Palm oil. January 2023
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January 31, 2023
Indonesia assures B35 biodiesel won't squeeze cooking oil supply
JAKARTA, Jan 31 (Reuters) - Indonesia's chief economic minister on Tuesday assured no disruption in domestic cooking availability when a higher blend of palm oil-based fuel in biodiesel is launched on Feb. 1, seeking to allay concerns over supply and prices.
The world's top palm oil producer last year imposed various measures to control stubbornly high prices of local cooking oil, including a three-week ban on exports of the vegetable oil, shocking the global market. Reuters
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The European Union and Malaysia Sign Partnership and Cooperation Agreement
The European Union (EU) and Malaysia signed a Partnership and Cooperation Agreement (EU-MY PCA) in December 2022. The PCA provides an overarching framework that aims to strengthen bilateral cooperation, particularly in the areas of trade and investment, finance, and energy. Further, the EU-MY PCA can help restart discussions on the EU-Malaysia free trade agreement, which reached an impasse in 2012.
On December 14, 2022, the European Union and Malaysia signed a Partnership and Cooperation Agreement (EU-MY PCA) during the inaugural ASEAN-EU Commemorative Summit held in Brussels, Belgium.
The PCA provides an overarching framework that aims to strengthen EU-Malaysia bilateral cooperation. The agreement contains over 60 articles in areas such as trade and investment, energy, finance, and politics, among many others. Malaysia is the sixth country from ASEAN to sign a PCA with the EU, the others being Indonesia, the Philippines, Vietnam, Singapore, and Thailand.
Notably, the EU-MY PCA helps lay the groundwork to recommence discussions on the EU-Malaysia free trade agreement (MEUFTA) whose negotiations have stalled since 2012. ASEAN Briefing
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EU-Malaysia trade to match pre-pandemic levels by year-end, says ambassador
THE European Union (EU) is expecting trade with Malaysia to recover to pre-pandemic levels by the end of this year.
EU ambassador to Malaysia, Michalis Rokas (picture) said the political union involving 27 European countries pledges to continue to make Malaysia its strategic partner given its significant gateway to the ASEAN market.
“ASEAN countries in general are a great destination. It is strategically important for us and 45 per cent of our trade (to ASEAN) goes through Malaysia’s shores. So it is significant,” he told Bernama after appearing as a guest on Bernama TV’s “The Nation” programme, titled “Malaysia-EU Relations” today. The Malaysian Reserve
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Doppa raises deep concern about EU directive over commodity imports
KUCHING (Jan 31): The Sarawak Dayak Oil Palm Planters Association (Doppa) is calling upon the government to intervene in the matter pertaining to the European Union (EU)’s Deforestation Regulations in its Corporate Sustainability Due Diligence Directive (CSDDD), which is said to be excluding the Dayak oil palm farmers from the EU market.
In this regard, Doppa president Napolean Ningkos expresses his concern about CSDDD, which he claims is threatening to remove the state-approved right for indigenous land use, under ‘a green pretext of saving forests in tropical countries’.
“It is making its way up to the legislative chain in the EU, and is expected to become legally binding for all companies that import goods into the EU.
“The core purpose of CSDDD is to ensure that European imports do not cause deforestation in countries that produce palm oil, cocoa, coffee, rubber and other commodities,” he said in a statement.
Napolean, who had just attended a session with European Members of the Parliament, Heidi Hautala and Christophe Hansen in Brussels, said as indigenous people, the Dayaks have the right to develop their ancestral lands as approved by the Sarawak government under the Native Territorial Domain (NTD) of Sarawak Land Code. The Borneo Post
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Indonesia assures B35 biodiesel won't squeeze cooking oil supply
JAKARTA, Jan 31 (Reuters) - Indonesia's chief economic minister on Tuesday assured no disruption in domestic cooking availability when a higher blend of palm oil-based fuel in biodiesel is launched on Feb. 1, seeking to allay concerns over supply and prices.
The world's top palm oil producer last year imposed various measures to control stubbornly high prices of local cooking oil, including a three-week ban on exports of the vegetable oil, shocking the global market. Reuters
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The European Union and Malaysia Sign Partnership and Cooperation Agreement
The European Union (EU) and Malaysia signed a Partnership and Cooperation Agreement (EU-MY PCA) in December 2022. The PCA provides an overarching framework that aims to strengthen bilateral cooperation, particularly in the areas of trade and investment, finance, and energy. Further, the EU-MY PCA can help restart discussions on the EU-Malaysia free trade agreement, which reached an impasse in 2012.
On December 14, 2022, the European Union and Malaysia signed a Partnership and Cooperation Agreement (EU-MY PCA) during the inaugural ASEAN-EU Commemorative Summit held in Brussels, Belgium.
The PCA provides an overarching framework that aims to strengthen EU-Malaysia bilateral cooperation. The agreement contains over 60 articles in areas such as trade and investment, energy, finance, and politics, among many others. Malaysia is the sixth country from ASEAN to sign a PCA with the EU, the others being Indonesia, the Philippines, Vietnam, Singapore, and Thailand.
Notably, the EU-MY PCA helps lay the groundwork to recommence discussions on the EU-Malaysia free trade agreement (MEUFTA) whose negotiations have stalled since 2012. ASEAN Briefing
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EU-Malaysia trade to match pre-pandemic levels by year-end, says ambassador
THE European Union (EU) is expecting trade with Malaysia to recover to pre-pandemic levels by the end of this year.
EU ambassador to Malaysia, Michalis Rokas (picture) said the political union involving 27 European countries pledges to continue to make Malaysia its strategic partner given its significant gateway to the ASEAN market.
“ASEAN countries in general are a great destination. It is strategically important for us and 45 per cent of our trade (to ASEAN) goes through Malaysia’s shores. So it is significant,” he told Bernama after appearing as a guest on Bernama TV’s “The Nation” programme, titled “Malaysia-EU Relations” today. The Malaysian Reserve
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Doppa raises deep concern about EU directive over commodity imports
KUCHING (Jan 31): The Sarawak Dayak Oil Palm Planters Association (Doppa) is calling upon the government to intervene in the matter pertaining to the European Union (EU)’s Deforestation Regulations in its Corporate Sustainability Due Diligence Directive (CSDDD), which is said to be excluding the Dayak oil palm farmers from the EU market.
In this regard, Doppa president Napolean Ningkos expresses his concern about CSDDD, which he claims is threatening to remove the state-approved right for indigenous land use, under ‘a green pretext of saving forests in tropical countries’.
“It is making its way up to the legislative chain in the EU, and is expected to become legally binding for all companies that import goods into the EU.
“The core purpose of CSDDD is to ensure that European imports do not cause deforestation in countries that produce palm oil, cocoa, coffee, rubber and other commodities,” he said in a statement.
Napolean, who had just attended a session with European Members of the Parliament, Heidi Hautala and Christophe Hansen in Brussels, said as indigenous people, the Dayaks have the right to develop their ancestral lands as approved by the Sarawak government under the Native Territorial Domain (NTD) of Sarawak Land Code. The Borneo Post
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January 30, 2023
EU’s green policy a priority for Asean
Indonesia should not be too concerned about meeting the EU’s deforestation-free rule, however, if they followed the global standards.
JAKARTA – The European Green Deal remained among the European Union’s top priorities in both the 27-nation bloc’s 2023 ASEAN and Indonesia strategy, two senior EU diplomats told a press conference in Jakarta on Tuesday.
While its environmental stance on trade had caused heated rifts with some of the largest ASEAN member states, Brussels would ensure that other areas of cooperation could continue undisturbed, they added.
EU Ambassador to Indonesia Vincent Piket emphasized that finalizing the Indonesia-EU Comprehensive Trade Agreement (IEU-CEPA) by the end of the year would be the dominant concern of the bloc’s negotiators. He added that a total of four negotiation rounds had been scheduled for February, May, July and September.
“The economic case [for the IEU-CEPA] remains convincing,” Piket told “At the margins of the G20 [Group of Twenty] Summit in Bali, we agreed to conclude talks by the end of the year,” he said.
Over seven years in the making, the IEU-CEPA is set to count among Indonesia’s largest bilateral trade deals and is expected to advance trade, investment and tourism between the two parties.
But major roadblocks stand in the way, the most profound being the EU’s deforestation-free rule that sought to impose a penalty on any imported products linked to deforestation. Asia News
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Indonesia-CPO exports to drop further as more palm oil goes to biodiesel: GAPKI
The Indonesian Palm Oil Association (GAPKI) expects last year’s decline in palm oil exports, which has been attributed to a volatile regulatory environment and disrupted output, to continue this year. Indonesia, the world’s top palm oil producer, exported 30.8 million tonnes of palm oil products in 2022, down 8.5 percent from 33.7 million tonnes a year earlier. A slight drop in palm oil production last year amid rising domestic consumption in the energy sector also contributed to the lower exports, GAPKI chairman Joko Priyono said in a media briefing in Jakarta on Wednesday. The Jakarta Post
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India’s sunoil imports rise to record as Russia-Ukraine fight for market share
India’s January sunflower oil imports are set to surge to a record 473,000 tonnes, nearly triple average monthly imports as top exporters Russia and Ukraine seek to reduce stockpiles, industry officials told Reuters.
