Deforestation refers to the temporary or permanent human-induced conversion of forested land to non-forested land.
Under the EUDR, deforestation is defined specifically in relation to the cut-off date of December 31, 2020. Any conversion of forest to agricultural use after this date means that commodities produced on that land cannot be legally placed on the EU market. This definition is broader than many national laws because it applies regardless of whether the deforestation was legal under local legislation. The EUDR distinguishes between deforestation (removal of forest canopy) and forest degradation (structural changes that reduce the ecological value of primary forests).
Deforestation is also a key topic under ESRS E4 (Biodiversity and Ecosystems), where companies must disclose their dependencies and impacts on biodiversity-sensitive areas. Companies with agricultural supply chains are particularly exposed to deforestation-related compliance risks.
Learn more about EUDR compliance for deforestation-free supply chains and read our guide on understanding the EUDR. For broader sustainability reporting, explore CSRD biodiversity disclosure requirements.
See how Coolset helps companies with deforestation-free compliance and EUDR reporting →
