Meeting this requirement is now feasible thanks to advanced European technology: Austrian company WEME Earth has developed an AI-driven solution that not only facilitates compliance but also enhances supply chain transparency through the integration of satellite technology and artificial intelligence.

Rubber is indispensable in everyday life, found in car tires, conveyor belts, mattresses, shoe soles, and even toothbrushes. The latex used in natural rubber production primarily originates from Southeast Asia, with 85% of global natural rubber supplied by Thailand, Indonesia, Vietnam, and India. In 2023 alone, Thailand, the world's leading rubber exporter, shipped over €1 billion worth of rubber to the EU. However, rising demand has led to extensive deforestation, as large sections of primary rainforest have been cleared to make way for rubber plantations. The EU’s new regulation aims to halt this trend by ensuring that imported commodities, including rubber, cocoa, palm oil, coffee, soy, timber, and beef, do not contribute to deforestation or forest degradation.

Satellite-powered compliance reports

Ensuring compliance is now possible through European AI-driven technology: WEME Earth, a company incubated at the European Space Agency (ESA) in Austria, provides small-scale farmers and supply chain operators in Southeast Asia with a tailored software solution. By combining geospatial data, historical records, and satellite imagery, WEME offers a comprehensive overview of plantation land use, development, and condition. This enables businesses to generate automated due diligence reports, as required by the EU.

“We deliver audit-ready reports that precisely document the status of plantations and land, making compliance seamless. These reports can be directly uploaded to the EU information system and submitted to the relevant regulatory bodies. Our technology is more than just a compliance tool – it is a contribution to global sustainability,” explains WEME Earth CEO Sabine Pongruber.

Direct engagement with EU authorities

WEME Earth’s technology is designed to serve all stakeholders along the supply chain. “Our reports cater to both smallholder farmers and multinational corporations, while also providing authorities across all EU member states with a solid foundation for their decision-making,” says Pongruber. However, a significant challenge remains: 85% of rubber plantations in Thailand are managed by smallholders, who often lack the technical infrastructure and expertise needed to comply with the new EU regulations.

“Our software bridges this gap, enabling farmers to continue exporting their products to the EU without costly investments in technology or external consultancy,” Pongruber emphasises. Simultaneously, WEME Earth collaborates closely with EU regulatory authorities to ensure that its analytics meet the highest scientific and legal standards. “Our AI-driven reports serve as certification documents, providing authorities with all necessary information to confirm compliance. We act as the link between ecological responsibility and business success, reducing the administrative burden for exporters, importers, and regulators alike,” Pongruber adds.

Soil analytics to reduce chemical use

Ensuring compliance with the upcoming EU regulation is just one of WEME Earth’s core competencies. Leveraging satellite technology, the company also conducts plant health assessments and soil analyses. “This helps farmers lower costs, minimise chemical use, and increase crop yields,” Pongruber explains.

She sees vast untapped potential in satellite-based solutions: “By combining high-resolution imagery with AI and geospatial data, we can not only mitigate risks but also implement proactive measures that benefit both the environment and the economy.”

For WEME Earth, the EU’s new deforestation-free supply chain regulation marks just the beginning of a major growth trajectory. “We are at the start of something much bigger. Demand for our solutions is rising steadily, and we are already working on expanding our technology to additional industries and markets. Companies worldwide are realising that this is not just a regulatory obligation – it’s a competitive advantage and a commitment to future generations,” Pongruber concludes.

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