Record imports by India, the world’s biggest vegetable oil importer, come as sunoil’s discount to rival soyoil widened to the highest level in nine months.
The import surge will help key Black Sea producing countries in reducing their stocks, but could dampen India’s palm oil imports and weigh on Malaysian palm oil prices.
“Sunoil was trading at discount to soyoil in December. The discount made it lucrative for Indian buyers,” said Rajesh Patel, managing partner at GGN Research.
In the last week of November and early December, sunoil’s discount to soyoil widened to around $100 per tonne, the highest since February 2022, as warring producers Russia and Ukraine tried to ship more after a deal to provide safe passage to Black Sea shipments was extended.
The deal allowed exporters to move stuck stockpiles and sign new contracts as well, said Sandeep Bajoria, president of the International Sunflower Oil Association. Hellenic Shipping News
EU’s green policy a priority for Asean
Indonesia should not be too concerned about meeting the EU’s deforestation-free rule, however, if they followed the global standards.
JAKARTA – The European Green Deal remained among the European Union’s top priorities in both the 27-nation bloc’s 2023 ASEAN and Indonesia strategy, two senior EU diplomats told a press conference in Jakarta on Tuesday.
While its environmental stance on trade had caused heated rifts with some of the largest ASEAN member states, Brussels would ensure that other areas of cooperation could continue undisturbed, they added.
EU Ambassador to Indonesia Vincent Piket emphasized that finalizing the Indonesia-EU Comprehensive Trade Agreement (IEU-CEPA) by the end of the year would be the dominant concern of the bloc’s negotiators. He added that a total of four negotiation rounds had been scheduled for February, May, July and September.
“The economic case [for the IEU-CEPA] remains convincing,” Piket told “At the margins of the G20 [Group of Twenty] Summit in Bali, we agreed to conclude talks by the end of the year,” he said.
Over seven years in the making, the IEU-CEPA is set to count among Indonesia’s largest bilateral trade deals and is expected to advance trade, investment and tourism between the two parties.
But major roadblocks stand in the way, the most profound being the EU’s deforestation-free rule that sought to impose a penalty on any imported products linked to deforestation. Asia News
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Indonesia-CPO exports to drop further as more palm oil goes to biodiesel: GAPKI
The Indonesian Palm Oil Association (GAPKI) expects last year’s decline in palm oil exports, which has been attributed to a volatile regulatory environment and disrupted output, to continue this year. Indonesia, the world’s top palm oil producer, exported 30.8 million tonnes of palm oil products in 2022, down 8.5 percent from 33.7 million tonnes a year earlier. A slight drop in palm oil production last year amid rising domestic consumption in the energy sector also contributed to the lower exports, GAPKI chairman Joko Priyono said in a media briefing in Jakarta on Wednesday. The Jakarta Post
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India’s sunoil imports rise to record as Russia-Ukraine fight for market share
India’s January sunflower oil imports are set to surge to a record 473,000 tonnes, nearly triple average monthly imports as top exporters Russia and Ukraine seek to reduce stockpiles, industry officials told Reuters.
Record imports by India, the world’s biggest vegetable oil importer, come as sunoil’s discount to rival soyoil widened to the highest level in nine months.
The import surge will help key Black Sea producing countries in reducing their stocks, but could dampen India’s palm oil imports and weigh on Malaysian palm oil prices.
“Sunoil was trading at discount to soyoil in December. The discount made it lucrative for Indian buyers,” said Rajesh Patel, managing partner at GGN Research.
In the last week of November and early December, sunoil’s discount to soyoil widened to around $100 per tonne, the highest since February 2022, as warring producers Russia and Ukraine tried to ship more after a deal to provide safe passage to Black Sea shipments was extended.
The deal allowed exporters to move stuck stockpiles and sign new contracts as well, said Sandeep Bajoria, president of the International Sunflower Oil Association. Hellenic Shipping News
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January 28, 2023
EU's green policy remains key priority in ASEAN ties
The European Green Deal remained among the European Union’s top priorities in both the 27-nation bloc’s 2023 ASEAN and Indonesia strategy, two senior EU diplomats told a press conference in Jakarta on Tuesday.
While its environmental stance on trade had caused heated rifts with some of the largest ASEAN member states, Brussels would ensure that other areas of cooperation could continue undisturbed, they added.
EU Ambassador to Indonesia Vincent Piket emphasized that finalizing the Indonesia-EU Comprehensive Trade Agreement (IEU-CEPA) by the end of the year would be the dominant concern of the bloc’s negotiators. He added that a total of four negotiation rounds had been scheduled for February, May, July and September. The Jakarta Post
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Bolivia’s biodiesel play: economic sense or another Amazon threat?
With the arrival of palm oil, large state investment in biofuel production triggers debate on possible impacts on forests and communities
n September 2020, during Luis Arce’s campaign to be president of Bolivia, he promised to build two biodiesel production plants.
Although the proposal centred around creating jobs and introducing a circular economy to Bolivia, Luis Arce also assured the electorate that the energy transformation would reduce fuel imports.
In recent years, Bolivia has spent an increasing amount on such imports, reaching a record US$2.1 billion in 2021, up from $864 million in 2020. There are still no official figures for 2022, but according to the experts interviewed for this article, the situation has changed little since then.
In September 2022, the president gave the order to start building Bolivia’s first biodiesel plant – Biodiésel-1 – in the city of Santa Cruz.
A couple of months earlier, he launched a programme to promote the cultivation of oil-rich plant species – oil palm (Elaeis guineensis), jatropha (Jatropha curcas) and the castor oil plant (Ricinus comunis) – as raw material to feed Biodiésel-1, Biodiésel-2, and a third plant for making diesel from vegetable oil and used cooking oil.
The president said the five-year programme seeks to “implement technological conditions for the production of oil-containing species, strengthening the capacities of local producers.” Dialogo Chino
EU's green policy remains key priority in ASEAN ties
The European Green Deal remained among the European Union’s top priorities in both the 27-nation bloc’s 2023 ASEAN and Indonesia strategy, two senior EU diplomats told a press conference in Jakarta on Tuesday.
While its environmental stance on trade had caused heated rifts with some of the largest ASEAN member states, Brussels would ensure that other areas of cooperation could continue undisturbed, they added.
EU Ambassador to Indonesia Vincent Piket emphasized that finalizing the Indonesia-EU Comprehensive Trade Agreement (IEU-CEPA) by the end of the year would be the dominant concern of the bloc’s negotiators. He added that a total of four negotiation rounds had been scheduled for February, May, July and September. The Jakarta Post
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Bolivia’s biodiesel play: economic sense or another Amazon threat?
With the arrival of palm oil, large state investment in biofuel production triggers debate on possible impacts on forests and communities
n September 2020, during Luis Arce’s campaign to be president of Bolivia, he promised to build two biodiesel production plants.
Although the proposal centred around creating jobs and introducing a circular economy to Bolivia, Luis Arce also assured the electorate that the energy transformation would reduce fuel imports.
In recent years, Bolivia has spent an increasing amount on such imports, reaching a record US$2.1 billion in 2021, up from $864 million in 2020. There are still no official figures for 2022, but according to the experts interviewed for this article, the situation has changed little since then.
In September 2022, the president gave the order to start building Bolivia’s first biodiesel plant – Biodiésel-1 – in the city of Santa Cruz.
A couple of months earlier, he launched a programme to promote the cultivation of oil-rich plant species – oil palm (Elaeis guineensis), jatropha (Jatropha curcas) and the castor oil plant (Ricinus comunis) – as raw material to feed Biodiésel-1, Biodiésel-2, and a third plant for making diesel from vegetable oil and used cooking oil.
The president said the five-year programme seeks to “implement technological conditions for the production of oil-containing species, strengthening the capacities of local producers.” Dialogo Chino
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January 27, 2023
OPINION-National Certification Standards, the way forward for sustainable palm oil?
As we head into this new year of 2023, there is much hope for the natural world of forests and biodiversity.
-The United Nations Biodiversity Conference (COP15) ended in Montreal, Canada, on 19 December 2022 with a landmark agreement to guide global action on nature through to 2030.
