Organisations sourcing timber and agricultural commodities face a complex landscape of legal, environmental, and social risks. Preferred by Nature provides practical tools to support risk-based decision-making across supply chains, including identifying country-level risks and implementing structured due diligence processes.
Understanding supply chain risks: The Sourcing Hub
Preferred by Nature’s Sourcing Hub is a publicly accessible database containing risk data for timber and agricultural commodities. Users can select a country and commodity to access risk assessments, relevant to international regulations such asthe EU Timber Regulation, the US Lacey Act, and EU Deforestation Regulation.
Risk assessments differentiate between source types – for example, plantations versus natural forests, ownership structures, and regional variations – and assign a risk score. This score reflects the proportion of applicable legal categories at low risk versus those identified as “specified risk”. Scores are averaged across source types to provide a country overview.
The database is being continuously updated through desk research, local expert consultations, and stakeholder feedback. It is expanding to cover sustainability and deforestation-related risks, covering additional commodities such as soy, beef, palm oil, cocoa, coffee, and rubber.
How the Sourcing Hub risk score works :
- Each source type is assessed across 21 legal categories
- Low-risk categories = 1 point; specified risk = 0
- Source type score = points ÷ applicable categories × 100
- Country score = mean of source type scores
- Guides identification of legal gaps and mitigation
Clarifying regulatory obligations: The EUDR Scoping Tool
For businesses operating under the EU Deforestation Regulation (EUDR), Preferred by Nature’s Scoping Tool provides a self-assessment to determine whether the regulation applies and what obligations arise. The tools cover direct obligations and must be completed separately for multiple business entities if applicable.
Continually updated according to new changes to the EUDR (the tool currently reflects Regulation (EU) 2025/2650 adopted in December 2025), the tool is available in English and German, with more translations planned. It focuses on operational clarity rather than theoretical compliance to help organisations understand where action is required.
Challenges and Opportunities of the EUDR
Preferred by Nature’s Due Diligence Toolkit translates sustainability due diligence concepts into operational action. Built on the organisation’s Sustainability Framework, it guides businesses through the design and operation of a due diligence system. The toolkit is aligned with EUDR and other environmental and social standards.
The toolkit is structured into five main steps:
- System set-up: Establish policies and documented procedures.
- Information & supply chains: Collect supplier and supply chain data; ensure traceability.
- Assessing risks: Evaluate environmental and social risks, including deforestation.
- Responding to risks & impacts: Apply mitigation measures, verification, and certification systems.
- Transparency & reporting: Communicate results with stakeholders using standardised templates.
Toolkit in practice
- Templates for sourcing policies, questionnaires, mapping, risk analysis, and reporting
- Supports the development of new due diligence systems and strengthening of existing ones
- Aligns with the Preferred by Nature Certification for environmental and social compliance
Integrating tools for technical decision-making
These tools form an interconnected workflow: the Sourcing Hub identifies where risks may exist, the EUDR Scoping Tool clarifies regulatory obligations, and the Due Diligence Toolkit provides step-by-step guidance to address identified risks. Combined, they allow organisations to implement structured, evidence-based due diligence systems that respond to legal, environmental, and social requirements effectively.
