Five major European livestock and feed associations including FEFAC and Copa-Cogeca have issued an open letter warning of severe feed sourcing disruptions ahead of the EU Deforestation Regulation’s (EUDR) December 30, 2026, application date. The signatories urge the European Commission to enact a contingency plan to prevent an unviable economic scenario for the EU livestock chain in early 2027.

A coalition of leading EU agricultural associations, AVEC, Copa-Cogeca, EDA, FEFAC, and UECBV, has expressed utmost concern regarding the adverse economic impacts and supply chain risks associated with the upcoming implementation of the EU Deforestation Regulation (EUDR) on 30 December 2026.

The enforcement arrives at a critical junction when the EU feed chain is already facing compounded pressures from severe summer droughts across Europe which sharply reduced home-grown forage, maize, and oilseed availability alongside ongoing Black Sea trade disruptions. Mitigating this shortfall urgently requires increased imports of high-fibre feed, maize, and key protein sources such as soybean meal. However, the associations caution that anticipated market access losses for direct soybean meal and palm kernel expellers risk exacerbating a "perfect storm" for the 2026/2027 marketing year.

STRUCTURAL CONSTRAINTS AND SUPPLY BOTTLENECKS

While fully supporting the environmental objectives of the EUDR and acknowledging the importance of sustainable soy, the signatories highlighted inherent constraints in the regulation's design that make it incompatible with global commodity trading.

They emphasized that while deforestation-free soy is available globally due to established frameworks like the FEFAC Soy Sourcing Guidelines, EUDR compliance requires significant investments in dedicated logistics infrastructure. This requirement severely restricts the market availability of compliant soybean meal deliveries to the EU from key export countries, despite heavy investments already made.

CALL FOR EMERGENCY MEASURES

Furthermore, the open letter warns that EUDR-induced cost increases will negatively and disproportionately affect the competitiveness of EU livestock production, placing third-country exporters of finished animal products at an economic advantage.

To avoid an economically unviable situation for the sector in early 2027, the signatories call on the European Commission to introduce targeted simplifications, practical implementation measures, and trade facilitation instruments including bilateral agreements with key exporting nations to ensure the trade of essential feed ingredients remains uninterrupted.