-In Europe, The European Commission welcomed the provisional political agreement just reached between the European Parliament and the Council on an EU Regulation on deforestation-free supply chains. Once adopted and applied, the new law will ensure that a set of key goods placed on the EU market will no longer contribute to deforestation and forest degradation in the EU and elsewhere in the world.
-In the US, A new bill under review in the United States is seeking to facilitate this global shift. The Fostering Overseas Rule of Law and Environmentally Sound Trade (FOREST) Act, introduced by US Sen. Brian Schatz (D-Hawai‘i) and US Reps. Earl Blumenauer (D-Ore.) and Brian Fitzpatrick (R-Penn.), seeks to outlaw commercial products linked to deforestation El Paso Zoo
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Malaysia wants the EU to approve use of palm waste streams as biofuel feedstock
In Malaysia, OFI reports that the national palm oil council wants the European Union to include palm wastes and residues in its list of approved waste feedstocks for biofuel production. The use of palm oil as biofuel feedstock is highly controversial in Europe and is being phased out, which Malaysia and Indonesia continue to fight against, but creating a market for palm waste could help to reduce some of the pain. The European Union recently held an open public comment period regarding updating the list of Annex IX approved feedstocks that closed in early January. Biofuels Digest
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Indonesia Wants Palm Oil Exporters to Trade on Local Exchanges
(Bloomberg) -- Indonesia, the biggest palm oil supplier, is studying rules that would require exporters to trade at least some of their oil on local exchanges before shipping it overseas in order to improve control and data transparency.
The goal is to have a reference price for a specific palm oil product from the exchanges which can be used to calculate taxes and export levies, said Didid Noordiatmoko, acting head of the Commodity Futures Trading Regulatory Agency, known as Bappebti. It would also offer more clarity on supply and demand, helping efforts to ensure the local market is well supplied, he said.
Surging domestic prices forced the government to suspend palm oil exports temporarily last April, causing turmoil on global and local markets, something Jakarta would not want to repeat. The country, one of the largest commodity exporters, is more generally trying to increase control over pricing and supply, and seeking to move up the value chain in terms of overseas sales. Yahoo Finance
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India-(PR) Godrej Agrovet launches Samadhan for farmers, becomes first Indian company to win IPOS certification
The Ministry of Agriculture and Farmer Welfare has set a goal to cultivate 1,000,000 hectares of oil palm by 2027 under the NMEO-OP scheme
Godrej Agrovet has set a goal to add 60,000 hectares of new oil palm plantations in the next five years
MUMBAI, India, Jan. 27, 2023 /PRNewswire/ -- Godrej Agrovet Ltd. has introduced a ground-breaking initiative called Samadhan, a one stop solution centre for oil palm farmers, under its Oil Palm business. Providing a comprehensive package of knowledge, tools, services and solutions to farmers, 'Samadhan' aims to be a critical enabler in Palm Oil industry and assist oil palm farmers in optimising their yields by adopting latest agricultural techniques and boosting their productivity.
As a part of the Samadhan initiative, Godrej Agrovet will establish 50 Samadhan centers across the India by 2027. Each center intends to support the planting of ~2,000 hectares of oil palm and help farmers achieve a sustained productivity in mature gardens through the use of modern agricultural technologies and expert advice. Through this initiative, Godrej Agrovet Ltd. plans to share global best practices with the Indian oil palm farmers and help the farmers to adopt these practices across geographies. It will also help to support farmers to avail developmental finance, government subsidies/schemes and other benefits. PR Newswire
OPINION-National Certification Standards, the way forward for sustainable palm oil?
As we head into this new year of 2023, there is much hope for the natural world of forests and biodiversity.
-The United Nations Biodiversity Conference (COP15) ended in Montreal, Canada, on 19 December 2022 with a landmark agreement to guide global action on nature through to 2030.
-In Europe, The European Commission welcomed the provisional political agreement just reached between the European Parliament and the Council on an EU Regulation on deforestation-free supply chains. Once adopted and applied, the new law will ensure that a set of key goods placed on the EU market will no longer contribute to deforestation and forest degradation in the EU and elsewhere in the world.
-In the US, A new bill under review in the United States is seeking to facilitate this global shift. The Fostering Overseas Rule of Law and Environmentally Sound Trade (FOREST) Act, introduced by US Sen. Brian Schatz (D-Hawai‘i) and US Reps. Earl Blumenauer (D-Ore.) and Brian Fitzpatrick (R-Penn.), seeks to outlaw commercial products linked to deforestation El Paso Zoo
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Malaysia wants the EU to approve use of palm waste streams as biofuel feedstock
In Malaysia, OFI reports that the national palm oil council wants the European Union to include palm wastes and residues in its list of approved waste feedstocks for biofuel production. The use of palm oil as biofuel feedstock is highly controversial in Europe and is being phased out, which Malaysia and Indonesia continue to fight against, but creating a market for palm waste could help to reduce some of the pain. The European Union recently held an open public comment period regarding updating the list of Annex IX approved feedstocks that closed in early January. Biofuels Digest
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Indonesia Wants Palm Oil Exporters to Trade on Local Exchanges
(Bloomberg) -- Indonesia, the biggest palm oil supplier, is studying rules that would require exporters to trade at least some of their oil on local exchanges before shipping it overseas in order to improve control and data transparency.
The goal is to have a reference price for a specific palm oil product from the exchanges which can be used to calculate taxes and export levies, said Didid Noordiatmoko, acting head of the Commodity Futures Trading Regulatory Agency, known as Bappebti. It would also offer more clarity on supply and demand, helping efforts to ensure the local market is well supplied, he said.
Surging domestic prices forced the government to suspend palm oil exports temporarily last April, causing turmoil on global and local markets, something Jakarta would not want to repeat. The country, one of the largest commodity exporters, is more generally trying to increase control over pricing and supply, and seeking to move up the value chain in terms of overseas sales. Yahoo Finance
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India-(PR) Godrej Agrovet launches Samadhan for farmers, becomes first Indian company to win IPOS certification
The Ministry of Agriculture and Farmer Welfare has set a goal to cultivate 1,000,000 hectares of oil palm by 2027 under the NMEO-OP scheme
Godrej Agrovet has set a goal to add 60,000 hectares of new oil palm plantations in the next five years
MUMBAI, India, Jan. 27, 2023 /PRNewswire/ -- Godrej Agrovet Ltd. has introduced a ground-breaking initiative called Samadhan, a one stop solution centre for oil palm farmers, under its Oil Palm business. Providing a comprehensive package of knowledge, tools, services and solutions to farmers, 'Samadhan' aims to be a critical enabler in Palm Oil industry and assist oil palm farmers in optimising their yields by adopting latest agricultural techniques and boosting their productivity.
As a part of the Samadhan initiative, Godrej Agrovet will establish 50 Samadhan centers across the India by 2027. Each center intends to support the planting of ~2,000 hectares of oil palm and help farmers achieve a sustained productivity in mature gardens through the use of modern agricultural technologies and expert advice. Through this initiative, Godrej Agrovet Ltd. plans to share global best practices with the Indian oil palm farmers and help the farmers to adopt these practices across geographies. It will also help to support farmers to avail developmental finance, government subsidies/schemes and other benefits. PR Newswire
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January 26, 2023
Malaysia-Labour shortage cost palm oil sector RM20bil last year, says Fadillah
PUTRAJAYA: The shortage of 63,000 foreign workers in the palm oil sector severely affected yield and saw Malaysia lose out on an estimated RM20 billion in revenue last year, says deputy prime minister Fadillah Yusof.
Fadillah, who is also the plantation and commodities minister, said that as a result, the Cabinet agreed to facilitate the intake of foreign workers and extend the labour recalibration programme until the end of the year.
The programme, originally scheduled to end on Dec 31, 2022, saw more than 410,000 undocumented migrants sign up to be regularised as legal foreign workers.
Fadillah said the home ministry and the human resources ministry will hold discussions with source countries to ensure the entry of foreign workers can be carried out smoothly.
“The two ministries will go to Indonesia and Bangladesh to discuss (the hiring of foreign workers).
“At the Malaysian level, what was decided in the Cabinet is to simplify all processes,” he told reporters after delivering his New Year message at the plantation and commodities ministry here today. Free Malaysia Today
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Malaysia, Indonesia to discuss CPO benchmark pricing - Fadillah
PUTRAJAYA: Malaysia lost RM20 billion in revenue in 2022 due to lack of labour in the palm oil sector, said Deputy Prime Minister and Minister of Plantation and Commodities Datuk Seri Fadillah Yusof.
Fadillah said the agri-commodity industry still needs around 63,000 foreign workers, primarily for the oil palm sector.
"Labour shortages in the oil palm sector had severely impacted productivity in the industry and resulted in an estimated RM20 billion loss of revenue last year," he said.
