Disclaimer: New EUDR developments - December 2025
In November 2025, the European Parliament and Council backed key changes to the EU Deforestation Regulation (EUDR), including a 12‑month enforcement delay and simplified obligations based on company size and supply chain role.
Key changes proposed:
- New enforcement timeline: 30 December 2026 for large/medium operators, 30 June 2027 for small/micro operators
- Simplified DDS: One-time declarations for small and micro primary producers
- Narrowed scope: Most downstream actors and non‑SME traders would no longer need to submit DDSs
- New DDS requirement: Estimated annual quantity of regulated products must be included
These updates are not yet legally binding. A final text will be confirmed through trilogue negotiations and formal publication in the EU’s Official Journal. Until then, the current EUDR regulation and deadlines remain in force.
We continue to monitor developments and will update all guidance as the final law is adopted.
Coolset, a Dutch market leader in sustainability management software, has launched its VSME module, providing mid-market companies with a structured and efficient way to maintain ESG transparency without excessive regulatory burden.
With the EU Omnibus Proposal reshaping sustainability reporting, thousands of companies that were previously required to comply with the Corporate Sustainability Reporting Directive (CSRD) may now fall outside its scope. While this reduces mandatory reporting obligations for many businesses, ESG transparency remains a strategic advantage, influencing investor trust, supplier relationships, and long-term competitiveness.
As businesses reassess their ESG strategies, the Voluntary Sustainability Reporting Standard for SMEs (VSME) is emerging as the preferred choice for companies looking to maintain structured sustainability reporting—without unnecessary complexity.
Navigating ESG reporting after the Omnibus Proposal
The Omnibus proposal has reshaped the ESG reporting landscape, raising CSRD thresholds to 1,000 employees and exempting thousands of mid-sized companies from mandatory reporting. While this reduces regulatory pressure, businesses still face growing expectations from investors, corporate clients, and financial institutions to disclose ESG performance.
"Many companies are no longer required to report, but their competitors might be. Choosing to continue ESG reporting signals maturity, strengthens credibility, and provides a competitive edge in an evolving market," says Coolset's CEO Konstantinos Kouzelis.
How Coolset helps companies report under VSME
Coolset’s VSME module provides a simplified and structured approach to ESG reporting, helping businesses collect sustainability data, meet stakeholder expectations, and remain adaptable to future regulatory changes.
With Coolset, companies can:
- Streamline ESG data collection – Gather data across departments, suppliers, and operations, ensuring efficiency and accuracy.
- Effortlessly generate ESG reports – Use pre-built templates and guided workflows to streamline reporting.
- Share ESG insights with key stakeholders – Collaborate across teams and maintain transparency with banks, investors, and corporate partners.
VSME: A competitive advantage in ESG reporting
Coolset's VSME product offers two reporting modules:
- Basic module – A lightweight ESG framework covering core sustainability disclosures, ideal for companies looking to maintain transparency without overcommitting resources.
- Comprehensive module – A more detailed reporting option for companies aiming to enhance investor confidence, secure financing, and strengthen supply chain credibility.
“With Coolset, businesses don’t have to choose between compliance and efficiency. We provide a structured ESG framework that aligns with market expectations, keeps companies competitive, and allows for a seamless transition to CSRD if needed in the future,” he added.
As regulatory shifts continue, businesses that stay proactive in ESG reporting will be better positioned for long-term success. Coolset’s VSME module ensures that companies report efficiently, maintain credibility, and future-proof their sustainability strategy.
Interested in learning more? Schedule a call with our team today.
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Learn how the new VSME framework helps mid-sized companies navigate ESG reporting after CSRD rollbacks.
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