RI-Malaysia Compact Against EU Discrimination On Palm Oil
Minister of BKPN

JAKARTA - Coordinating Minister for Economic Affairs Airlangga Hartarto in front of CEOs/representatives of various key oil palm industries in the European Union conveyed a number of concerns regarding the European Union's discriminatory treatment of palm oil.

According to him, participation in the Indonesian-Malaysia Joint Mission to the European Union this time was at a critical moment.

"We convey our concern and disapproval to the European Union which again discriminates against leading export commodities, especially palm oil which has a negative impact on oil palm industry, trade and smallholders (smallholders), through the EU Deforestation-Free Regulation (EUDR) policy," he said in a press release today, Wednesday, May 31.

Airlangga said the policy reduced Indonesia's efforts to commit to solving problems related to climate change issues to protection of biodiversity in accordance with multilateral agreements, agreements and conventions such as the Paris Agreement and the 2030 SDG Agenda UN.

The CPOPC member countries have strictly implemented various policies in the field of forest conservation. Even the deforestation level in Indonesia fell 75 percent in the 2019 2020 period. Indonesia has also succeeded in reducing areas affected by forest fires to 91.84 percent," he said.

Airlangga explained, Indonesia again called for collaboration between CPOPC member countries and mutual understanding between producing countries and consumers to continue to be improved.

"Our message to the European Union is very clear, give us the recognition we deserve. The hope is that we can get concrete results and common and mutual understanding in meetings with officials related to the Commission and the European Parliament so that we can continue to move forward," he said.

On the other hand, in a global situation full of uncertainty like today, all parties need to work and move in harmony and harmony in achieving a common goal, namely economic recovery and welfare.

"The role of industry is very important. Let's jointly promote palm oil positively which is in line with the efforts and commitments that have been made so far," concluded Coordinating Minister Airlangga.

It was also added that the national sustainability standards owned by Indonesia and Malaysia through ISPO and MSPO need recognition, so that EUDR should be able to give way to palm oil products that have been certified by ISPO or MSPO.

To note, as long as this issue has not reached an acceptable midpoint between the two parties, it is considered difficult for palm oil to be accepted in the European Union. Therefore, various provisions of EUDR derivatives need to be discussed together by involving all relevant stakeholders (polycy makers, industry, smallholders and civil society/NGOs) including together with the European Union by forming a multistakeholders platform so that the negative impact of EUDR can be addressed and minimized/disappeared.


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