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Hangal Coffee Exporting Adopts Supply Chain Solutions Compliant With EU Deforestation Rule

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New Delhi, July 19, 2024: Hangal Coffee Exporting Pvt Ltd, promoted by family of coffee growers in Kodagu, has announced the adoption of the European Union Deforestation Regulation (EUDR)-compliant solution, powered by TRST01’s sustainable supply chain solution, becoming the first company in India to achieve this milestone in the coffee industry.   

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.

Expressing his enthusiasm over the achievement, Anil Sitaraman, Executive Director, Hangal Coffee, said, "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."

Commenting on the milestone, Prabir Mishra, CEO, TRST01, said, "We congratulate Hangal Coffee Exporters for their proactive approach towards EUDR compliance. The dedication of company’s leadership in adopting EUDR-compliant solution highlights the transformative potential of data-driven technologies in promoting sustainable supply chains."

The EU Deforestation Regulation (EUDR) is a legislation aimed at curbing the import of certain designated commodities from deforested areas. It mandates that companies exporting commodities like coffee, cocoa, rubber, oil palm, soy, timer and cattle, along with their derived products, in the European Union markets, must conduct thorough deforestation analysis, detailed risk assessment and risk mitigation to ensure these goods are not sourced from deforested areas since December 31, 2020. The EUDR emphasizes the importance of complying with laws related to environmental and social aspects with sustainability principles embedded in them. It is mandatory for all specific commodities, in any form, to comply with these regulations when imported to Europe starting from January 1, 2025.

Renowned for its data-driven sustainability impact, TRST01Chain®, empowers organizations to achieve compliance seamlessly while driving meaningful environmental outcomes. This collaboration marks a significant step towards fostering a sustainable future for the global coffee market. 

As per the industry estimates, India’s coffee exports to the European Union (EU) make up almost 57% of its total coffee exports. The EUDR regulation has created an urgent need for these industries to adapt and innovate while ensuring sutainable production practices. It is worth noting that India exports 57% of coffee, worth over $600 million (INR 5,000 crores) annually. Indian coffee production is 70 per cent robusta beans and 30 per cent arabica beans. 

Hangal Coffee Exporting Private Limited (HCEP) was established by a family of coffee growers with three generations of experience in the industry. Situated in Kushal Nagar, Karnataka, the family is well-known for their expertise in coffee production and processing. They are now expanding their production and export activities by leveraging their extensive knowledge. The green coffee is primarily sourced from the family’s farms and small farmers’ cooperatives.

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