025 amendment – been downstream operators: no statement of their own, but collecting and retaining reference numbers. Only when importing directly does the full due diligence obligation with your own statement apply.

Your obligations

  • Collect, check and document your suppliers' reference numbers.
  • Track the batch continuously through the plant – even after processing, its link to the incoming reference must remain traceable.
  • Pass the reference number on to the customer at the point of sale.
  • Archive all records digitally for five years.
  • Only when importing directly: capture geolocation and legality evidence, assess risk and file your own due diligence statement via TRACES NT.

Typical process

  • A truck of raw timber arrives at the plant – delivery documents are scanned.
  • Intake form: capture supplier, reference number, species, quantity and batch (for direct imports also geolocation and permit).
  • The risk indicator shows green, amber or red. For amber/red: four-eyes approval.
  • The supplier's reference is imported and checked – for direct imports, your own statement.
  • The batch is tracked through the plant: oak log 2026-1182 → planks 2026-1182-A.
  • At the point of sale the statement reference is attached to the delivery note.

What the software must handle

  • Goods-intake form with species, batch, geolocation and permit
  • Automatic risk indicator based on the EU country list
  • Automatic due diligence statement with TRACES NT integration
  • Batch tracking throughout processing
  • Integration with your existing ERP system
  • 5-year archive with an authority file at the touch of a button
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2. Basics

EUDR at a glance

The key topics in brief – tap a question to read the answer.

What is the EUDR exactly?

The EU Deforestation Regulation – Regulation (EU) 2023/1115 – is an EU law with a clear goal: no longer selling products that destroy forests. It replaces the old Timber Regulation (EUTR).

It covers timber, cattle, cocoa, coffee, palm oil, soy, rubber – and everything made from them. The decisive cut-off date is 31 December 2020: areas cleared after that date are off limits.

Which products are affected?

Practically every timber product – from oak logs and sawn timber to finished furniture. Also wooden pallets, chipboard, parquet, doors, windows, packaging, firewood, charcoal, paper and cardboard.

In addition: beef, leather, coffee, cocoa, chocolate, soybeans, soybean oil, palm oil and all foods or cosmetics made from them, as well as natural rubber and tyres.

When does the EUDR take effect?

30 December 2026 for large and medium-sized companies.
30 June 2027 – only for natural persons, micro and small undertakings established as such on 31 December 2024 – only for micro and small enterprises, and only for products not already covered by the old Timber Regulation (EUTR) – so not for timber.

The amending Regulation (EU) 2025/2650 pushed the deadlines back by twelve months – they are now final. Tip: SMEs should also start earlier, because larger customers often need clean data as early as the end of 2026.

What is a due diligence statement?

The due diligence statement (DDS) is the formal proof that you have met your obligation. It is submitted via the EU system TRACES NT. You receive a reference number, which you pass on to the next buyer in the chain.

Content: operator, product with HS code and scientific name, country, geolocation, harvest date and confirmation that the due diligence obligation has been met.

What is geolocation data and how precise must it be?

The exact location of the harvest area – as a GPS point (for areas under 4 hectares) or as a polygon (for larger areas). Precision: at least six decimal places for longitude and latitude.

Every modern smartphone handles this easily. In Germany, the federal states' forestry cadastres also help (e.g. BayernAtlas).

What penalties apply?

For breaches, fines of up to 4% of EU-wide annual turnover are possible. In addition: confiscation of the goods, a temporary market ban, exclusion from public contracts, and an entry on a public list.

Important: the penalties are graduated. Anyone who documents honestly and cooperates on a first breach gets off considerably more lightly. For intentional breaches, the authorities come down harder.

Am I an operator or a trader?

An operator is anyone who places a product on the EU market for the first time – for example an importer, a forest owner selling directly, or a business that imports timber itself. Only they file a due diligence statement of their own.

Traders and downstream operators (e.g. a sawmill or joiner buying covered timber) pass the goods on without filing a statement of their own. Large businesses (non-SMEs) must register in TRACES and check on substantiated concern; small ones (SMEs) mainly have a record-keeping obligation.

What if my supplier does not provide geolocation data?