On another matter, he said Malaysia will hold a meeting with the Indonesian government to discuss the republic's intention to have its own crude palm oil (CPO) benchmark price.
He said the matter needs to be discussed jointly as Indonesia's plans will affect the entire oil palm industry chain, not just Malaysia, but also globally. New Straits Times
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Indonesia Should Not Fear Losing EU’s Palm Oil Market: Gapki
akarta. World’s largest palm oil producer Indonesia should not fear losing the European Union or EU, as the Southeast Asian country still has a lot of other markets to export its top commodity to, according to the Indonesian Palm Oil Association or Gapki.
“Palm oil industry will continue to grow. The commodity is a basic need for food manufacturing and bioenergy. So Indonesia does not need to fear losing the EU because there are other markets out there that will just keep growing,” Gapki chairman Joko Supriyono told reporters in Jakarta on Wednesday.
“What’s more important is how we can fight for our palm oil on the global trade, regardless of the market,” Joko said.
Gapki data show Indonesia exported 3.75 million tons of palm oil products to the EU-27 in the first 11 months of 2022. This marked a 14 percent decline from the same period in 2021. The Gapki export data encompassed crude palm oil (CPO), biodiesel, and oleochemicals, as well as refined, bleached, and deodorized palm olein (RBD). Jakarta Globe
Malaysia-Labour shortage cost palm oil sector RM20bil last year, says Fadillah
PUTRAJAYA: The shortage of 63,000 foreign workers in the palm oil sector severely affected yield and saw Malaysia lose out on an estimated RM20 billion in revenue last year, says deputy prime minister Fadillah Yusof.
Fadillah, who is also the plantation and commodities minister, said that as a result, the Cabinet agreed to facilitate the intake of foreign workers and extend the labour recalibration programme until the end of the year.
The programme, originally scheduled to end on Dec 31, 2022, saw more than 410,000 undocumented migrants sign up to be regularised as legal foreign workers.
Fadillah said the home ministry and the human resources ministry will hold discussions with source countries to ensure the entry of foreign workers can be carried out smoothly.
“The two ministries will go to Indonesia and Bangladesh to discuss (the hiring of foreign workers).
“At the Malaysian level, what was decided in the Cabinet is to simplify all processes,” he told reporters after delivering his New Year message at the plantation and commodities ministry here today. Free Malaysia Today
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Malaysia, Indonesia to discuss CPO benchmark pricing - Fadillah
PUTRAJAYA: Malaysia lost RM20 billion in revenue in 2022 due to lack of labour in the palm oil sector, said Deputy Prime Minister and Minister of Plantation and Commodities Datuk Seri Fadillah Yusof.
Fadillah said the agri-commodity industry still needs around 63,000 foreign workers, primarily for the oil palm sector.
"Labour shortages in the oil palm sector had severely impacted productivity in the industry and resulted in an estimated RM20 billion loss of revenue last year," he said.
On another matter, he said Malaysia will hold a meeting with the Indonesian government to discuss the republic's intention to have its own crude palm oil (CPO) benchmark price.
He said the matter needs to be discussed jointly as Indonesia's plans will affect the entire oil palm industry chain, not just Malaysia, but also globally. New Straits Times
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Indonesia Should Not Fear Losing EU’s Palm Oil Market: Gapki
akarta. World’s largest palm oil producer Indonesia should not fear losing the European Union or EU, as the Southeast Asian country still has a lot of other markets to export its top commodity to, according to the Indonesian Palm Oil Association or Gapki.
“Palm oil industry will continue to grow. The commodity is a basic need for food manufacturing and bioenergy. So Indonesia does not need to fear losing the EU because there are other markets out there that will just keep growing,” Gapki chairman Joko Supriyono told reporters in Jakarta on Wednesday.
“What’s more important is how we can fight for our palm oil on the global trade, regardless of the market,” Joko said.
Gapki data show Indonesia exported 3.75 million tons of palm oil products to the EU-27 in the first 11 months of 2022. This marked a 14 percent decline from the same period in 2021. The Gapki export data encompassed crude palm oil (CPO), biodiesel, and oleochemicals, as well as refined, bleached, and deodorized palm olein (RBD). Jakarta Globe
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January 25, 2023
Decline in edible oil exports drags down Nepal’s overall export
While the decline in the country’s imports in the past year has been a much talked about issue, not much attention has been caught by the fall in the country’s exports. Nepal’s exports have declined by 32 percent to Rs 80.80 billion in the first half of the current fiscal year, particularly due to the dramatic decline in the exports of palm oil, soyabean oil, and sunflower oil to India.
In the last 2-3 years, Nepal’s export figure has largely been dominated by two products—palm oil and soyabean oil, which are basically not produced in Nepal. The edible oils are brought in crude form and refined in Nepal-based refineries and exported to India. Industry insiders say many producers do not even refine the oils as they import refined oils, repackage and label the products and export them to India which results in no to little value addition.
Aided by the ballooning export of edible oils, Nepal’s overall exports touched the Rs 200 billion mark for the first time in history in FY 2021/22. The contribution of edible oils to the country’s overall export was Rs 93.69 billion. Nepal export palm oil and soyabean oil worth Rs 89.18 billion in the last fiscal year which accounts for around 45 percent of Nepal’s total exports. Anna Purna Express
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BDSI reports annual German confectionery sector export growth, in spite of major supply chain issues
Germany’s BDSI confectionery trade body has reported a 6.5% sales volume increase for the nation’s sector, backed by an increase in exports, despite ongoing major energy crisis and significant spikes in ingredients costs, reports Neill Barston.
The organisation stressed that more than 200 key businesses in the industry faced a ‘spiral of costs’ as a result of the ongoing war in Ukraine, as well as warning of ‘massive problems in international supply chains’ that had not been witnessed since the Second World War that had delivered a cumulative negative impact – threatening the existence of many operating within the segment.
This has been underpinned by huge hikes commodity-based ingredients prices – including sugar (up to +100%), cocoa rising by 23%, corn 19% and Wheat by 9%, which are all key elements across the confectionery and snacks trade. Confectionery Production
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Activists Urge Malaysian PM, Anwar, to tap Global Funds in Malaysia's Climate Efforts
Malaysia's new government can reset how the country tackles the impacts of climate change, such as monsoon floods, by investing more in nature backed by international green funding.
To help Malaysia head off frequent floods and choking air pollution caused by forest fires, new Prime Minister Anwar Ibrahim should tap more global green funding to protect nature and tackle the effects of warming, climate change experts say.
Ending a decades-long wait to lead the Southeast Asian nation, largely ruled by one coalition since independence, Anwar, 75, formed a government with rival political blocs after last November’s election, hampered by flooding, produced a hung parliament.
So far, Anwar has focused on corruption and the rising cost of living but has said little on how he will bolster Malaysia’s green credentials - aside from merging the energy and natural resources ministry with the environment and water ministry. Eco Business
Decline in edible oil exports drags down Nepal’s overall export
While the decline in the country’s imports in the past year has been a much talked about issue, not much attention has been caught by the fall in the country’s exports. Nepal’s exports have declined by 32 percent to Rs 80.80 billion in the first half of the current fiscal year, particularly due to the dramatic decline in the exports of palm oil, soyabean oil, and sunflower oil to India.
In the last 2-3 years, Nepal’s export figure has largely been dominated by two products—palm oil and soyabean oil, which are basically not produced in Nepal. The edible oils are brought in crude form and refined in Nepal-based refineries and exported to India. Industry insiders say many producers do not even refine the oils as they import refined oils, repackage and label the products and export them to India which results in no to little value addition.
Aided by the ballooning export of edible oils, Nepal’s overall exports touched the Rs 200 billion mark for the first time in history in FY 2021/22. The contribution of edible oils to the country’s overall export was Rs 93.69 billion. Nepal export palm oil and soyabean oil worth Rs 89.18 billion in the last fiscal year which accounts for around 45 percent of Nepal’s total exports. Anna Purna Express
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BDSI reports annual German confectionery sector export growth, in spite of major supply chain issues
Germany’s BDSI confectionery trade body has reported a 6.5% sales volume increase for the nation’s sector, backed by an increase in exports, despite ongoing major energy crisis and significant spikes in ingredients costs, reports Neill Barston.
The organisation stressed that more than 200 key businesses in the industry faced a ‘spiral of costs’ as a result of the ongoing war in Ukraine, as well as warning of ‘massive problems in international supply chains’ that had not been witnessed since the Second World War that had delivered a cumulative negative impact – threatening the existence of many operating within the segment.
