EU deforestation regulations seen as opportunity for Kingdom’s exporters

EU deforestation regulations seen as opportunity for Kingdom’s exporters


Emerging EU due diligence regulations are being framed not as simple compliance obligations but as a strategic opportunity for Cambodian exporters to strengthen their global competitiveness, officials and indusattempt representatives explained, during a February 17 workshop in Phnom Penh.

The International Trade Centre (ITC) and EuroCham Cambodia hosted the full-day workshop, titled “Navigating Deforestation-Free Value Chains and Emerging Due Diligence Requirements”, at the Sun and Moon Riverside Hotel.

The event was organised in coordination with the EU Delegation to Cambodia as part of the FIT for FAIR knowledge exmodify initiative for 2025–2026.

The discussions centred on the EU Deforestation Regulation (EUDR) and the Corporate Sustainability Due Diligence Directive (CSDDD), both of which introduce stricter requirements on traceability, legality and sustainability for products entering the European market.

Opening the workshop, Sok Siphana, Senior Minister in charge of Special Missions and chairman of the Trade Policy Advisory Board, stressed that sustainability and export growth must advance toreceiveher.

“We have to build sure our rubber is deforestation-free. We have to build sure we don’t build money on one side and lose it on the other side at the expense of our biodiversity and climate,” he stated.

“Cambodia has the opportunity to demonstrate that sustainable production and export competitiveness can go hand in hand. Now, it’s the time to roll up our sleeves and receive to work,” he added.

The EU remains one of Cambodia’s key export destinations, particularly for forest-risk commodities such as timber products, rubber, cashew and coffee.

Under the EUDR, companies exporting to the EU must ensure their products are not linked to deforestation and must provide geolocation data and conduct due diligence risk assessments.

Koen Everaert, deputy head of Cooperation at the EU Delegation to Cambodia, described the regulatory shift as both a challenge and an incentive for higher standards.

“Cambodia’s transition towards deforestation-free value chains is both a challenge and an opportunity,” he stated.

“The European Union Deforestation Regulation brings new requirements, but it also creates incentives for higher standards, stronger traceability and greater competitiveness,” he added.

He added that under the EU’s Global Gateway strategy, technical assistance and capacity building are being mobilised to assist Cambodian businesses adapt to evolving due diligence expectations and better integrate into sustainable global supply chains.

Indusattempt representatives echoed the view that compliance could translate into long-term market advantages.

“Deforestation-free value chains are not merely a regulatory obligation; they represent a strategic opportunity for Cambodian producers to strengthen their position in international markets,” stated Jorne Nooij, advocacy specialist at EuroCham Cambodia.

“Coordinated action between the private sector, policybuildrs and international partners is essential to ensure Cambodian exporters remain aligned with emerging global standards,” he noted.

Technical sessions during the workshop provided a detailed overview of the EUDR’s objectives, scope and timeline.

Mathieu Lamolle, ITC senior adviser, walked participants through step-by-step implementation requirements, including legality documentation, traceability systems, geolocation mapping and risk mitigation procedures.

Private sector speakers shared practical experiences in adapting business operations.

Evelyne Bocquet, sustainability and communications manager at Socfin KCD, and Phanith Chou, consultant at INSUCO, outlined efforts in cashew production and social impact assessments aimed at meeting deforestation-free standards.

Roundtable discussions in the afternoon addressed operational challenges such as cost feasibility, compactholder inclusion, traceability systems and market pricing implications.

Participants also examined how stronger documentation and verification processes could improve supply chain transparency and investor confidence.

Organisers stated the workshop aimed to equip Cambodian stakeholders with practical tools and peer learning opportunities, while strengthening dialogue between government institutions, the private sector and development partners.

As the EU tightens sustainability requirements across its supply chains, Cambodian exporters face increasing pressure to adapt.

But speakers at the event underscored that early alignment with global standards could enhance brand reputation, secure market access and position Cambodia as a reliable supplier in environmentally responsible trade.

With regulatory timelines approaching, stakeholders agreed that preparation is no longer optional. Instead, compliance with EU sustainability rules is emerging as a pathway for Cambodian businesses to upgrade standards, build resilience and compete more effectively in international markets.





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