Hangal Coffee: EU Deforestation Rule Compliant Supply Chain

New Delhi, Jul 18 (PTI) Hangal Coffee Exporting Pvt Ltd on Thursday said it has collaborated with sustainable supply chain solutions provider TRST01 to ensure all its shipments become compliant with the European Union deforestation regulation (EUDR).

The EU Deforestation Regulation (EUDR), to be applicable from January next year, is aimed at prohibiting exports of commodities like coffee, cocoa, rubber, oil palm, soy, and others to the European Union markets from deforested areas.

Hangal Coffee Exporting has become the first company in India to adopt the EUDR-compliant solution TRST01Chain, the company said in a statement.

The implementation of TRST01Chain underscores its commitment to adhering to global standards while enhancing sustainability across the company's supply chain. This initiative not only strengthens the company's commitment to sustainable practices but also sets a benchmark for the coffee industry in India, it stated.

TRST01 has helped in adoption of similar solutions in 18 global firms engaged in the businesses of rubber, coffee and cocoa, including Apollo Tyres and CEAT in India, Golden Rubber in Ivory Coast, Tower Commodities and Gadjah Ruku in Indonesia, and Seng Hin in Malaysia.

Anil Sitaraman, Executive Director, Hangal Coffee Exporting, said in the statement, "We are thrilled to partner with TRST01 to implement this groundbreaking solution. TRST01Chain not only aligns with our values of sustainability but also ensures transparency and traceability in our operations."

Prabir Mishra, CEO, TRST01, said, Hangal Coffee Exporting's dedication in adopting EUDR-compliant solution "highlights the transformative potential of data-driven technologies in promoting sustainable supply chains".

As per the industry estimates, India's coffee exports to the European Union make up almost 57 per cent of its total coffee exports.

The EUDR has created an urgent need for these industries to adapt and innovate while ensuring sustainable production practices.

India exports 57 per cent of coffee, worth over USD 600 million (Rs 5,000 crore) annually. Indian coffee production is 70 per cent robusta beans and 30 per cent arabica beans, according to Hangal Coffee Exporting.