You stay in control – with a clear four-stage process:

  • Stage 1 (day 7): An automatic, polite reminder to the supplier with a direct link to the online form.
  • Stage 2 (day 14): Escalation to the person responsible on your side – with a list of the blocked deliveries.
  • Stage 3 (any time): You enter the data yourself – from an invoice, forestry permit or photo. The software extracts the key fields via text recognition.
  • Stage 4 (compliance service): On request, we contact the supplier directly – by phone or email, in their respective language.

This way, no delivery may leave the plant until the supplier indicator is green.

3. Glossary

Key terms explained clearly

The most important technical terms of the EUDR – brief and in plain language.

BLE BLE (the German competent authority) – the authority responsible for the EUDR in Germany.
Country benchmarking The EU classifies countries into low, standard and high risk. The classification determines the scope of due diligence.
Cut-off date (31 Dec 2020) The EUDR's key date: land deforested after 31 December 2020 makes the product non-compliant.
DDS Due Diligence Statement. The electronic confirmation that the due diligence obligation has been met.
Deforestation-free The area on which the product was produced has not been cleared after 31 December 2020.
EUDR EU Deforestation Regulation – Regulation (EU) 2023/1115 of 31 May 2023.
FLEGT EU licensing system for legal timber trade with third countries. FLEGT licences can partly simplify EUDR obligations.
FSC / PEFC International certificates for sustainable forestry. They do not replace the EUDR obligation, but they help with the risk assessment.
Geolocation The exact geographic location of the harvest or grazing area – as a GPS point or as a polygon. Precision: at least six decimal places.
Trader A company that merely passes a product on without altering it – without a due diligence statement of their own. Large traders (non-SMEs) register in TRACES and check on substantiated concern; small traders (SMEs) mainly have a record-keeping obligation.
HS code International customs tariff number. The relevant HS codes are listed in Annex I of the EUDR.
SME Small and medium-sized enterprises. Under the EUDR, with reduced obligations; the later deadline (30 June 2027) does not apply to timber, where the 30 December 2026 stands.
Operator The party that first places a product on the EU market. Has the full due diligence obligation.
Reference number Every due diligence statement submitted in TRACES NT receives a reference number that must be passed down the supply chain.
Risk assessment The second step of due diligence: assessing each consignment's deforestation risk by country, supplier and supply-chain complexity.
Combined statement A consolidated due diligence statement for several shipments from the same supplier – often as an annual report. Reduces the effort considerably.
Due diligence The entire process of data collection, risk assessment and risk mitigation – with the aim of demonstrating a negligible risk.
TRACES NT The EU information system in which due diligence statements are submitted.
Negligible risk The state that due diligence must achieve. Defined in Art. 2(26) of the EUDR.
Sector guides in detail

Your in-depth guide for every sector

Each sector as its own page – with role, obligations, workflow, deadlines and software requirements.

EUDR for sawmills

Usually downstream – own statement only when importing directly.

Read the guide →

EUDR for timber traders

Large traders vs. SMEs – who has to prove what.

Read the guide →

EUDR for joiners

Downstream or first-placer operator – depending on timber origin.

Read the guide →

EUDR in landscaping

Garden and landscaping firms working with timber.

Read the guide →

EUDR for importers

The highest obligation density – geolocation and evidence.

Read the guide →

EUDR for forestry contractors

The most important data source in the forest.

Read the guide →

EUDR for forest owners

Direct sales and parcel registration.

Read the guide →

Other commodities? → EUDR Agri

Coffee, cocoa, soy, palm oil, cattle & rubber are covered on our sister site.

Go to eudr-agrar.compliancecompass.de →
Practical know-how

Guides from the EUDR blog

Concrete step-by-step help with the most common questions.

Completing the due diligence statement

Step by step to a correct DDS.

Read the article →

Geolocation: point or polygon?

When to use which format – and how precise it must be.

Read the article →

Are FSC, PEFC and FLEGT enough?

What certificates deliver – and what they do not.

Read the article →

Sawmills 2026: common mistakes

Deadline, typical mistakes and quick help.

Read the article →

EU simplifications 2026

What was simplified – and what remains.

Read the article →

Supplier won't cooperate?

How to get the data anyway.

Read the article →

More than EUDR – one compass for all supply-chain obligations

Compliance Compass also supports you with further frameworks. Take a look at the full offering.

EUDR Timber EUDR Agrar ↗ LkSG CSRD more
View all frameworks
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