UK GOVERNMENT CONSULTS ON NEW LAW TO MAKE LARGE COMPANIES RESPONSIBLE FOR DUE DILIGENCE ON “FOREST RISK” PRODUCTS

Illegal deforestation to clear land for agriculture is one of the most significant drivers for the wholesale destruction of forests and habitats worldwide. The UK government has noted that “The UK consumes significant amounts of seven commodities whose rapid expansion is associated with deforestation, often in contravention of local laws: beef and leather, cocoa, palm oil, pulp and paper, timber, rubber and soya.”

In part because of its responsibilities for chairing COP26, the UK government opened a new public consultation on 25 August 2020 about a proposed new law, applying to large companies, and requiring them to carry out a due diligence process to ensure that their supply chain only uses these commodities where they have been produced legally and without illegal deforestation.

The UK government’s consultation underlines the importance of a greener, fairer and more resilient global economy in response to the recovery from COVID-19. It stresses the vital role of forests environments in providing secure livelihoods, and protecting natural systems on which we rely for food, water and air.

The new law would aim to contribute to the protection of forests from illegal conversion into agricultural land. Large businesses would be required to produce some assurance that the “forest commodities” they use had been produced in compliance with local laws. Without this the large businesses could be fined and also (which is sometimes more important) would suffer reputational risks with their customers.

The public consultation on the proposed new law was issued on 25 August 2020 and is open until 5 October 2020. You can participate and contribute to the consultation at –

https://consult.defra.gov.uk/eu/due-diligence-on-forest-risk-commodities/

or by contacting the DEFRA Sustainable Commodities Team at Due.Diligence@defra.gov.uk

We will be covering this and other developments relevant to COP26 in more detail on our separate website and blog at www.COP26andbeyond.com