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

Golden Agri-Resources and Verborg Group Join Forces for SmartTrace EUDR Compliance Pilot Project

In the pursuit of sustainability and compliance with European regulations, Golden Agri-Resources (GAR) has initiated a series of limited trials for its innovative SmartTrace due diligence platform. This platform is designed to facilitate the upcoming European Union regulation on deforestation-free products (EUDR), which is set to come into force on December 30, 2025. The collaboration with the Verborg Group, a leading tropical oil refinery based in Farmsum, Netherlands, marks a significant step towards ensuring that products entering the EU market comply with these rigorous standards.

The SmartTrace platform leverages blockchain technology to enhance supply chain transparency, providing users with an unprecedented ability to trace palm oil products right back to their plantations. This initiative aims to address the growing concerns regarding deforestation linked to global supply chains, particularly in the palm oil industry, where traceability has become a crucial issue for consumers and regulators alike.

As part of the pilot project, a recent delivery of 9,500 metric tons of palm oil products was successfully sent to the Verborg refinery, all of which can be traced back to their respective plantations in Indonesia. This achievement not only highlights GAR's commitment to responsible sourcing but also serves as a proof point in their strategy to meet the forthcoming EUDR requirements. According to Goedhart Borgesius, Director of the Verborg Group, this milestone showcases their dedication to providing sustainably produced oils that meet high quality standards backed by traceability.

Enhanced Compliance with EUDR

The EUDR stipulates that companies importing selected commodities into the EU must submit detailed due diligence reports verifying that these products are free from deforestation risks and produced in accordance with local laws. The SmartTrace platform is specifically designed to provide enhanced visibility and security for these due diligence data sets, thereby increasing trust and transparency within complex commodity supply chains.

With an intuitive web-based interface, SmartTrace provides operators with comprehensive insight into their entire palm oil supply chain. It tracks every component of a palm oil shipment down to the plantation level, offering users a detailed overview of product sourcing authenticated via blockchain technology.

This groundbreaking study is rooted in over a decade of GAR’s investments in supply chain traceability, boasting a 100% traceability rate for palm oil produced on its plantations and extending to 99% of its entire palm oil supply chain in Indonesia. Furthermore, GAR has achieved full traceability to the mill for soy, sugar, coconut, and sunflower oils, reinforcing its commitment to non-deforestation practices across multiple product lines.

Beyond compliance, the SmartTrace system also equips businesses and traders with critical analytics and insights to meet import requirements efficiently. By utilizing this system, clients can generate detailed reports that satisfy key EUDR compliance aspects, including due diligence and risk mitigation status for deforestation and legality.

Maarten van der Hoeven, GAR’s head for Europe and Latin America, explains that SmartTrace digitalizes the due diligence process, facilitating the data collection, management, and sharing necessary to meet EUDR obligations. Given the complexity of supply chains, where compliance data can encompass millions of data points, GAR aims to ensure that their clients have access to reliable and accurate data.

A Step Towards a Sustainable Future

SmartTrace's adaptability extends beyond the EUDR framework, allowing it to comply with various legal requirements and complex data reporting obligations. This pilot project underscores a vital commitment to sustainability and compliance within the palm oil industry, aiming to reshape how businesses approach their supply chains while mitigating environmental risks associated with deforestation.

In a world increasingly concerned about climate change and sustainability, initiatives like SmartTrace are crucial for restoring trust in commodity supply chains and ensuring that businesses contribute positively to environmental conservation efforts.