European Timber Industry Faces Rising Costs Amid EUDR Delay
The European timber industry is navigating a tricky situation as the EU Deforestation Regulation (EUDR) faces a possible delay. Originally set to start in December 2025, the rules may now be postponed until December 2026. This has left timber producers and packaging companies like us facing uncertainty and rising costs.
What is the EUDR?
The EUDR is the EU’s new law to fight deforestation and promote sustainable timber sourcing. It means that anyone trading timber must prove that their products are:
- Deforestation-free
- Fully traceable through the supply chain
- Sourced responsibly through proper due diligence
For companies working with timber and wood based packaging, this means investing in digital tracking systems, upgrading ERP software and restructuring supply chains to meet these rules.
Why the Delay Matters
While the postponement might give companies more time, it also creates some problems:
- Rising Costs
- Many European timber companies have already spent billions of euros preparing for EUDR:
- In Germany, initial costs hit €1.8 billion, with another €1.2 billion per year to maintain compliance.
- In Finland, start-up costs are around €207 million, with €65 million annually to keep systems running.
These investments include new staff, software, satellite data and other tools to verify that every cubic meter of wood is deforestation free.
Uncertainty for Early Adopters
Companies that acted early and built advanced traceability systems risk losing their competitive edge if enforcement is delayed. Some markets had started paying premiums for verified deforestation free timber, but this incentive could fade amid uncertainty.
Impact on Timber Supply
Some industry groups warn that stricter traceability could discourage forest harvesting or reduce production. In Austria, full-chain traceability might cut timber output by up to 10%.
Why Compliance Still Pays Off
Even with delays, staying on track with EUDR is a smart move:
- It positions companies as leaders in sustainable timber sourcing.
- Traceability systems can support future digital product passports and sustainability reporting.
- Responsible sourcing boosts your brand and appeals to eco-conscious customers.
How Packaging Companies Can Stay Ahead
For companies like Rowlinson Packaging, there are steps we’re taking to adapt:
- Audit Suppliers – Make sure all timber comes from deforestation-free sources.
- Invest in Digital Traceability – Track timber from forest to finished product.
- Stay Informed – Keep up with EU updates and the EUDR timeline.
Communicate Compliance – Show customers that our timber products are responsibly sourced.
Why Compliance Still Pays Off
Even with delays, staying on track with EUDR is a smart move:
- It positions companies as leaders in sustainable timber sourcing.
- Traceability systems can support future digital product passports and sustainability reporting.
- Responsible sourcing boosts your brand and appeals to eco-conscious customers.
How Packaging Companies Can Stay Ahead
For companies like Rowlinson Packaging, there are steps we’re taking to adapt:
- Audit Suppliers – Make sure all timber comes from deforestation-free sources.
- Invest in Digital Traceability – Track timber from forest to finished product.
- Stay Informed – Keep up with EU updates and the EUDR timeline.
Communicate Compliance – Show customers that our timber products are responsibly sourced.
Looking Ahead
The EUDR delay is challenging, but it’s also a chance for companies to show leadership in sustainable forestry. At Rowlinson Packaging, we remain committed to providing deforestation free timber products while helping our clients meet their sustainability goals.
By staying proactive, the timber and packaging industries can turn regulatory challenges into opportunities for growth and innovation.
Contact Us
Looking for sustainable timber packaging? Speak to the experts at Rowlinson Packaging.
Nantwich Office: 01829 260 57
Thetford Office: 01842 753 262
Email: packaging@rowlinson.co.uk
