Compliance to Competitive Advantage with Audit-Ready DCF Solutions

deforestation and conversion free

DCF is more than a compliance requirement; deforestation and conversion pose both an environmental and a business risk. Adopting a DCF approach helps companies to safeguard their access to global markets, secure long-term supply, and protect brand credibility.

Satelligence provides the data foundation for credible DCF claims, from identifying low-risk sourcing areas to monitoring deforestation and land conversion at plantation level.

We’ll build a DCF approach tailored to your business.

What does Deforestation- and Conversion-Free mean in practice?

DCF ensures that key commodities like palm oil, cocoa, soy, beef, and rubber are not linked to deforestation or land conversion after a defined cut-off date.  Satelligence provides the flexibility to adapt to various cut-off dates (e.g., Dec 2020 for EUDR, 2015 for voluntary commitments, and custom cut-off dates). It provides a shared foundation for meeting both mandatory and voluntary sustainability goals such as EUDR, NDPE, and SBTi FLAG.

Importantly, it goes beyond forests, covering critical natural ecosystems — including peatlands, grasslands, savannahs and wetlands.

Why DCF matters for your business

In today’s sustainability landscape, achieving deforestation-and conversion-free (DCF) sourcing is more than an ethical choice — it’s a strategic imperative. It is the baseline  for securing market access, protecting brand equity, and meeting the evolving demands of investors and other stakeholder expectations.

Business Impact

Adopting DCF (Deforestation and Conversion-Free) practices generates long-term enterprise value by de-risking supply chains against climate-driven volatility and ecosystem degradation.

Beyond operational stability, a verified DCF business improves access to capital, attracts sustainability-conscious partners, and meets stakeholder expectations for responsible production.

Risks of Not Acting

Failing to act exposes businesses to serious systemic risks, including supply disruption in sourcing regions and supply chain instability to legal and financial consequences under new global regulations.

Market & Regulatory Pressure

Across global markets, what is deforestation-free is now clearly defined by policy. The EU Deforestation Regulation (EUDR) and related frameworks require companies to demonstrate that their products are free from deforestation and ecosystem conversion — a standard quickly becoming the global norm.

Compliance & Reputation

Compliance with EUDR and similar standards like NDPE, and SBTi FLAG protects not just operations, but reputation. Transparency builds trust with customers, investors, and regulators, showcasing measurable climate and biodiversity impact.

Supply Chain Visibility

True resilience comes from visibility. A deforestation and conversion-free supply chain equips companies to trace commodities back to origin, verify sourcing integrity, and act with confidence — turning sustainability into a competitive advantage.

How DCF Works

Deforestation and Conversion-Free (DCF) verification follows a clear, step-by-step process to ensure commodities like palm oil, soy, cocoa, beef, and rubber come from land untouched by deforestation or ecosystem conversion after a defined cut-off date (typically aligned with regulations like EUDR). 

Here’s how it works:

Trace Supply Chain Origins

Map your raw materials back to specific production areas — from national or sub-national levels down to farm or plot scale, depending on risk. Reliable traceability (via geolocations or certifications) is the foundation.

Verify No Post-Cutoff Conversion

Use satellite imagery, AI analysis, and ground data to confirm no deforestation, land conversion, or degradation occurred in those areas after the cut-off date. This proves historical compliance.

Monitor Ongoing Risks

Set up continuous monitoring of remaining natural vegetation (forests, peatlands, wetlands) to detect and respond to any new conversion in real-time, ensuring sustained DCF status.

Independent Verification

Have third-party auditors validate your methodology, data accuracy, and claims for credibility — turning DCF into Verified DCF (V-DCF) for reporting and certifications.

Why Satelligence

Science-based. Aligned with key industry standards (AFI and CGF DCF methodologies) . Supporting supply chain resilience.

Satelligence helps you establish and maintain sustainable sourcing through our Deforestation- and Conversion Free (DCF) implementation methodology. Our frameworks are aligned across commodities and with leading global initiatives such as the Consumer Goods Forum (CGF) Forest Positive Coalition, NDPE IRF, and EUDR requirements, ensuring consistency and credibility across markets.

Regardless of whether you have full, partial, or no traceability data, we can help you get started on your DCF journey through one of the following options. 

Here’s how our methodology works:

Option 1

Traceability data-based

When traceability data is available, Satelligence analyses deforestation and conversion at plantation, concession, or farm level using high-resolution satellite data.

Each production unit is assessed against a defined cut-off date (e.g. 31 December 2015), confirming whether any deforestation has occurred since then.

The result is a clear percentage or volume of supply that can be verified as DCF.

Option 2

Satelligence data: Supply chain-based

When traceability data is limited, Satelligence will use its supply chain database to fill traceability gaps.

For commodities such as palm oil and soy, we leverage our proprietary concession and CAR databases to establish traceability linkages between mills and production areas.