This has been underpinned by huge hikes commodity-based ingredients prices – including sugar (up to +100%), cocoa rising by 23%, corn 19% and Wheat by 9%, which are all key elements across the confectionery and snacks trade. Confectionery Production
---------
Activists Urge Malaysian PM, Anwar, to tap Global Funds in Malaysia's Climate Efforts
Malaysia's new government can reset how the country tackles the impacts of climate change, such as monsoon floods, by investing more in nature backed by international green funding.
To help Malaysia head off frequent floods and choking air pollution caused by forest fires, new Prime Minister Anwar Ibrahim should tap more global green funding to protect nature and tackle the effects of warming, climate change experts say.
Ending a decades-long wait to lead the Southeast Asian nation, largely ruled by one coalition since independence, Anwar, 75, formed a government with rival political blocs after last November’s election, hampered by flooding, produced a hung parliament.
So far, Anwar has focused on corruption and the rising cost of living but has said little on how he will bolster Malaysia’s green credentials - aside from merging the energy and natural resources ministry with the environment and water ministry. Eco Business
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January 24, 2023
India-SEBI ban on agri commodities trade: Why farmers are protesting against the regulator in Mumbai
Terming SEBI's actions as "anti-farmer", the farmers have claimed that the ban on the futures trade has taken away the only price indicator they had.
Shetkari Sanghatana, the farmer’s union started by the late Sharad Joshi, on Monday (January 23) launched an indefinite agitation outside the office of the Securities and Exchange Board of India (SEBI) in Mumbai.
Anil Ghanwat, president of the Swatantra Bharat Party, the political wing of the union, has said the protest was against the continued suspension of derivates trading in seven agri commodities.
What is the background of the SEBI ban? Indian Express
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EU-Biofuel is approaching a feedstock crunch. How bad? And what must be done?
The IEA is warning that biodiesel, renewable diesel and biojet fuel producers are heading for a feedstock supply crunch over the next five years. Rising prices are the signal to seek out new supplies and solutions, which should – and are – driving the development of government programmes and industry innovation. Here, the IEA lays out their projections for 2022-2027, covering all the main feedstocks: sugars, maize, soy oil, rapeseed oil, palm oil, other crops, used cooking oil, animal fats, other wastes and residues. The four regions that are driving demand, the U.S., Europe, Brazil and Indonesia, are responsible for the majority of the consumption growth. Globally, demand for these fuels increases by 56% to 79m tonnes in the IEA’s main case over 2022-2027. Changing decarbonisation regulations and support mechanisms are also affecting supply and demand. On top of rising demand, particular challenges include the detecting of fraudulent and unsustainable waste supplies, and avoiding the appropriation of land used for food.
Biodiesel, renewable diesel and biojet fuel producers are headed for a feedstock supply crunch during 2022-2027 if current trends do not change. In our main case, demand for vegetable oil, waste and residue oils and fats increases 56% to 79 million tonnes over the forecast period.
Fuels made from wastes and residues are in particularly high demand because they satisfy GHG and feedstock policy objectives in the United States and Europe. In fact, wastes and residues are expected to be used for 13% of biofuel production in 2027, up from 9% in 2021. Energy Post
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US-Bay Area Plans to Refine Biofuels Could Derail Climate Goals, Warn Environmentalists
Oil companies may end up relying on environmentally questionable crop-based fuels.
In public statements, the industry and regulators have emphasized that the refineries would mostly use waste oils. But those supplies could be constrained by global demand for those waste products in the coming decades, meaning that biofuels refineries in California may increasingly have to rely on crop oils that would otherwise be used for food, according to forecasts from the agricultural industry and state regulators. Capital and Main
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Indonesia's Pertamina to adjust refinery investment plans amid energy shift
JAKARTA, Jan 24 (Reuters) - The refinery arm of Indonesian state energy firm Pertamina is redesigning its refinery expansion plans to meet shifting demands from a transition towards renewable energy, its chief executive said on Tuesday.
Under Pertamina's 2015 refinery development plan, the company aims to upgrade four of its biggest refineries and build two new ones, which would nearly double its processing capacity to more than 1.5 million barrels per day.
PT Kilang Pertamina Internasional, or KPI, Pertamina's refinery subholding, is readjusting the scope, product mix and timeline of its investment for Plaju, Dumai and Cilacap refineries, its chief executive Taufik Adityawarman told Reuters in an interview.
"Previously, we had a long list to increase capacity and we were emphasising volume," he said of the 2015 plan.
"Now, with a new business environment, adoption of electric vehicles and our own commitment to energy transition, we have to be adaptive." Reuters
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Malaysia's trade on firm growth path in 2023 jolted by China's reopening, RCEP & CPTPP?
KUALA LUMPUR: Malaysia may be able to maintain its trade momentum this year, despite slower economic growth due to the expected global recession, economists said.
They said while global trade would be hampered by the expected downturn in the US and Europe, China's reopening would be a big boost for Malaysia particularly. China is Malaysia's largest trading partner.
Malaysia's trade with the world should also receive economic jolt from the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) as well as the Regional Comprehensive Economic Partnership (RCEP).
Franklin Templeton vice president and portfolio manager of emerging markets equity Edward Pang said China had dismantled its zero-Covid policy, and the swift reopening of its economy would help to ease supply chain issues and normalise regional economic activity. New Straits Times
India-SEBI ban on agri commodities trade: Why farmers are protesting against the regulator in Mumbai
Terming SEBI's actions as "anti-farmer", the farmers have claimed that the ban on the futures trade has taken away the only price indicator they had.
Shetkari Sanghatana, the farmer’s union started by the late Sharad Joshi, on Monday (January 23) launched an indefinite agitation outside the office of the Securities and Exchange Board of India (SEBI) in Mumbai.
Anil Ghanwat, president of the Swatantra Bharat Party, the political wing of the union, has said the protest was against the continued suspension of derivates trading in seven agri commodities.
What is the background of the SEBI ban? Indian Express
---------
EU-Biofuel is approaching a feedstock crunch. How bad? And what must be done?
The IEA is warning that biodiesel, renewable diesel and biojet fuel producers are heading for a feedstock supply crunch over the next five years. Rising prices are the signal to seek out new supplies and solutions, which should – and are – driving the development of government programmes and industry innovation. Here, the IEA lays out their projections for 2022-2027, covering all the main feedstocks: sugars, maize, soy oil, rapeseed oil, palm oil, other crops, used cooking oil, animal fats, other wastes and residues. The four regions that are driving demand, the U.S., Europe, Brazil and Indonesia, are responsible for the majority of the consumption growth. Globally, demand for these fuels increases by 56% to 79m tonnes in the IEA’s main case over 2022-2027. Changing decarbonisation regulations and support mechanisms are also affecting supply and demand. On top of rising demand, particular challenges include the detecting of fraudulent and unsustainable waste supplies, and avoiding the appropriation of land used for food.
Biodiesel, renewable diesel and biojet fuel producers are headed for a feedstock supply crunch during 2022-2027 if current trends do not change. In our main case, demand for vegetable oil, waste and residue oils and fats increases 56% to 79 million tonnes over the forecast period.
Fuels made from wastes and residues are in particularly high demand because they satisfy GHG and feedstock policy objectives in the United States and Europe. In fact, wastes and residues are expected to be used for 13% of biofuel production in 2027, up from 9% in 2021. Energy Post
---------
US-Bay Area Plans to Refine Biofuels Could Derail Climate Goals, Warn Environmentalists
Oil companies may end up relying on environmentally questionable crop-based fuels.
In public statements, the industry and regulators have emphasized that the refineries would mostly use waste oils. But those supplies could be constrained by global demand for those waste products in the coming decades, meaning that biofuels refineries in California may increasingly have to rely on crop oils that would otherwise be used for food, according to forecasts from the agricultural industry and state regulators. Capital and Main
---------
Indonesia's Pertamina to adjust refinery investment plans amid energy shift
JAKARTA, Jan 24 (Reuters) - The refinery arm of Indonesian state energy firm Pertamina is redesigning its refinery expansion plans to meet shifting demands from a transition towards renewable energy, its chief executive said on Tuesday.
Under Pertamina's 2015 refinery development plan, the company aims to upgrade four of its biggest refineries and build two new ones, which would nearly double its processing capacity to more than 1.5 million barrels per day.
PT Kilang Pertamina Internasional, or KPI, Pertamina's refinery subholding, is readjusting the scope, product mix and timeline of its investment for Plaju, Dumai and Cilacap refineries, its chief executive Taufik Adityawarman told Reuters in an interview.
"Previously, we had a long list to increase capacity and we were emphasising volume," he said of the 2015 plan.
"Now, with a new business environment, adoption of electric vehicles and our own commitment to energy transition, we have to be adaptive." Reuters
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Malaysia's trade on firm growth path in 2023 jolted by China's reopening, RCEP & CPTPP?
KUALA LUMPUR: Malaysia may be able to maintain its trade momentum this year, despite slower economic growth due to the expected global recession, economists said.
