For micro, small and medium-sized companies (SMEs) preparing for the EUDR, the first priority is to understand which requirements actually apply. Company size, product scope and the company's role in the supply chain determine the applicable deadline and whether full due diligence, a simplified declaration or primarily record-keeping obligations apply. Keep in mind: for medium-sized companies, the EUDR applies from December 30, 2026, whereas micro and small enterprises must comply from June 30, 2027.
Once this is clear, SMEs can build a proportionate EUDR compliance process around supplier engagement, data collection, risk management and regulatory documentation without creating unnecessary complexity.
Preparing for the EU Deforestation Regulation (EUDR) can be particularly challenging for smaller businesses. Micro, small and medium-sized companies (SMEs) often have limited resources and may not have dedicated compliance teams to manage regulatory requirements. At the same time, EUDR compliance can involve supplier engagement, product and geolocation data, risk assessments, mitigation measures, and due diligence statements.
For EUDR for SMEs, the key is therefore to establish a practical process that addresses these requirements without creating unnecessary complexity. By breaking the compliance journey into clear steps and involving suppliers early, SMEs can build a more efficient approach to EUDR readiness and compliance.
The EUDR introduces a range of requirements for companies dealing with relevant commodities and products. However, the precise obligations a business must fulfill depend on factors including its role under the regulation and the transactions involved.
For SMEs, understanding applicability is therefore an essential starting point. Instead of immediately launching a large compliance project, companies should first establish how the EUDR applies to their activities and what they consequently need to do.
This is especially important for businesses with smaller compliance, procurement, sustainability, or IT teams. They need an approach that allows them to focus limited resources on the processes and information that actually matter.
EUDR application dates:
In practice, an efficient EUDR approach should bring together several interconnected activities:
Rather than treating these as isolated tasks, SMEs can benefit from managing them as parts of one integrated compliance process.
Before collecting large amounts of data or contacting suppliers, companies should determine their role under the EUDR.
Depending on their activities, companies may act as operators, micro or small primary operators, downstream operators or traders. A company can also have different roles for different products or transactions.
This distinction matters because EUDR obligations differ significantly by role:
A role assessment can therefore help SMEs avoid applying the same compliance workflow to every transaction.
IntegrityNext’s EUDR Role Finder supports this first step. Through a short interactive assessment, companies can answer questions about how relevant products are placed, made available on or exported from the EU market and receive guidance on their potential role(s). By engaging suppliers via IntegrityNext, the EUDR readiness assessment includes the Role Finder.
Once their role is clearer, SMEs should assess whether their existing processes - and their suppliers - are ready to support EUDR compliance.
This goes beyond asking whether suppliers have heard of the regulation. Relevant questions include:
The IntegrityNext EUDR readiness assessment evaluates areas including applicability, preparation, risk management, and supporting documentation. This helps companies develop an initial picture of how prepared their suppliers are and where further action may be necessary.
Identifying these gaps early can prevent them from becoming bottlenecks later. If a critical supplier does not understand what information is required, addressing the issue early is generally more efficient than discovering the gap when data is urgently needed.
Readiness should also be considered internally. Procurement, compliance, sustainability, customs, and IT teams may all hold pieces of information relevant to EUDR processes. Establishing responsibilities and building sufficient internal expertise are therefore important elements of preparation.
For SMEs that need to conduct EUDR due diligence, supplier engagement is one of the most important building blocks of an effective compliance process.
Compliance depends heavily on information that may not be available within an SME’s own systems. Suppliers can therefore play an essential role in providing the data and documentation required to support due diligence.
Depending on the circumstances, companies may need suppliers to provide information such as geolocation data or details relating to an existing due diligence statement. If a direct supplier does not hold all the necessary information, requests may also need to be passed further upstream.
This can quickly become a bottleneck. Suppliers may face requests from multiple customers, have different levels of EUDR knowledge, or not immediately understand what information is expected.
SMEs can reduce this friction by making supplier participation as straightforward as possible:
The easier it is for suppliers to participate, the easier it becomes for companies to obtain the information required for their own compliance processes.
Data collection is one of the most operationally demanding parts of the EUDR process. A practical approach begins by distinguishing between information a company already holds and information that needs to come from suppliers.
Internal ERP or other business systems may already contain relevant product and transaction data. SMEs do not necessarily need to begin with a complex IT integration. Standardized Excel or CSV files can provide a straightforward way to upload existing information and start the process. Suppliers can then provide additional required information through dedicated workflows.
Geolocation data is particularly important where primary due diligence needs to be conducted. Suppliers can provide this information in several ways, including:
Where information has already been provided for a similar product or previous request, data reuse can also help reduce repetitive work.
Data quality remains critical throughout this process. Collecting information is not enough if the data is incomplete or cannot support subsequent risk assessments. SMEs should therefore design workflows not only around gathering information, but also around ensuring that the required data is complete and usable.
Once the necessary data is available, companies can move to risk assessment.
A comprehensive digital EUDR process can evaluate several risk dimensions, including:
The available data determines how the process proceeds. Where relevant geolocation information is available, for example, due diligence can incorporate geolocation and deforestation analysis. In other situations, an existing due diligence statement may influence which further steps are required.
