Extending the European Union Deforestation-free Regulation to Sri Lanka’s Land-Based Shrimp Aquaculture: Environmental, Regulatory and Trade Justifications

Abstract

The European Union Deforestation-free Regulation (EUDR), adopted in 2023, seeks to guarantee that commodities entering the EU are free from deforestation after 31 December 2020, with strict requirements for traceability and due diligence. While aquaculture is not yet included, this study evaluates the environmental and regulatory dimensions of Sri Lanka’s land-based shrimp farming to assess its suitability for future inclusion. Evidence from coastal districts shows that shrimp farming contributes to mangrove loss, carbon emissions, biodiversity decline and reduced coastal ecosystem services; impacts comparable to those of EUDRregulated commodities. Regulatory analysis reveals gaps in geolocation-based traceability, legality verification and land-use monitoring. Even though the Sri Lanka’s marine resource governance framework offers some protection, the provisions fall short of addressing the conversion of critical habitats for aquaculture and centralized Monitoring, Reporting and Verification (MRV) systems are lacking. Voluntary certifications such as ASC and BAP remain underutilized. The study recommends aligning national governance with EUDR principles through legal reforms, MRV implementation, certification expansion. It also highlights ecological risks from converting regenerating mangroves on abandoned saltern lands, advocating for their consideration within deforestation-free compliance frameworks.