EUDR Compliance for Paper and Pulp Exporters in India 

EUDR Compliance for Paper and Pulp Exporters in India requires companies to prove that all wood-based raw materials are deforestation-free, legally sourced, and traceable to their forest of origin. Exporters must implement Due Diligence Systems (DDS) that capture geolocation data, verify legality documentation, and ensure compliance with EU sustainability benchmarks. As India expands its global paper and pulp exports to the EU, digital traceability platforms and blockchain-backed systems are becoming essential for meeting EUDR requirements, maintaining market access, and positioning Indian exporters as leaders in transparent, sustainable, and deforestation-free forest product trade. 

India’s Paper and Pulp Export Landscape 

India is a rapidly growing player in the global paper and pulp industry, driven by expanding domestic production capacity and increasing exports to the EU, the Middle East, and Southeast Asia. The country exports a wide range of products, including uncoated paper, kraft paper, coated board, and pulp, with a total export value exceeding USD 2 billion in recent years. Major manufacturing clusters are located in Andhra Pradesh, Gujarat, Maharashtra, and Tamil Nadu, supported by both agro-based and wood-based raw material sources. 

However, India’s paper and pulp supply chain faces fragmentation and sourcing complexity, as mills procure wood and fiber from smallholder plantations and multiple intermediaries. This creates challenges in traceability, legality verification, and deforestation-free sourcing, all of which are critical under the EU Deforestation Regulation (EUDR). 

The EUDR includes wood, pulp, and paper-based products under key Harmonised System (HS) codes such as: 

• HS 4701–4703: Pulp of wood or other fibrous material. 

• HS 4802–4811: Paper and paperboard, coated, uncoated, or corrugated. 

• HS 4411–4412: Fibreboard, plywood, and laminated wood used in packaging and printing. 

The regulation came into effect on 29 June 2023, with due diligence obligations starting 30 December 2025 for large and medium enterprises, and 30 June 2026 for small and micro enterprises. 

To retain access to the EU market and strengthen sustainability credentials, Indian paper and pulp exporters must adopt digital traceability, geolocation mapping, and legality documentation systems. By leveraging blockchain-backed data integrity and AI-powered deforestation risk monitoring, the sector can ensure compliance, enhance global competitiveness, and lead India’s transition toward a deforestation-free, transparent, and sustainable forest products value chain. 

Explore our latest blog to understand key compliance requirements, documentation essentials, and how digital traceability can help you stay audit-ready. 
Read the full blog on [EUDR Paper & Pulp Compliance] 

From fragmented supply chains to data gaps and legality verification  discover practical solutions and digital strategies to simplify compliance for Indian exporters. 
Read the full blog on [EUDR Compliance Challenges Faced by Indian Exporters] 

What are the Key Challenges Faced by the Indian Paper and Pulp Export Sector under the EUDR 

The EU Deforestation Regulation (EUDR) introduces a transformative framework that demands complete traceability, legality verification, and deforestation-free sourcing for all wood-based commodities including pulp and paper. For India’s export-driven paper and pulp sector, this presents both an opportunity and a set of complex operational, technical, and structural challenges: 

1. Fragmented Raw Material Sourcing 

Over 70% of India’s wood supply for pulp and paper production comes from smallholder tree plantations and farm forestry programs scattered across multiple states. This fragmented sourcing makes it difficult to collect consistent geolocation data, verify ownership, and ensure that the wood originates from deforestation-free plots. 

• Smallholders often lack digital tools or standardized record-keeping. 

• Supply chains involve several intermediaries, complicating origin tracking. 

 2. Lack of Geolocation Mapping and Farm-Level Traceability 

EUDR mandates that exporters provide GeoJSON coordinates or polygon boundaries for every plot from which raw material is sourced. 

• Most Indian mills currently rely on paper-based procurement records without spatial mapping. 

• The absence of a unified national traceability database for pulpwood plantations increases the risk of non-compliance or data rejection during EUDR audits. 

3. Limited Legality Verification and Documentation 

While India enforces sustainable forestry guidelines under the Ministry of Environment, Forest and Climate Change (MoEFCC), there is no centralized legality verification mechanism recognized internationally. 

• Exporters must now prove that all raw material is legally harvested and compliant with both Indian and EU environmental laws. 

• Mills dependent on informal suppliers or unregistered plantations face challenges compiling acceptable proof-of-legality documentation. 

4. Low Digitalization Across the Value Chain 

Most paper and pulp SMEs in India operate with manual documentation, legacy ERP systems, and siloed data. 

• Integrating EUDR-mandated data points such as GPS mapping, supplier declarations, and Due Diligence Statements (DDS) will require substantial digital infrastructure upgrades. 

• Lack of interoperability across systems and limited digital literacy among small suppliers hinder large-scale implementation. 

5. Compliance Costs and Operational Burden 

Transitioning to EUDR-ready systems involves financial investment in technology, audits, and training. 

• Mills must develop or adopt digital traceability platforms, satellite monitoring tools, and blockchain-based ledgers. 

• Smaller exporters face higher per-unit compliance costs, risking margin pressures and competitive disadvantage in price-sensitive markets. 

6. Risk of Market Exclusion 

Failure to comply with EUDR could lead to rejected consignments, loss of EU buyers, or blacklisting of non-compliant suppliers. 

• Exporters relying on uncertified or untraceable sources are particularly vulnerable. 

• This could shift demand toward better-prepared competitors from countries like Indonesia or Brazil that have begun large-scale traceability integration. 

7. Transition from Certification to Digital Proof 

Traditional certifications like FSC or PEFC, while valuable, are no longer sufficient under EUDR which demands digital, geolocation-based proof of origin. 