They said while global trade would be hampered by the expected downturn in the US and Europe, China's reopening would be a big boost for Malaysia particularly. China is Malaysia's largest trading partner.
Malaysia's trade with the world should also receive economic jolt from the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) as well as the Regional Comprehensive Economic Partnership (RCEP).
Franklin Templeton vice president and portfolio manager of emerging markets equity Edward Pang said China had dismantled its zero-Covid policy, and the swift reopening of its economy would help to ease supply chain issues and normalise regional economic activity. New Straits Times
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January 23, 2023
India-Experts spell out ways to improve oilseed production in Telangana
Stating that drip irrigation needs to be made compulsory for plantations, he said marginal and sub-marginal lands are needed for growing oil palms.
HYDERABAD: The only ways that the National Mission on Edible Oils (Oil Palm) can see success in the short run are by declaring oil palms as a plantation crop and creating a corpus fund by levying a cess of 0.5 per cent on edible oil imports to give protection to the domestic farmers growing oil palms, said Shobhana Pattanayak, former secretary of the Department of Agriculture and Farmers Welfare.
He was addressing the concluding day’s session of the five-day National Conference on Vegetable Oils-2023, which was organised by the Indian Institute of Oilseeds Research (IIOR) at the Professor Jayashankar Telangana State Agricultural University, on Saturday.
Though edible oil imports have been around 14-15 million tonnes every year, four years ago, the imports were valued at Rs 75,000 crore, said Pattanayak. However, because of the price escalation in the international markets, the country was presently spending Rs 1,56,000 crore to reduce the import of edible oils. New Indian Express
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India-SC-appointed panel warns against Andaman’s proposal to ‘revive’ palm oil plantations
The proposal is part of a central mission on edible oils. But the court had banned monoculture on forest land in the UT in 2002.
Diversion of forest land for red oil palm plantations in the Andaman and Nicobar Islands is in violation of the Forest Conservation Act, 1980, and will “open the floodgates” for similar agricultural use of forest land.
This is what a Supreme Court appointed committee noted last week while raising red flags against a proposal, which is part of the National Mission On Edible Oils-Oil Palm. A centrally sponsored scheme, the NMEO-OP was launched in 2021 with an aim to reduce India’s palm oil imports from Southeast Asia by focussing on the Northeast and Andamans. Previous schemes were then subsumed under this one.
In India, palm oil is mostly used for cooking and other packaged foods such as ice creams and chocolates.
The Supreme Court had in 2002 banned oil palm plantation in forest lands in Andaman while relying on the Shekhar Singh Committee report, which observed that “existing plantations of oil palm, rubber and teak are reportedly no longer viable and should be phased out”. Following this, the ecologically fragile archipelago wounded up 1,593 hectares of forest land under red oil palm plantations. Newslaundry
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For more information on developing a sustainable palm oil industry in India, visit ISPOC-Indias Sustainable Palm Oil Coalition
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Bolivia: Government will invest Bs1,660 million for production and collection of organic diesel raw materials
UCOM-MHE-YPFB-01-22-2023.- The Constitutional President of Bolivia, Luis Arce, indicated that the national government will invest Bs1,660 million for the construction of three palm oil extraction plants, an oil extraction plant of Macororó and jatropha, and four collection and processing centers for used oils and fats, which will provide the raw material for the production of ecological diesel.
“To date, resources of Bs1,660 million have been guaranteed for the implementation of three palm oil extraction plants in the departments of La Paz, Cochabamba and Beni; (and) a macororó and jatropha oil extraction plant in Villa Montes (Tarija)", said the President, during his speech at the celebration of the 14th anniversary of the founding of the Plurinational State of Bolivia, held in the Casa Grande from town.
Arce said that the four collection centers will be located in the departments of La Paz, Oruro, Cochabamba and Santa Cruz. "These inputs will be used for the production of ecological diesel," he said.
These projects are part of the national government's policy of industrialization with import substitution. In addition, the production of biofuels such as organic diesel will help strengthen the country's energy security. BN Americas
India-Experts spell out ways to improve oilseed production in Telangana
Stating that drip irrigation needs to be made compulsory for plantations, he said marginal and sub-marginal lands are needed for growing oil palms.
HYDERABAD: The only ways that the National Mission on Edible Oils (Oil Palm) can see success in the short run are by declaring oil palms as a plantation crop and creating a corpus fund by levying a cess of 0.5 per cent on edible oil imports to give protection to the domestic farmers growing oil palms, said Shobhana Pattanayak, former secretary of the Department of Agriculture and Farmers Welfare.
He was addressing the concluding day’s session of the five-day National Conference on Vegetable Oils-2023, which was organised by the Indian Institute of Oilseeds Research (IIOR) at the Professor Jayashankar Telangana State Agricultural University, on Saturday.
Though edible oil imports have been around 14-15 million tonnes every year, four years ago, the imports were valued at Rs 75,000 crore, said Pattanayak. However, because of the price escalation in the international markets, the country was presently spending Rs 1,56,000 crore to reduce the import of edible oils. New Indian Express
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India-SC-appointed panel warns against Andaman’s proposal to ‘revive’ palm oil plantations
The proposal is part of a central mission on edible oils. But the court had banned monoculture on forest land in the UT in 2002.
Diversion of forest land for red oil palm plantations in the Andaman and Nicobar Islands is in violation of the Forest Conservation Act, 1980, and will “open the floodgates” for similar agricultural use of forest land.
This is what a Supreme Court appointed committee noted last week while raising red flags against a proposal, which is part of the National Mission On Edible Oils-Oil Palm. A centrally sponsored scheme, the NMEO-OP was launched in 2021 with an aim to reduce India’s palm oil imports from Southeast Asia by focussing on the Northeast and Andamans. Previous schemes were then subsumed under this one.
In India, palm oil is mostly used for cooking and other packaged foods such as ice creams and chocolates.
The Supreme Court had in 2002 banned oil palm plantation in forest lands in Andaman while relying on the Shekhar Singh Committee report, which observed that “existing plantations of oil palm, rubber and teak are reportedly no longer viable and should be phased out”. Following this, the ecologically fragile archipelago wounded up 1,593 hectares of forest land under red oil palm plantations. Newslaundry
----------
For more information on developing a sustainable palm oil industry in India, visit ISPOC-Indias Sustainable Palm Oil Coalition
---------
Bolivia: Government will invest Bs1,660 million for production and collection of organic diesel raw materials
UCOM-MHE-YPFB-01-22-2023.- The Constitutional President of Bolivia, Luis Arce, indicated that the national government will invest Bs1,660 million for the construction of three palm oil extraction plants, an oil extraction plant of Macororó and jatropha, and four collection and processing centers for used oils and fats, which will provide the raw material for the production of ecological diesel.
“To date, resources of Bs1,660 million have been guaranteed for the implementation of three palm oil extraction plants in the departments of La Paz, Cochabamba and Beni; (and) a macororó and jatropha oil extraction plant in Villa Montes (Tarija)", said the President, during his speech at the celebration of the 14th anniversary of the founding of the Plurinational State of Bolivia, held in the Casa Grande from town.
Arce said that the four collection centers will be located in the departments of La Paz, Oruro, Cochabamba and Santa Cruz. "These inputs will be used for the production of ecological diesel," he said.
These projects are part of the national government's policy of industrialization with import substitution. In addition, the production of biofuels such as organic diesel will help strengthen the country's energy security. BN Americas
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January 21, 2023
China’s palm oil business in Indonesia: Socio-environmental challenges
Indonesia has welcomed investments by Chinese companies in its palm oil industry, but local communities have accused them of neglecting local needs
n 8 March 2022, dozens of Indonesian contract farmers gathered in front of the local parliament building at Sintang, West Kalimantan, to protest against three palm oil companies. These contract farmers, also known as “plasma smallholders”, work under a scheme with a company that sends field workers to plant on the farmers’ land in return for part of the harvest.
Along with two Indonesian companies, the Chinese company PT Julong Group Indonesia was accused of disbursing a concession fee that the contract farmers claimed to be too low and not reflective of the rising price of palm fruit. Julong was also accused of land grabbing – taking over local land illegally for palm oil cultivation. China Dialogue
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Fundamental Tug of War Clouds Palm Oil Sentiment
Mintec has learned that exports from Malaysia over 1st to 15th January were estimated down over 35% compared to December, stoking concerns over demand for palm in the near term. Although exports were estimated down, Mintec has learned that production over the same period could also be circa 10% lower on the month. This fundamental tug of war could mean that palm oil prices may not decline as steeply as they might have done if production had remained consistent with December's figures.
