Mass balance chains of custody, which permit mixing deforestation-free commodities with those of unknown origin or non-deforestation-free commodities at any supply chain stage, are prohibited by the regulation.

This is because they fail to ensure that commodities placed on the market or exported are free from deforestation.

Consequently, commodities for market placement or exportation must be segregated from those of unknown origin or non-deforestation-free commodities throughout the entire supply chain.