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MATERIALS 47
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BLOCKCHAIN FOR TIMBER TRACEABILITY

UNDER THE EU DEFORESTATION

REGULATION

Blockchain technology is often discussed as a digital solution for timber traceability, particularly in
the context of the EU Deforestation-Free Products Regulation (EUDR), which requires operators to
demonstrate legality, deforestation-free production, and geolocation at forest parcel level. This study
assesses where blockchain can realistically add value in timber supply chains under operational
forestry conditions. By Lukas Stopfer, University of Freiburg, Benjamin Engler, Eberswalde
University for Sustainable Development, and Thomas Purfürst, Technische Universität Dresden

ransparent timber supply chains are crucial for sustainable
forest management and biodiversity protection. However, Rich Carey
Tinternational timber flows remain susceptible to illegal

logging, fraud, and information asymmetries.
This environment is complicated by the diverse array of
actors involved, varying cross-border regulatory systems, and
the inherently fragmented structure of global supply chains.
To address these challenges, the European Union Deforestation
Regulation (EUDR, Regulation (EU) 2023/1115) enforces strict
due diligence and traceability mandates. These mandated In this context, the proposal of blockchain technology

disclosures include geolocated harvest plots, verifiable links as the basis for traceability is driven by the opportunity for
to product origins, and robust evidence of compliance. cross-party verification across the entire timber supply chain.
Based on the officially adopted implementation schedule, However, it is important to understand that blockchain
the EUDR requirements apply from 30 December 2026 for large technology does not tackle issues related to data provenance
operators, whereas micro, small, and medium-sized enterprises or governance gaps.
(SMEs) are granted an extended timeline until 30 June 2027. The system's effectiveness depends on the design decisions
Various identification and documentation approaches are made. These include the events recorded, the data excluded
already in use in forestry and timber logistics, including paint and from the blockchain, the actors validating entries, and how
hammer marks, barcodes, geolocation-based documentation, the system integrates with existing certification systems (e.g.,

genetic analysis, RFID tagging, and laboratory verification. PEFC and FSC) and GIS/IoT-enabled data collection.
These approaches address some aspects of traceability, but Without standardised data and coordinated governance,
there are further limitations, especially in terms of interoperability blockchain risks making things more complex without achieving
between organisations, variable data quality, and variations reliable improvements in transparency.
in digital maturity within the operational forest environment. This study analyses the potential of blockchain technology
Additionally, there are concerns about data privacy and the to add value to timber supply chains within the framework of
protection of trade secrets. European regulations, examining the technical, organisational,