JakartaGlobe-Sept 28
Indonesia and Malaysia are determined not to lose the palm oil market in India, the biggest importer of the commodity, due to perceptions of their products being unsustainable. Sustainability has become a crucial issue because palm oil plantations in Indonesia and Malaysia, the world’s two largest crude palm oil (CPO) producers, have often faced allegations of deforestation. Both countries have requested the revocation of the European Union Deforestation Regulation (EUDR), which they believe has adverse effects on plantation products like palm oil and rubber. Currently, the EU, Malaysia, and Indonesia have formed a joint task force to discuss the fairness of the EUDR. In recent times, negative campaigns against palm oil in India have intensified. Besides sustainability issues, there has been a growing campaign highlighting the alleged adverse health effects of CPO products among Indian consumers. Last year, during a shortage of edible oil in Indonesia, the government imposed export restrictions to secure domestic supplies. This move surprised India, which heavily relies on Indonesia for palm oil supplies, with imports totaling 5 million tons in 2022.
However, the Indonesian government is not concerned about the potential of India to follow in the footsteps of the European Union (EU) in discriminating against Indonesian and Malaysian CPO products. “The solidarity and friendship we have built with India, where we understand each other, is what matters. It’s different from Western countries that are biased against Indonesian and Malaysian CPO,” Deputy Trade Minister Jerry Sambuaga said at the 2nd Sustainable Vegetable Oil Conference held at the ITC Maratha Hotel in Mumbai, India, on Wednesday. Read more at: https://jakartaglobe.id/business/indonesia-malaysia-seek-to-counter-negative-perception-of-palm-oil-in-india
