CSVNO – VRG announced its alignment with the EU Deforestation Regulation (EUDR) at a ceremony held on December 3rd for its member units.
Chư Sê Kampong Thom Rubber Joint Stock Company and Sailun Group entered into an agreement to trade EUDR-certified rubber latex, fulfilling customer specifications.
Representing VRG at the ceremony were Mr. Tran Cong Kha, Chairman of the Board of Directors, along with other high-ranking officials including Deputy General Directors, the Chairman of the Vietnam Rubber Trade Union, and the Head of the VRG Audit Board. Also in attendance were representatives from the Vietnam Rubber Association, PEFC, and 30 member companies.
Representing the Crop Production Department of the Ministry of Agriculture and Rural Development was Mr. Nguyen Tu Hai. Other attendees included Mr. Vu Tan Phuong, Director of the Vietnam Forest Certification Office (VFCO), Mr. Lai Thanh Hai, Deputy Director of the Institute of Forest Science, and Mr. Tao Quoc Cuong, Regional General Director for Asia of Sailun Group, as well as representatives from Sailun Vietnam.
A contract for the purchase and sale of EUDR-compliant rubber latex was signed between Dầu Tiếng Rubber Limited Liability Company and Đặng Thái Gia Limited Liability Company, meeting customer demands.
The European Union Deforestation Regulation (EUDR) was adopted by the European Commission on May 16th, 2023. This new regulation, focusing on sustainable and green development, imposes specific requirements on agricultural products, including rubber, to ensure they are not produced on deforested land. In response to these requirements, VRG has been proactively adapting to comply with EUDR and safeguard its rubber exports to the EU.
Since 2019, the Group has successfully implemented the VFCS/PEFC certification for sustainable forest management. Currently, 18 member units, covering 120,000 hectares of rubber plantations and 38 processing facilities, have obtained VFCS/PEFC certification. Moreover, 38 factories have achieved PEFC-CoC chain of custody certification. This enables the Group to supply over 100,000 tons of certified sustainable rubber annually.
Mr. Truong Minh Trung, Deputy General Director of VRG and Deputy Head of the Group’s Sustainable Development Steering Committee, delivered a speech on the Group’s adaptation process to EUDR.
To meet the requirements for sustainable forest management certification, planted forests converted from natural forests after December 31, 2010 must meet specific criteria. These include having a chain of custody, a current land use map, a digital map management system, and demonstrated stakeholder engagement. Annual certification audits are also mandatory.
Chư Sê Kampong Thom Rubber Joint Stock Company, an overseas investment, was recognized by VRG leadership with a certificate of merit for its exceptional performance in complying with the European Union’s Deforestation Regulation (EUDR).
Beyond certified forests, all rubber areas within the Group undergo a rigorous Due Diligence process for both wood and rubber products. Given the long-standing nature of these plantations, with no new expansions since 2020 using forested land, and a 5-7 year establishment period before tapping, both certified and non-certified member companies are well-positioned to meet most EUDR requirements. This strong foundation provides a significant advantage for VRG’s future EUDR implementation.
Dau Tieng Rubber Limited Company and Dong Nai Rubber Corporation Limited were recognized by VRG leadership with certificates of merit for their exceptional performance in producing and marketing natural rubber that complies with the European Union’s Deforestation Regulation (EUDR).
VRG has successfully led three of its member companies – Dong Nai Rubber Corporation, Dau Tieng Rubber Limited Company, and Chư Sê Kampong Thom Rubber Joint Stock Company – in achieving EUDR compliance. This has opened up new market opportunities for these companies. Currently, there is a strong demand for their EUDR-compliant natural rubber, with Dong Nai Rubber selling 767 tons and Dau Tieng Rubber selling over 40 tons, at a premium of $250 per ton.
The Group has prioritized companies with existing VFCS/PEFC sustainable forest management certification for the initial implementation of EUDR, aiming to facilitate the rollout to other domestic companies and those in Laos and Cambodia.
Chư Sê Kampong Thom Rubber Joint Stock Company showcased their successful implementation of EUDR at the ceremony, setting a strong example for other companies in Cambodia adapting to the EU’s deforestation regulations.
Mr. Nguyen Tien Dung, the General Director of Chư Sê Kampong Thom Rubber Joint Stock Company, delivered a presentation outlining the company’s progress in implementing and applying EUDR.
The European Union’s Deforestation Regulation (EUDR), originally set to come into force in December 2024 for large enterprises and June 30, 2025 for SMEs, has seen a proposed delay. On October 2, 2024, authorities announced a new timeline, pushing back the implementation for large enterprises to January 2025.
Individuals at Chư Sê Kampong Thom Rubber Joint Stock Company who have excelled in implementing the European Union’s Deforestation Regulation (EUDR) were recognized by VRG leadership with certificates of merit.
The regulation is designed to tackle deforestation, forest degradation, and promote forest conservation, with the goal of reducing carbon emissions and biodiversity loss. In Vietnam, the regulation will primarily impact the wood, rubber, and coffee sectors. Experts predict that VRG will be well-prepared to meet EUDR requirements in the near future.
PHONG VŨ
Source: Tạp chí cao su
