On-site Audit
The onsite audit for the EUDR (European Union Regulation on Deforestation) and Lacey Act is a crucial process for verifying compliance with regulations aimed at preventing deforestation and forest degradation within the supply chain of products. Here’s an overview of how this type of audit is conducted:
Objectives of the Onsite EUDR and Lacey Act Audit
Compliance Verification: Ensure that companies comply with the regulations set by the EUDR and Lacey Act regarding the elimination of products linked to deforestation.
Practice Assessment: Evaluate the company’s internal practices and procedures to ensure they align with the requirements of the regulation.
Supply Chain Transparency: Check the transparency and traceability in the supply chain to confirm that products do not originate from deforested areas.
Audit Preparations
Document Review: Before the onsite visit, a thorough review of the company’s documentation and records is conducted. This includes policies, procedures, and supplier records.
Visit Planning: The visit is coordinated with the company to ensure access to relevant areas and to effectively review processes.
Onsite Audit Process
Interviews and Record Review: Interviews with key personnel are conducted, and relevant records and documentation are reviewed to assess compliance.
Physical Inspection: Physical inspections of facilities are carried out to verify the implementation of policies and practices related to the EUDR and Lacey Act.
Supply Chain Review: The supply chain is examined to ensure that products and raw materials do not come from deforested or high-risk areas.
Audit Report
Findings and Recommendations: A report is prepared detailing the findings of the audit, including any non-compliance or areas for improvement identified, along with recommendations to address these issues.
Action Plan: The company must develop and present an action plan to address any deficiencies identified during the audit.
Follow-up
Subsequent Reviews: Depending on the results of the audit, additional reviews or follow-up audits may be conducted to ensure that appropriate corrective measures have been implemented.
It is crucial for companies to be well-prepared for these audits, maintain accurate records, and adopt transparent practices throughout their supply chain to comply with EUDR and Lacey Act requirements and avoid penalties.