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Koltiva unveils new tools for EU deforestation regulatory compliance

Published on April 16, 2024

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Earlier today, Koltiva, a leader in sustainable agriculture and supply chain traceability backed by AC Ventures, announced the launch of its new EUDR Solutions. This product suite is designed to help businesses meet the stringent requirements of the European Union’s deforestation regulation, ensuring that products are free from deforestation impacts and comply with local laws. 

According to a recent study by IDH The Sustainable Trade Initiative, from 2010 to 2015, approximately 122.29 million hectares of tree cover were lost, accounting for about 5% of the total natural forests in 2010. The broader socio-economic and environmental impacts of these changes have been profound. Deforestation and land-use alterations are the second-largest sources of human-induced greenhouse gas emissions globally, contributing substantially to climate change. 

The EU stands out as one of the major importers of commodities linked to deforestation, receiving over 60% of the world’s cocoa and approximately 50% of its coffee. These two commodities are among the seven agricultural products that, according to the World Resources Institute in 2022, accounted for more than 25% of global tree cover loss from 2001 to 2015.

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Koltiva’s new solutions include a comprehensive approach to due diligence, involving detailed data collection on product origins, risk assessments that consider the forest presence and country risk levels, and rigorous risk mitigation measures such as audits and supplier support. 

Additionally, the EUDR regulation mandates that businesses maintain documentation related to their due diligence processes for at least five years and report publicly on their compliance annually.

To support the implementation of its solutions, Koltiva has developed a modular system through its KoltiTrace Management Information System, which provides scalable support for independent suppliers. This system is complemented by KoltiSkills, a service that offers additional support to processors and manufacturers in sustainable sourcing and risk mitigation. A key feature is the Data Verification module, which allows manufacturers to independently verify their supply chain data, ensuring completeness, quality, and compliance.

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Manfred Borer, co-founder and CEO of Koltiva, emphasized the significance of his firm’s new tools. He noted that adherence to the EUDR is now a crucial part of the European Green Deal’s objective to drive climate neutrality by 2050. He reiterated Koltiva’s commitment to assisting businesses in their compliance journeys, highlighting that the new EUDR solutions are a major step toward a more sustainable and responsible global supply chain.

The EUDR compliance requirement already impacts over 50,000 businesses that import or process key commodities like palm oil, cocoa, coffee, rubber, wood, soy, cattle, and related products. Koltiva’s comprehensive approach includes supply chain mapping, risk assessments, granular due diligence reporting, and other forms of support to ensure that businesses can meet these new regulatory challenges.

Through its tech and service offerings, Koltiva aims to enhance regulatory compliance and support sustainable practices across global supply chains, thereby contributing to a broader environmental and social development agenda.

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