Using high-resolution nature baselines and deforestation detection, we calculate verified DCF percentages and identify deforestation exposure linked to known supply sources.

Option 3

Satelligence data: Commodity-based

When traceability data is limited, and Option 2 is not possible, Satelligence applies commodity-specific land-use masks (e.g., palm, soy, cocoa, coffee) to identify and quantify deforestation directly linked to mapped production zones and supply chain entities.

This approach provides commodity-driven DCF volumes at different levels of aggregation (supply chain, landscape) and helps companies assess, prioritise, and plan sourcing and traceability strategies across commodities and regions.

Our approach combines:

 

1. Traceability data from your suppliers and mills

2. High-resolution satellite monitoring of forest and land use change

3. Proprietary crop maps for accurate commodity attribution

4. Continuous updates and deforestation alerts for ongoing monitoring

5. Transparent and industry-aligned methodology and data

Approved & trusted by leading companies

Build the foundation for credible, resilient supply chains.

PepsiCo’s Sustainability Report 2025

“We collaborated with Satelligence, a satellite monitoring platform, to help improve our capability to monitor deforestation events, detect and respond to early alerts and verify origins as deforestation-free in our palm oil (global coverage), sugarcane (Mexico) and cocoa (Brazil, Mexico) supply chains.”

 

 

Read the full report here.

Lindt & Sprüngli Annual Report 2025

“Since 2023 we have Satelligence to more accurately monitor and detect deforestation within or around mapped farms in the Farming Program. Their tool provides deforestation detection data, deforestation risk assessments (with transparent and externally audited methodology), and carbon-emission quantification as a result of land-use change.”

 

Read the full report here.

FAQ

Get answers to your key questions

Deforestation- and Conversion-Free (DCF) monitoring verifies that agricultural commodities are produced without deforestation-free or ecosystem conversion after a defined cut-off date. Credible, impactful DCF monitoring requires:

  • A verified forest and land-use baseline
  • Continuous land-use change detection
  • Commodity-specific spatial data layers
  • Transparent, auditable methodology

DCF is not simply detecting tree loss. It includes conversion of natural ecosystems such as savannahs, grasslands, and wetlands, ensuring that sourcing decisions align with a company’s zero-deforestation and no-conversion commitments.

Deforestation alerts based on open data often only detect tree cover loss, which commonly leads to overestimation of deforestation and associated nature & climate risks.

With Satelligence, DCF monitoring goes further by:

  • Differentiating natural forest from plantations
  • Detecting ecosystem conversion beyond forest loss
  • Applying commodity-specific traceability data
  • Validating results through scientifically robust and auditable processes

Without a verified forest baseline and commodity data layer, deforestation alerts alone cannot support defensible DCF claims.

FMCG companies face exposure to forest-risk commodities such as palm oil, cocoa, soy, coffee, and rubber.

DCF monitoring is viewed as strategic risk infrastructure that supports:

  • Supply chain risk mitigation
  • Protection against reputational damage
  • Continuity of sourcing in volatile markets
  • Credible ESG reporting to investors and financial institutions
  • Long-term zero-deforestation and climate commitments

FMCG companies face exposure to forest-risk commodities such as palm oil, cocoa, soy, coffee, and rubber. Whilst DCF monitoring supports compliance with regulations such as EUDR, its value extends beyond regulatory requirements.

Companies use Satelligence DCF monitoring to:

  • Deliver on voluntary zero-deforestation commitments like SBTi FLAG, CSRD, AFi
  • Meet ESG criteria, benefiting investor-relations and trust with verified and credible data
  • Strengthen procurement decision-making with data-driven and insight ready reports
  • Prepare for future regulatory expansion
  • Align deforestation and carbon land-use reporting with consistent and coherent data

Satellite imagery alone does not reveal which commodity is responsible for land-use change.

A high-quality commodity data layer:

  • Connects land-use change to specific supply chains
  • Improves precision in risk assessments
  • Reduces overestimation or underestimation of impact
  • Enables consistent reporting across geographies

Without a robust commodity data layer, DCF assessments risk being incomplete or misleading.

Many sustainability teams rely on fragmented datasets and manual processes. Satelligence’s DCF monitoring:

  • Automates land-use change detection
  • Standardises verification workflows
  • Provides consistent reporting outputs

For procurement teams, Satelligence platform provides:

  • Comparable, consistent data across suppliers
  • Early identification of sourcing risk
  • Evidence to justify sourcing decisions

This helps procurement teams balance cost, risk, and sustainability KPIs reducing administrative burden and enables your teams to focus on proactive risk mitigation and supplier engagement,
all in a single platform.

Satelligence’s platform is designed for global scalability whilst maintaining methodological consistency and data integrity.

Our platform is designed to scale across:

  • Multiple commodities
  • Multiple geographies
  • Complex, multi-tier supply chains
  • Evolving regulatory and reporting frameworks

To see how, request a platform demo.

Discover the portfolio of Satelligence’s DCF solutions