• Indian companies must upgrade from static certification models to dynamic, real-time traceability systems that can generate verifiable, auditable data. 

To overcome these challenges, Indian paper and pulp exporters must adopt a data-driven compliance strategy combining AI-powered risk assessment, satellite-based deforestation monitoring, and blockchain traceability. Partnerships between industry bodies, government agencies, and digital solution providers like TraceX can accelerate readiness and ensure India remains a trusted, compliant supplier to the EU’s deforestation-free market. 

How TraceX Simplifies EUDR Compliance for Paper and Pulp Exporters in India 

The EU Deforestation Regulation (EUDR) mandates that exporters of paper, pulp, and wood-based products demonstrate their materials are deforestation-free, legally sourced, and traceable to their forest of origin. For India’s paper and pulp sector characterized by smallholder-based raw material sourcing, agroforestry dependence, and multi-tiered supplier networks this represents both a compliance challenge and a digital transformation opportunity. The TraceX EUDR Compliance Platform provides an integrated, AI- and blockchain-powered solution that digitizes traceability, automates due diligence, and ensures sustainable market access to the EU. 

End-to-End Digital Traceability 

TraceX connects farmers, wood suppliers, mills, and exporters into a unified traceability network. Every wood or fiber batch used for pulp or paper production receives a unique digital ID, linked to verified forest geolocation, legality records, and sourcing documentation. This establishes a tamper-proof chain of custody from plantation to paper reel ensuring EUDR-aligned transparency and traceability. 

Automated Data Capture and DDS Generation 

Through mobile-enabled data collection, field teams can capture GPS coordinates, land-use legality, and supplier certifications at the source. TraceX automatically compiles this information into EUDR-compliant Due Diligence Statements (DDS) for each shipment, enabling instant digital submission to the EU system. This automation drastically reduces manual paperwork, minimizes compliance delays, and ensures data integrity. 

Blockchain-Based Proof of Origin 

Every sourcing and processing transaction from tree harvest to pulp conversion and paper export is securely recorded on the TraceX blockchain ledger, creating an immutable proof of origin. This verifiable, tamper-proof record provides exporters and EU buyers with complete confidence in legality, sustainability, and deforestation-free assurance. 

Smallholder and Supplier Onboarding 

Using mobile onboarding tools, TraceX allows mills and aggregators to register and geo-map smallholder wood suppliers across India’s agroforestry regions such as Andhra Pradesh, Tamil Nadu, and Gujarat. Supplier profiles include land documentation, ownership data, and sustainability certifications, ensuring inclusivity and digital visibility for even the smallest producers. 

AI-Powered Deforestation Risk Analytics 

TraceX’s AI and satellite integration continuously monitor sourcing areas for deforestation activity, land-use changes, and legality risks. Exporters receive real-time alerts, enabling early intervention and continuous compliance monitoring critical for EUDR audit readiness and reputational protection. 

Collaborative Compliance Ecosystem 

The TraceX platform serves as a secure data hub for exporters, mills, regulators, and EU importers to share verified documentation seamlessly. Standardized workflows and transparent reporting accelerate EUDR audits and approvals, reducing administrative bottlenecks and enhancing supply chain coordination. 

By combining blockchain integrity, AI-driven risk assessment, and automated DDS workflows, TraceX transforms EUDR compliance from a manual burden into a strategic sustainability advantage. India’s paper and pulp exporters can now prove legal, deforestation-free sourcing, strengthen EU buyer confidence, and elevate India’s reputation as a global leader in sustainable, traceable forest products trade. 

What EUDR Compliance Means for India’s Paper & Pulp Exporters

The EU Deforestation Regulation (EUDR) represents a transformative shift for India’s paper and pulp export sector, demanding traceability, legality verification, and deforestation-free assurance for every tonne of wood-based material destined for EU markets. 

For Indian exporters, this means moving from traditional certification-based systems (like FSC or PEFC) to digital, data-backed proof of origin including geolocation mapping (GeoJSON), supplier documentation, and automated Due Diligence Statements (DDS). 

Compliance will require mills and traders to digitally trace raw materials to farm or plantation sources, validate legality under Indian forest laws, and verify that no deforestation occurred after the EU’s cut-off date of 31 December 2020. 

Beyond meeting regulatory expectations, EUDR compliance also serves as a strategic opportunity enabling Indian paper and pulp exporters to strengthen buyer trust, ESG credentials, and long-term market access. Early adopters of blockchain traceability and AI-driven monitoring systems will not only meet compliance faster but position India as a responsible, transparent, and deforestation-free supplier in the global forest products trade. 

The Road Ahead for India’s Paper and Pulp Exporters 

EUDR compliance marks a pivotal moment for India’s paper and pulp industry shifting the sector from traditional documentation to digitally verifiable, deforestation-free trade. As EU buyers tighten sustainability and traceability requirements, exporters must embrace data-driven due diligence systems, geolocation mapping, and blockchain-backed transparency to remain competitive. Platforms like TraceX enable Indian companies to automate compliance, enhance supply chain visibility, and build trust with international partners. By proactively adopting EUDR-aligned systems today, India’s paper and pulp exporters can secure long-term EU market access, reinforce their sustainability leadership, and strengthen the country’s position in the global circular bioeconomy. 

Understand the key components of EUDR compliance and how to streamline your DDS process efficiently. 
Read the blog on EUDR Due Diligence 

Learn how AI-driven automation and intelligent workflows simplify data collection, verification, and reporting. 
Explore the blog on Agentic AI for EUDR 

Discover how digital onboarding bridges the gap between smallholders and EUDR compliance. 

Read our blog: Smallholder Onboarding for EUDR Compliance 

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