#Netherlands #Utrecht #Golden Agri-Resources #SmartTrace #Verborg Group

Golden Agri-Resources Collaborates with Verborg Group on SmartTrace EUDR Compliance System

In a significant move towards enhancing sustainability within the palm oil supply chain, Golden Agri-Resources (GAR) has launched trials for its innovative SmartTrace platform. This blockchain-powered tool is designed to facilitate adherence to the European Union's new regulation on deforestation-free products (EUDR), set to take effect on December 30, 2025. The trials, which commenced recently, are part of GAR's broader initiative to aid clients in meeting upcoming regulatory requirements, reflecting the company's commitment to environmental standards and traceability in food supply chains.

The Verborg Group, known for its advanced tropical oil refinery located in Farmsum, Netherlands, is one of the first clients to engage with the SmartTrace system. This collaboration, established in early 2024, aims to ensure the delivery of high-quality, traceable, and deforestation-free palm oil to customers across Europe. As part of the trial, GAR successfully delivered a shipment of 9,500 metric tonnes of fully traceable palm oil products to Verborg's facility in late February. This shipment has been traced back entirely to the Indonesian plantations where it was cultivated, showcasing GAR's capacity for transparency and strict supply chain management.

Goedhart Borgesius, director of the Verborg Group, emphasized the crucial role of this trial in assuring European buyers of compliance with EUDR criteria. “We recognize the responsibility we hold towards our clients to provide sustainably sourced tropical oils. This delivery represents a significant milestone in our ability to meet these requirements and assures customers that they are aiding in the eradication of deforestation risks in the palm oil supply chain,” he stated.

Enhancing Transparency in Complex Supply Chains

The EUDR mandates that operators importing specific commodities into the EU must provide detailed due diligence reports, confirming that their products pose no deforestation risk and are produced in accordance with local laws. GAR’s SmartTrace platform has been specifically developed to increase the visibility and security of these due diligence data, thereby fostering trust and transparency throughout complex commodity supply chains.

This online platform offers operators unprecedented control over their palm oil supply chain. It tracks each component of a palm oil shipment down to the plantation level, providing users with a comprehensive view of product sourcing authenticated through blockchain technology. After a decade of investment in supply chain traceability, GAR asserts that it can trace 100% of palm oil produced in its estates back to its origin. Additionally, the company has extended traceability efforts to 99% of its entire palm oil supply chain in Indonesia and offers complete traceability for soy, sugar, coconut, and sunflower supply chains.

Addressing New Compliance Needs

Beyond simply identifying the origins of palm oil products, SmartTrace supplies essential information and analytics that enable buyers to meet compliance obligations. Companies utilizing this system will be equipped to generate detailed reports that comply with critical EUDR requirements, such as risk mitigation concerning deforestation and legal adherence. These reports are designed to integrate seamlessly with the EU's TRACES platform, providing clients with the necessary insights to efficiently complete their due diligence filings.

Maarten van der Hoeven, GAR’s representative for Europe and Latin America, highlighted the advantages of the platform, stating, “By digitizing the due diligence process, SmartTrace empowers our clients to collect, manage, and share the necessary data to meet the EUDR requirements. In a complex supply chain where compliance data for a shipment could contain millions of data points, we aim to ensure our clients have access to accurate, effective, and reliable data demonstrating that their palm oil is deforestation-free.”

Moreover, SmartTrace is adaptable beyond the EUDR, ready to cater to other regulatory frameworks and complex data reporting needs. The innovative system represents a promising step forward in ensuring sustainability and compliance within the palm oil industry, reflecting a commitment to ethical sourcing and environmental stewardship that is necessary in today’s market.

As GAR and Verborg Group continue their partnership, they set the groundwork for a more sustainable future not only for their businesses but also for the global palm oil supply chain, reassuring consumers and stakeholders alike of their integrity and commitment to ending deforestation.