A Malaysian palm oil trader told Mintec, “there is a tug of war taking place between the seemingly poor demand and reduced available volumes. This could mean that prices move sideways until the market decides what it thinks is the most prevalent factor. In my view, the export figures are likely closer to 40% down month-on-month (m-o-m) and once the market realises this, prices are going to decline. We also have to consider that these export figures mean that key buyers are simply not buying, and this isn’t a good sign.” Mintec Global
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Ghana-Oil palm expansion project takes off in Ho West District 200 Farmers
Ho West District Department of Agriculture is raising 20,000 seedlings this year for its oil palm expansion project.
The project which will cover a total of 2,000 acres will involve 200 farmers in Dzolo, Awudome, Dededo and other communities.
The District Director of Agriculture, Seth Rashid Asuo, disclosed this to the Daily Graphic at Dzolo-Kpuita, the district capital, yesterday.
“It is encouraging to note that 30 per cent of the farmers are women,” he said.
Mr Asuo said the production of the mass seedlings was taking place solely at the Dzolo-Kpuita nursery, adding that they would be sold to the farmers at a subsidised price. Business Ghana
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January 20, 2023
EU acts against dumped fatty acid from Indonesia
Today, the European Commission imposed anti-dumping duties on fatty acid from Indonesia.
This follows an investigation which showed that EU industry was being harmed by dumped imports because it could not compete on price, resulting in a market share loss.
The anti-dumping duties imposed range from 15.2% to 46.4%. They will help to ensure fair competition between fatty acid imported from Indonesia and locally produced fatty acid.
Fatty acid is widely used in food, cosmetics and medicines. Palm oil is a key raw ingredient of fatty acid.
For more information. PolicyTradeEU
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Indonesia and oil palm producing nations in fury over EU vote on deforestation regulation
This week, the EU Deforestation Regulation text was approved by the EU Parliament Environmental Committee (ENVI).
The Committee vote is not final. The Council and the Parliament will also vote on this matter over the coming weeks.
When the regulation is adopted into law this year, it will oblige the EU’s 27 member states to cut imports of commodities which they believe are responsible for the destruction of standing trees, especially rainforests, stopping suppliers from selling palm oil, cattle, soy, coffee, cocoa, timber, rubber and products made from these commodities.
As previously reported, Asian countries are showing increasingly dissatisfaction towards the regulation because it is a deliberate action to restrict palm oil exports from Indonesia and other oil palm producing countries.
Last week, the Malaysian government made it clear that the law was unfair and threatened to halt all exports of palm oil to the EU while encouraging all additional members of the Council of Palm Oil Producing Countries to fight the law. Scandasia
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EU deforestation rule could be threat or opportunity for Indonesia's smallholders
Small farmers in Indonesia could be excluded from the European palm oil supply chain under a new EU deforestation regulation because they’re far from being able to comply, a new survey shows.
New palm oil regulations being adopted by the European Union and the UK could put even more pressure on independent small farmers in Indonesia who are already struggling to meet sustainability requirements, new research suggests.
Smallholder advocates say there needs to be greater support to help these farmers join the deforestation-free supply chain and avoid a vicious cycle of unsustainable production.
Of chief concern to smallholders is a regulation set to be adopted by the EU in the coming months that will ban the trade in commodities like palm oil that come from illegal sources and deforestation. Small farmers in Indonesia, who manage 6.72 million hectares (16.6 million acres) of oil palm plantations, simply aren’t ready for the regulation, according to researchers from Indonesian environmental NGO Madani. EcoBusiness/ Mongabay
China’s palm oil business in Indonesia: Socio-environmental challenges
Indonesia has welcomed investments by Chinese companies in its palm oil industry, but local communities have accused them of neglecting local needs
n 8 March 2022, dozens of Indonesian contract farmers gathered in front of the local parliament building at Sintang, West Kalimantan, to protest against three palm oil companies. These contract farmers, also known as “plasma smallholders”, work under a scheme with a company that sends field workers to plant on the farmers’ land in return for part of the harvest.
Along with two Indonesian companies, the Chinese company PT Julong Group Indonesia was accused of disbursing a concession fee that the contract farmers claimed to be too low and not reflective of the rising price of palm fruit. Julong was also accused of land grabbing – taking over local land illegally for palm oil cultivation. China Dialogue
---------
Fundamental Tug of War Clouds Palm Oil Sentiment
Mintec has learned that exports from Malaysia over 1st to 15th January were estimated down over 35% compared to December, stoking concerns over demand for palm in the near term. Although exports were estimated down, Mintec has learned that production over the same period could also be circa 10% lower on the month. This fundamental tug of war could mean that palm oil prices may not decline as steeply as they might have done if production had remained consistent with December's figures.
A Malaysian palm oil trader told Mintec, “there is a tug of war taking place between the seemingly poor demand and reduced available volumes. This could mean that prices move sideways until the market decides what it thinks is the most prevalent factor. In my view, the export figures are likely closer to 40% down month-on-month (m-o-m) and once the market realises this, prices are going to decline. We also have to consider that these export figures mean that key buyers are simply not buying, and this isn’t a good sign.” Mintec Global
---------
Ghana-Oil palm expansion project takes off in Ho West District 200 Farmers
Ho West District Department of Agriculture is raising 20,000 seedlings this year for its oil palm expansion project.
The project which will cover a total of 2,000 acres will involve 200 farmers in Dzolo, Awudome, Dededo and other communities.
The District Director of Agriculture, Seth Rashid Asuo, disclosed this to the Daily Graphic at Dzolo-Kpuita, the district capital, yesterday.
“It is encouraging to note that 30 per cent of the farmers are women,” he said.
Mr Asuo said the production of the mass seedlings was taking place solely at the Dzolo-Kpuita nursery, adding that they would be sold to the farmers at a subsidised price. Business Ghana
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January 20, 2023
EU acts against dumped fatty acid from Indonesia
Today, the European Commission imposed anti-dumping duties on fatty acid from Indonesia.
This follows an investigation which showed that EU industry was being harmed by dumped imports because it could not compete on price, resulting in a market share loss.
The anti-dumping duties imposed range from 15.2% to 46.4%. They will help to ensure fair competition between fatty acid imported from Indonesia and locally produced fatty acid.
Fatty acid is widely used in food, cosmetics and medicines. Palm oil is a key raw ingredient of fatty acid.
For more information. PolicyTradeEU
---------
Indonesia and oil palm producing nations in fury over EU vote on deforestation regulation
This week, the EU Deforestation Regulation text was approved by the EU Parliament Environmental Committee (ENVI).
The Committee vote is not final. The Council and the Parliament will also vote on this matter over the coming weeks.
When the regulation is adopted into law this year, it will oblige the EU’s 27 member states to cut imports of commodities which they believe are responsible for the destruction of standing trees, especially rainforests, stopping suppliers from selling palm oil, cattle, soy, coffee, cocoa, timber, rubber and products made from these commodities.
As previously reported, Asian countries are showing increasingly dissatisfaction towards the regulation because it is a deliberate action to restrict palm oil exports from Indonesia and other oil palm producing countries.
Last week, the Malaysian government made it clear that the law was unfair and threatened to halt all exports of palm oil to the EU while encouraging all additional members of the Council of Palm Oil Producing Countries to fight the law. Scandasia
---------
EU deforestation rule could be threat or opportunity for Indonesia's smallholders
Small farmers in Indonesia could be excluded from the European palm oil supply chain under a new EU deforestation regulation because they’re far from being able to comply, a new survey shows.
New palm oil regulations being adopted by the European Union and the UK could put even more pressure on independent small farmers in Indonesia who are already struggling to meet sustainability requirements, new research suggests.
Smallholder advocates say there needs to be greater support to help these farmers join the deforestation-free supply chain and avoid a vicious cycle of unsustainable production.
Of chief concern to smallholders is a regulation set to be adopted by the EU in the coming months that will ban the trade in commodities like palm oil that come from illegal sources and deforestation. Small farmers in Indonesia, who manage 6.72 million hectares (16.6 million acres) of oil palm plantations, simply aren’t ready for the regulation, according to researchers from Indonesian environmental NGO Madani. EcoBusiness/ Mongabay
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January 19, 2023
Indonesia and Malaysia line up against Brussels
Malaysia has thrown its weight behind Indonesia’s rebuke of the EU’s Deforestation Regulation.
Indonesia’s President Jokowi and Malaysian PM Anwar Ibrahim declared their position during the first meeting of the two leaders on January 9, stating that they “agreed to strengthen cooperation to boost markets and combat discrimination against palm oil”.
Last week, Malaysian Foreign Minister Zambry Abdul Kadir told reporters: “The EU deforestation policy is a step against good kinship. Jokowi’s speech has made it clear that [...] the policy is of concern to ASEAN. That the EU cannot dictate. This is an opportunity for Indonesia and Malaysia to join forces and be united in our voices. We stand with Jokowi on this matter.”
