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Merck KGaA pilot cocoa traceability using Hedera ahead of EU rules

The EU deforestation regulation takes effect for large and medium operators on Dec. 30, 2026, with fines linked to at least 4.0% of annual turnover.

Reported · Written up by our desk · Regulation

The Hashgraph Group, Merck KGaA, and PwC Germany said they are piloting a cocoa traceability system that connects physical authentication scans to records written on the Hedera network, with the timing aimed at the EU deforestation regulation.

The partners did not name a cocoa customer or disclose pilot scale, including tonnage or farm counts, and they said the work is still at the pilot stage. They also did not provide a timeline for moving beyond the test.

Under Regulation (EU) 2023/1115, large and medium operators must comply starting Dec. 30, 2026, while micro and small operators face a later start on June 30, 2027. The rules require operators to collect and retain for five years the geolocation of plots where covered commodities were produced, including coordinates down to specified precision, plus the production date or time range.

Merck KGaA’s M-Trust technology verifies that scanned products or packaging are genuine, while The Hashgraph Group’s TrackTrace records the authentication event on Hedera with a timestamp, according to the release. The regulation’s geolocation and polygon data must still be surveyed and entered by the parties responsible for that information.

The EU framework also sets enforcement expectations, requiring member states to set fines with a maximum of at least 4.0% of an operator’s or trader’s total annual Union-wide turnover from the preceding financial year, and to increase that level where needed to exceed potential economic benefit.

Latest closeCocoa $6,290.00 ▼4.0%

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