EUDR compliance is a reality to which companies in different sectors must adapt quickly.
Monitoring supply chains to ensure they are free of deforestation is becoming increasingly critical for businesses, especially with the European Union Deforestation Regulation (EUDR) coming into effect. The EUDR mandates that companies prove their products, such as soy, palm oil, timber, or cocoa, are not linked to forest degradation. To comply with these regulations, companies are turning to satellite imagery for accurate and real-time monitoring of land use.
This post explores how satellite imagery can help companies ensure compliance with the EUDR and safeguard their supply chains against deforestation-related risks.
1. Monitoring and Verification of Land Use
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Detection of Deforestation and Vegetation Changes
Satellite imagery provides high-resolution, multispectral images that allow companies to monitor deforestation in their supply chains. By tracking changes in land use, businesses can confirm whether the areas where their raw materials are sourced have undergone any illegal deforestation since the EUDR’s cut-off dates. For instance, satellite images can detect if a primary forest has been cleared, offering transparency into land-use activities.
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Historical Comparisons
Beyond real-time monitoring, satellite imagery allows companies to compare historical land data. This capability is crucial for tracing deforestation events that occurred before the EUDR cut-off date. By comparing past images with current ones, businesses can easily identify areas that have been illegally deforested, helping them meet the traceability requirements of the EUDR.
2. Strengthening Supply Chain Traceability
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Georeferencing Crops and Sourcing Locations
With satellite imagery, businesses can georeference specific plots of land used for agricultural purposes, ensuring that their products are sourced from regions that comply with environmental regulations. This geolocation data provides concrete, visual evidence that the land hasn’t been affected by deforestation, meeting the strict standards set by the EUDR.
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Supplier Oversight and Compliance
Satellite imagery empowers companies to monitor their suppliers and ensure they comply with EUDR standards. By remotely observing supplier activities, businesses can quickly spot any environmental infractions and take immediate action—whether that means pausing procurement or switching to alternative, compliant suppliers.
3. Enhancing Certification and Auditing
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Validating Sustainability Claims
Satellite imagery serves as a critical tool for verifying the sustainability reports that companies submit for certification or deforestation-free labeling. Auditors and regulatory authorities can access satellite data to confirm whether the land is sustainably managed and free from deforestation, making the entire certification process more transparent and reliable.
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Early Warning Systems
Leveraging satellite-based early warning systems, companies can receive alerts about potential deforestation in high-risk areas. This real-time feedback enables businesses to react quickly by halting operations in affected areas or adjusting their sourcing strategies to avoid future compliance risks.
4. Supporting EUDR Compliance and Documentation
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Generating EUDR Reports
To meet EUDR requirements, companies must provide detailed documentation of their efforts to avoid deforestation. Satellite imagery offers a solid foundation for creating these reports, serving as verifiable proof that their products and operations are environmentally responsible. Businesses can submit this visual evidence to European authorities to confirm compliance with the regulation.
5. Conducting Environmental Impact Assessments
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Risk Modeling for Environmental Impact
Satellite data can be used to create detailed deforestation risk models, helping businesses assess vulnerable areas before they make land purchases or enter into supply agreements. This risk assessment can prevent future environmental liabilities by ensuring companies don’t acquire land that poses a high risk of deforestation.
Conclusion: Future-Proof Your Business with Satellite Imagery
Complying with the EUDR and avoiding deforestation-related supply chain risks requires precise, reliable data. Satellite imagery provides businesses with the tools to track land use, monitor deforestation, and ensure compliance with increasingly stringent regulations. By embracing this technology, companies can meet EUDR standards and position themselves as leaders in sustainable practices and environmental responsibility.
Imageryst’s satellite solutions can help your business stay compliant and protect your supply chain from environmental risks. Interested in learning more? Contact us to understand how our satellite imagery can help you optimize your supply chain and monitor land use effectively.