diff --git a/CHANGELOG.md b/CHANGELOG.md
index 021d602ed2..0aa24b8468 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -17,6 +17,8 @@ the release.
   ([#1514](https://github.com/open-telemetry/opentelemetry-demo/pull/1514))
 * [quoteservice] add manual metric, export logs periodically
   ([#1519](https://github.com/open-telemetry/opentelemetry-demo/pull/1519))
+* [flagd] export flagd traces to otel collector
+  ([#1522](https://github.com/open-telemetry/opentelemetry-demo/pull/1522))
 
 ## 1.9.0
 
diff --git a/docker-compose.yml b/docker-compose.yml
index b27fb1becf..220ce155d4 100644
--- a/docker-compose.yml
+++ b/docker-compose.yml
@@ -218,6 +218,11 @@ services:
   flagd:
     image: ghcr.io/open-feature/flagd:v0.9.0
     container_name: flagd
+    environment:
+      - FLAGD_OTEL_COLLECTOR_URI=${OTEL_COLLECTOR_HOST}:${OTEL_COLLECTOR_PORT_GRPC}
+      - FLAGD_METRICS_EXPORTER=otel
+      - OTEL_RESOURCE_ATTRIBUTES
+      - OTEL_SERVICE_NAME=flagd
     command: [
       "start",
       "--uri",