Oreo Maker Mondelez Pushes To Delay EU Anti-Deforestation Rules; Retail Sentiment Muted

Mondelez (MDLZ) has sought a one-year delay in implementing a proposed European Union anti-deforestation law, which is set to take effect in December.

The EU Deforestation Regulation (EUDR), which was previously delayed by a year due to industry pushback, will ban imports of certain commodities, including soy, beef, cocoa, and palm oil, linked to forest destruction.

Massimiliano Di Domenico, Mondelez's vice president of corporate and government affairs for Europe, told the European Parliament last week that the company agrees in principle but urged the policymakers to account for "on-the-ground realities."

In his comments posted on LinkedIn, said: "The cocoa sector is under huge pressure: soaring prices, declining production, and origin countries still scaling up digital capacity with clear implications for the whole value chain."

He urged for a framework that "enable(s) practical, inclusive, and effective implementation."

On Stocktwits, the retail sentiment for Mondelez remained 'neutral,' unchanged from the previous day. MDLZ shares are up 15.5% year-to-date.

Last year, packaged food makers Nestle, Mars Wrigley, and Ferrero backed EUDR in a joint paper while urging Brussels to provide clearer guidance and support to help companies meet the compliance deadline.

In April, the EU made specific adjustments to compliance by reducing certain routine submissions and paperwork.

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