The objective is to identify whether relevant risks require additional action.
Where a risk is identified, companies may need to implement and document mitigation measures before proceeding. Digital action management can help structure this process by enabling companies to request additional documentation from suppliers or involve internal colleagues in resolving an issue.
This is particularly valuable for SMEs because it creates a clear connection between risk identification and action. Instead of managing findings through disconnected emails, spreadsheets, and documents, companies can maintain a structured record of what was identified and how it was addressed.
Due diligence statements (DDS) are another central element of the EUDR compliance process.
Receiving a supplier’s DDS should not automatically be interpreted as meaning that a company’s own compliance responsibilities have been fulfilled. The appropriate process depends on the company’s role and the particular transaction.
For example, where an applicable due diligence statement is not available upstream, a company may need to conduct the necessary due diligence itself. In other circumstances, such as for certain downstream operators or traders, an existing due diligence statement may allow for a different process.
Companies should therefore avoid applying a single approach to every product or supplier. Instead, the relevant workflow should be determined according to the company’s role, the transaction, and the information already available upstream.
Technology can also simplify the administrative process around due diligence statements. Integration with the EU’s TRACES system can enable relevant information to be submitted and the resulting reference and verification numbers to be retrieved into the same environment used to manage the broader compliance process.
For an SME, EUDR readiness does not necessarily need to begin with a major IT implementation.
A more accessible approach is to establish standardized workflows using information the company already has. Product or transaction data can initially be uploaded through Excel or CSV files, enabling companies to begin working with suppliers without waiting for a full ERP integration.
More advanced integrations can then be added as requirements grow.
Seven practical steps can help SMEs establish a manageable EUDR process:
For smaller teams, the objective should be to create a process that can grow with the company’s requirements rather than introducing unnecessary complexity from day one.
The IntegrityNext EUDR Starter brings the core components of the EUDR compliance journey together in a solution designed around the needs of smaller companies.
SMEs can begin with tools such as the EUDR Role Finder and readiness assessment to understand their position and identify potential gaps. The IntegrityNext Academy provides training resources for internal teams and suppliers, while suppliers can use their own dedicated workspace and access multilingual support.
For operational compliance, the solution supports:
The EUDR Starter supports up to 50 active suppliers, providing SMEs with access to core EUDR functionality without requiring a lengthy implementation project.
IntegrityNext’s wider supplier network can also support onboarding. With more than three million supplier profiles on the platform, suppliers may already be familiar with IntegrityNext and with sharing sustainability information through the platform. This can help streamline onboarding and supplier participation.
In addition, dedicated EUDR expertise and continuously updated training resources help companies respond as regulatory requirements and practical needs evolve.
For SMEs, the challenge of EUDR compliance is not simply understanding individual requirements. It is connecting supplier engagement, product information, geolocation data, risk management, mitigation, and due diligence statements into a process that a smaller organization can realistically manage.
A structured approach can make that challenge considerably more manageable. Start by determining your role and assessing readiness. Build internal knowledge, engage suppliers early, establish reliable data workflows, and ensure that risks and mitigation measures can be documented effectively.
Most importantly, SMEs do not need to create a highly complex compliance infrastructure before taking their first steps. Standardized workflows and an integrated digital approach can provide a practical foundation that can scale with the business.
Explore the IntegrityNext EUDR Starter to discover how your company can bring supplier engagement, data collection, risk assessment, and due diligence processes together in one solution.
The EUDR establishes requirements relating to relevant commodities and products placed or made available on the EU market or exported from it. SMEs dealing with relevant products may therefore need to determine their role and establish appropriate compliance processes. The exact requirements depend on the company’s circumstances and role under the regulation.
A company’s role depends on how it handles relevant products and transactions. It may, for example, act as an operator, trader, or downstream operator. A business can also have different roles for different transactions. Determining applicability and role should therefore be one of the first steps in EUDR preparation.
EUDR requirements can vary according to company role, size, and circumstances. SMEs also face distinct practical challenges because they often operate with fewer dedicated compliance resources.
Depending on the product and transaction, relevant supplier information may include geolocation data, information about product origins, and details of existing due diligence statements. Suppliers may also need to pass information requests further upstream if they do not hold the required data themselves.
Not necessarily. The appropriate process depends on the company’s role and the particular transaction. An existing DDS may affect the due diligence process in some circumstances, while further due diligence may be necessary in others. Companies should therefore not assume that receiving a supplier DDS automatically fulfills all their responsibilities.
Where due diligence requires geolocation information, suppliers may need to provide coordinates or other information identifying relevant production areas. Digital workflows can support manual coordinate entry, geolocation file uploads, and map-based identification of production areas.
Not necessarily. SMEs can begin with product or transaction data uploaded through standardized Excel or CSV files. ERP and other system integrations can be added later where appropriate, reducing the technical barrier to getting started.
An integrated solution can connect processes that might otherwise be managed separately, including supplier engagement, data collection, geolocation information, risk assessment, mitigation activities, due diligence statement management, and interaction with TRACES. For SMEs with limited internal resources, bringing these workflows together can reduce manual effort and simplify compliance management.
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