BENGALURU, 12 August 2025: TraceX Technologies, an agrifood and climate tech startup, has launched an Agentic AI tool to help Indian exporters comply with the European Union’s Deforestation Regulation (EUDR), which comes into force in December 2025.
The regulation mandates that all products entering the EU must be legally sourced and free from deforestation, placing new compliance requirements on exporters of commodities such as coffee, cocoa, palm oil, soy, wood and wood-based goods, rubber, and cattle products.
According to the Global Trade Research Initiative (GTRI), Indian exports worth USD 1.3 billion — including coffee, oil cake, paper, wood furniture, and leather hides — could be impacted. Exporters face rising compliance costs and logistical challenges, particularly small and medium enterprises working with fragmented supply chains.
Traditionally, preparing the mandatory Due Diligence Statement (DDS) involves manual processes, spreadsheet-based tracking, and field agent verification, often resulting in errors and delays. TraceX’s AI-powered solution automates the process through features such as automatic parsing of supplier documents for KYC, AI-validated geolocation data, risk assessment using global earth observation datasets, and early flagging of high-risk suppliers or non-compliant plots.
The tool integrates with legacy systems, auto-generates DDS in the EU TRACES format, and provides real-time updates on regulatory changes — reducing DDS preparation time by up to 80 per cent.
“Managing compliance under EUDR is especially challenging for smallholder-heavy supply chains due to data silos, manual bottlenecks, and missed updates,” said Srivatsa Sreenivasarao, Founder and CEO of TraceX. “By integrating advanced AI into our existing platform, we have made the process more seamless, efficient, and cost-effective for both non-EU exporters and EU importers.”
The company believes its technology will not only ensure regulatory compliance but also enhance transparency and trust in India’s agri-export value chains.
