The environmental and social consequences of the massive production of coffee, soya, cocoa and other products have forced the European Union to closely monitor the production process through the EUDR regulation. This regulation, which has been in place since June 2023, requires raw materials such as coffee and cocoa to be free of deforestation and to respect the laws of the countries of origin.
Coolx has been one of the service providers selected by the European Union Space Programme Agency (EUSPA) to participate in a pioneering project that uses satellite data to guarantee deforestation-free coffee. In addition, industry stakeholders such as CECAFÉ, NFC and Illycaffè have participated.
EUDR regulation necessary to sell deforestation-free coffee
The main objective of the EUDR is to prevent products imported into and exported from the EU from contributing to deforestation. Among the products under the spotlight are coffee, cocoa and palm oil. All of them have a significant impact on the present and future of forests. Many industry professionals are unaware of what EUDR is and how it can affect their business. The key points of the EUDR regulation are:
- Products must be deforestation-free and comply with local legislation in the producing country.
- Companies are required to implement due diligence processes to identify and reduce risks.
- Large companies must comply with the EUDR regulation from December 2024 and small and medium-sized companies by June 2025.
The EUDR solution represents a crucial regulatory change for the coffee industry, which must now adopt advanced technological tools to comply with these requirements.
Coolx and EUSPA: space technology at the service of EUDR regulation
Our collaboration with EUSPA has provided innovative solutions based on satellite technology. Through the Copernicus and Galileo programmes, Coolx guarantees traceability and ensures that companies comply with EUDR regulations in the coffee industry. In addition, we have provided data to companies in the sector to measure the environmental impact of their crop hectares by analysing satellite imagery to comply with environmental laws. Our work focuses on three key actions:
- Accurate geolocation: the Galileo programme identifies agricultural plots with high precision, enabling their compliance with EUDR regulations to be assessed.
- Deforestation monitoring: Copernicus uses satellite imagery to detect changes in land use, generate early warnings and prevent illegal activities.
- Traceability: tracking products from cultivation to the final consumer ensures that they comply with EUDR requirements.
The use of high-resolution imagery combined with field data reinforces the accuracy of the analysis and the reliability of the solutions.
Challenges for the coffee industry to comply with the EUDR
Despite the importance of the technology, the implementation of the EUDR regulation in the coffee and cocoa sector presents specific challenges:
- Shade cultivation: coffee grown under trees can be mistaken for forested areas in satellite analysis, generating false positives.
- Small plots: coffee producers are mainly smallholder farmers. In Colombia, according to UPRA, 96% of crops are grown by smallholders. On the other hand, in Tanzania, 93% of coffee production belongs to this group. These data make it difficult to access advanced technology tools.
- Agricultural practices mistaken for deforestation: pruning or relocation of crops can be misinterpreted as deforestation. This means that the consequences of deforestation need to be studied in depth.
At Coolx we are experts in earth observation and aim to develop solutions to help understand these challenges. These include the use of raw material maps to distinguish agricultural areas from real forests; improved algorithms and data fusion to increase the accuracy of analysis; and facilitating the adoption of technologies by smallholders.
The future of sustainable coffee in Europe
Coolx is aligned with EU policies through the EUDR regulation, which marks a turning point in the coffee, soy, palm oil or cocoa industry. The combination of space technology and environmental care is a necessary first step to help supply chains move towards more responsible and sustainable models.
The EUDR regulation strengthens environmental protection and brings benefits in environmental, social and economic areas. In turn, the Copernicus data policy enables SMEs and startups to develop affordable solutions, reducing compliance costs and fostering innovation in the coffee market. It is a key contributor to the development of EUDR assessment solutions at all stages of maturity and enables the provision of cheaper services.
This EU project highlights the positive impact of the EUDR Regulation on the sector and positions us as a leader in adopting technological tools to solve global challenges. With initiatives like this, deforestation-free coffee is closer than ever.