EUDR tightens illegal timber imports; BiH faces compliance challenges despite forestry efforts.
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The European Union Deforestation Regulation (EUDR), which tightens controls on illegal timber imports into the EU market, begins implementation at the end of 2025. It is estimated that up to 30 percent of wood products imported into the EU are illegally sourced, and strict origin controls aim to prevent deforestation in Europe. Bosnia and Herzegovina’s forests are undervalued beyond their economic utility, neglecting biodiversity, aesthetic, health, and environmental protection functions. Poor forest management and neglect affect nearly 50% of the country’s territory, often leading to catastrophic floods and landslides, which are linked to forestry abuses. Experts note that about 15 percent of harvested wood in BiH is stolen. This situation negatively impacts the timber processing sector, a vital part of BiH’s economy with annual exports worth nearly two billion KM, as industries relying on forests must comply with increasingly strict European market rules.
The EUDR requires exporters to provide geographical location data for every piece of wood used in their products, proving that production did not contribute to primary forest deforestation, and mandates a Due Diligence Statement confirming compliance with EU laws. Failure to comply can result in sales bans in the EU and fines up to 4 percent of previous year’s European sales. Companies managing their own plantations are better positioned than those relying on complex supply chains from areas with higher deforestation rates or weaker forest management practices.
While the BiH timber industry claims experience in exporting high-value processed goods, there is a lack of serious discussion regarding EUDR specifics among local stakeholders. Developed Western countries caution that successful implementation of EUDR requires significant investment in technological innovation and administrative system adjustments in resource-dependent nations. The article highlights that while some international certification schemes like FSC have shown positive results in BiH—with 83% of state forests holding an FSC certificate since May 2020—the fundamental issue remains the lack of comprehensive national legislation for forest protection and effective oversight, which is complicated by decentralized management across entities and cantons.
Despite potential readiness demonstrated through existing certification efforts and pilot GPS tracking projects, experts suggest that BiH’s approach may be driven more by external pressure from the EU market than a genuine commitment to ecological forestry. In contrast, neighboring countries like Albania and North Macedonia are actively reforming their forest sectors and implementing due diligence systems. Ultimately, the main challenge for Western Balkan nations integrating into Europe is not legislative harmonization but the implementation of rules through professional and incorruptible bodies.
