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Digitizing Wood and Pulp Traceability for EUDR Due Diligence

A large paper manufacturing company sources wood and imported pulp from approved suppliers across its supply chain. As part of its EUDR compliance process, the company needed to connect raw-material sourcing locations with deforestation risk assessment, manufacturing batches, and finished-goods shipments. 

To streamline this process, the company integrated its existing application with TraceX, enabling farm-level sourcing locations and GeoJSON data to flow into TraceX for automated deforestation risk assessment and downstream due diligence.

Wood and pulp supply chain connected to sourcing locations for EUDR due diligence

About the Company

The Paper company is amongst the leading names in the business worldwide. Its innovative solutions meet a diverse cross-section of packaging and communication needs have helped us carve a unique niche for ourselves.  Its Manufacturing units are in Songadh (Gujarat), Rayagada (Orissa), Sirpur (Telangana).

Industry

Paper Manufacturer

Region

India

Use Case

EUDR Compliance for Paper 

Features Used

  • Supplier GeoJSON Upload 
  • Risk Assessment & Mitigation with Satellite Data 
  • Compliance Check 
  • API Integration with Client SAP 
  • API Integration with EU-DDS 

The Challenge

Managing EUDR due diligence for wood and pulp requires the company to maintain a clear connection between sourcing locations, raw materials, manufacturing runs, and finished goods. 

The company needed to address several operational requirements: 

  • Capture sourcing locations: Farm locations associated with sourced wood and imported pulp needed to be captured from approved suppliers. 
  • Assess deforestation risk: Each GeoJSON had to undergo remote-sensing-based deforestation risk assessment before the raw material could be used. 
  • Control manufacturing inputs: Only compliant batches of RM wood and imported pulp could be included in manufacturing runs. 
  • Maintain RM-to-FG traceability: After manufacturing, the company needed to map finished goods back to the wood and pulp used as raw materials. 
  • Generate shipment-level due diligence: Compliant sourcing-location data needed to be consolidated to generate the required DDS for individual shipments. 

Solution

TraceX established a connected digital workflow between the company’s application and its EUDR compliance processes.

Workflow connecting supplier geolocation, risk assessment, raw-material batches, manufacturing, shipments, and DDS
  1. Capture Farm-Level Sourcing Data

Through integration with the company’s existing application, farm locations associated with sourced RM wood and imported pulp are captured and shared with TraceX as GeoJSON data. 

  1. Conduct Deforestation Risk Assessment

TraceX performs a remote-sensing-based deforestation risk assessment for each submitted GeoJSON. This enables the company to assess the sourcing locations before incorporating the corresponding raw materials into manufacturing. 

  1. Enable Compliant Raw Material Usage

The assessment status is used as a control point for manufacturing. Only compliant batches of RM wood and imported pulp are permitted for the manufacturing run, helping connect raw-material compliance with production operations. 

  1. Establish Finished-Goods to Raw-Material Mapping

Once manufacturing is completed and the finished goods are dispatched, the company shares FG-to-RM Wood/Pulp mapping and shipment dispatch details with TraceX. 

This creates a digital connection between the finished product, the raw materials consumed, and their underlying sourcing locations. 

  1. Consolidate Data for DDS Generation

TraceX consolidates the GeoJSON data associated with compliant raw-material sources and uses the relevant shipment information to generate the Deforestation Due Diligence Statement (DDS) for each shipment. 

Explore TraceX EUDR Wood Solutions

Results

The integrated workflow creates a connected traceability and EUDR due-diligence process from raw-material sourcing through manufacturing to finished-goods shipment.

Key Outcomes

  • Digitized sourcing-location capture: Farm locations for wood and imported pulp are digitally captured and shared with TraceX. 
  • Remote-sensing risk assessment: GeoJSONs undergo deforestation risk assessment before raw materials enter manufacturing. 
  • Compliance-based manufacturing control: Only compliant RM wood and imported pulp batches are used in manufacturing runs. 
  • End-to-end RM-to-FG traceability: Finished goods can be mapped back to the wood and pulp used during production. 
  • Consolidated compliance data: GeoJSON information from compliant sources is consolidated for downstream due diligence. 
  • Shipment-level DDS generation: Relevant sourcing and shipment information is brought together to generate a DDS for each shipment. 
  • Connected EUDR workflow: Procurement, raw-material compliance, manufacturing, finished-goods mapping, and due diligence are connected through one digital workflow.

Key Takeaways

  • Connect Sourcing Data with Compliance: Integrating farm-level sourcing locations with EUDR workflows creates greater visibility into raw-material origins. 
  • Assess Raw Materials Before Production: Remote-sensing-based deforestation risk assessment can be used as a compliance checkpoint before RM wood and pulp enter manufacturing. 
  • Use Compliance as a Manufacturing Control: Linking risk-assessment results with manufacturing batches helps ensure that only compliant raw materials are used. 
  • Maintain RM-to-FG Traceability: Mapping finished goods back to the wood and pulp used in production creates a traceable connection between source and shipment. 
  • Consolidate Compliant GeoJSON Data: Bringing together sourcing-location data from compliant raw-material sources supports shipment-level due diligence. 
  • Automate DDS Preparation: Connecting shipment details with compliant sourcing data can streamline the preparation of DDS statements. 
  • Integrate EUDR into Existing Systems: Integration with the company’s existing application allows sourcing and farm-location data to flow into TraceX without creating a disconnected compliance process. 
  • Build an End-to-End Digital Workflow: A connected process can link Supplier → GeoJSON → Risk Assessment → RM Batch → Manufacturing Run → FG Mapping → Shipment → DDS.

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