A new found cooperation between the two may be a significant blow for the EU in the region. Although the EU-ASEAN Summit produced few substantive results, EU officials had pinned their hopes on stronger bilateral relationships. Biofuels News
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Business Europe: Joint Business Statement on the due diligence proposal (CS3D)
The European business community supports an EU due diligence framework. However, it calls for realism, proportionality, and workability for this framework to truly enable and guide businesses in taking necessary steps towards more sustainable supply chains. This includes companies under the scope but also SMEs that will be impacted. In this crucial phase of the legislative process, the business community would like to put forward a number of recommendations and concerns to enhance the benefits of the corporate sustainability due diligence proposal (CS3D): Business Europe
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Malaysia must continue to engage with EU: MPOC
KUALA LUMPUR: Malaysia must continue to engage with the European Union (EU) and EU stakeholders to ensure that perspectives from producing and exporting countries are taken into consideration.
“(The continued engagement is important) as it can possibly contribute to the shaping of future legal instruments that will serve as examples in other jurisdictions around the world,” said the Malaysian Palm Oil Council (MPOC) in a statement.
The MPOC said it would ensure Malaysia’s involvement in bilateral and multilateral contexts in the following key elements - the mutual recognition of key sustainability standards and frameworks; acceptance and recognition of the Malaysian Sustainable Palm Oil (MSPO) scheme and the inclusion of dedicated provisions on smallholders in any current or future regulations.
EU is currently working on a number of legislative files aimed at addressing deforestation and ensuring the sustainability of products that will have an impact on many commodities, including palm oil. The Sun Daily
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Japan proposes default GHG values for solid biobased fuels
Japan’s Ministry of Economy, Trade and Industry has proposed default greenhouse gas (GHG) emissions values and calculation methods for biobased fuels that are eligible to participate the country’s feed-in tariff and feed-in premium (FIT/FIP) programs for power generation, according to a report filed with the USDA Foreign Agricultural Service’s Global Agricultural Information Network.
The report explains that starting in April 2023, Japan’s Agency for Natural Resources and Energy plans to require FIT/FIP-approved power plants to calculate GHG emission values for imported agricultural residues, imported woody biomass and domestic woody biomass.
METI and ANRE have held a series of biomass sustainability working group meetings since early 2019. Based on those meetings, METI on Dec. 23, 2022, proposed default GHG emissions values and calculation methods for crude palm oil (CPO), palm stearin, palm kernel shells (PKS), palm trunk, imported wood chips, imported wood pellets and domestic woody biomass used in FIT/FIP programs. Biomass Magazine
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The Biodiesel Program of Indonesia; B35 Scheduled to Be Imposed on 1 February 2023
There are a number of advantages for Indonesia when it uses an increasing amount of palm oil for biodiesel:
- By increasing domestic consumption of palm oil (for the production of biodiesel), it helps to raise global palm oil prices as the global supply is curtailed. This also helps to raise prices of fresh fruit bunches [FFBs] at the farmer level, thereby encouraging social development at home. In Indonesia there are an estimated 16.5 million palm oil farmers;
- It helps Indonesia to achieve its renewable energy targets. Amid big international pressure Indonesia feels the need to significantly adjust its energy mix (reducing its use of fossil fuels). Policymakers stated that the B35 biodiesel program can reduce greenhouse gas emissions by approximately 34.9 million tons of CO2e. However, one can argue that palm oil-based biodiesel is not a fully sustainable effort (even if it will become B100 one day) as palm oil plantations are associated with deforestation and animals’ habitat loss Indonesia Investments
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Zanyu Technology to invest $147.6M in Malaysian palm oil biodiesel and chemical production
Zanyu Technology Group, a Chinese manufacturer of surfactants and oleochemicals, plans to invest CNY1 billion (USD147.6 million) to build a plant in Malaysia to branch out into the business of biodiesel production.
Zanyu's new factory, located in the Palm Oil Industrial Cluster near the Port of Lahad Datu, is designed to have an annual output capacity of 200,000 tons of biodiesel, as well as a total of 350,000 tons of three other oleochemicals, including glycerin, the Hangzhou-based firm said in a statement yesterday.
The products are mainly aimed at entering the Malaysian market but will also be sold to other Southeast Asia countries, as well as the global market. Yicai Global
Indonesia and Malaysia line up against Brussels
Malaysia has thrown its weight behind Indonesia’s rebuke of the EU’s Deforestation Regulation.
Indonesia’s President Jokowi and Malaysian PM Anwar Ibrahim declared their position during the first meeting of the two leaders on January 9, stating that they “agreed to strengthen cooperation to boost markets and combat discrimination against palm oil”.
Last week, Malaysian Foreign Minister Zambry Abdul Kadir told reporters: “The EU deforestation policy is a step against good kinship. Jokowi’s speech has made it clear that [...] the policy is of concern to ASEAN. That the EU cannot dictate. This is an opportunity for Indonesia and Malaysia to join forces and be united in our voices. We stand with Jokowi on this matter.”
A new found cooperation between the two may be a significant blow for the EU in the region. Although the EU-ASEAN Summit produced few substantive results, EU officials had pinned their hopes on stronger bilateral relationships. Biofuels News
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Business Europe: Joint Business Statement on the due diligence proposal (CS3D)
The European business community supports an EU due diligence framework. However, it calls for realism, proportionality, and workability for this framework to truly enable and guide businesses in taking necessary steps towards more sustainable supply chains. This includes companies under the scope but also SMEs that will be impacted. In this crucial phase of the legislative process, the business community would like to put forward a number of recommendations and concerns to enhance the benefits of the corporate sustainability due diligence proposal (CS3D): Business Europe
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Malaysia must continue to engage with EU: MPOC
KUALA LUMPUR: Malaysia must continue to engage with the European Union (EU) and EU stakeholders to ensure that perspectives from producing and exporting countries are taken into consideration.
“(The continued engagement is important) as it can possibly contribute to the shaping of future legal instruments that will serve as examples in other jurisdictions around the world,” said the Malaysian Palm Oil Council (MPOC) in a statement.
The MPOC said it would ensure Malaysia’s involvement in bilateral and multilateral contexts in the following key elements - the mutual recognition of key sustainability standards and frameworks; acceptance and recognition of the Malaysian Sustainable Palm Oil (MSPO) scheme and the inclusion of dedicated provisions on smallholders in any current or future regulations.
EU is currently working on a number of legislative files aimed at addressing deforestation and ensuring the sustainability of products that will have an impact on many commodities, including palm oil. The Sun Daily
---------
Japan proposes default GHG values for solid biobased fuels
Japan’s Ministry of Economy, Trade and Industry has proposed default greenhouse gas (GHG) emissions values and calculation methods for biobased fuels that are eligible to participate the country’s feed-in tariff and feed-in premium (FIT/FIP) programs for power generation, according to a report filed with the USDA Foreign Agricultural Service’s Global Agricultural Information Network.
The report explains that starting in April 2023, Japan’s Agency for Natural Resources and Energy plans to require FIT/FIP-approved power plants to calculate GHG emission values for imported agricultural residues, imported woody biomass and domestic woody biomass.
METI and ANRE have held a series of biomass sustainability working group meetings since early 2019. Based on those meetings, METI on Dec. 23, 2022, proposed default GHG emissions values and calculation methods for crude palm oil (CPO), palm stearin, palm kernel shells (PKS), palm trunk, imported wood chips, imported wood pellets and domestic woody biomass used in FIT/FIP programs. Biomass Magazine
---------
The Biodiesel Program of Indonesia; B35 Scheduled to Be Imposed on 1 February 2023
There are a number of advantages for Indonesia when it uses an increasing amount of palm oil for biodiesel:
- By increasing domestic consumption of palm oil (for the production of biodiesel), it helps to raise global palm oil prices as the global supply is curtailed. This also helps to raise prices of fresh fruit bunches [FFBs] at the farmer level, thereby encouraging social development at home. In Indonesia there are an estimated 16.5 million palm oil farmers;
- It helps Indonesia to achieve its renewable energy targets. Amid big international pressure Indonesia feels the need to significantly adjust its energy mix (reducing its use of fossil fuels). Policymakers stated that the B35 biodiesel program can reduce greenhouse gas emissions by approximately 34.9 million tons of CO2e. However, one can argue that palm oil-based biodiesel is not a fully sustainable effort (even if it will become B100 one day) as palm oil plantations are associated with deforestation and animals’ habitat loss Indonesia Investments
---------
Zanyu Technology to invest $147.6M in Malaysian palm oil biodiesel and chemical production
Zanyu Technology Group, a Chinese manufacturer of surfactants and oleochemicals, plans to invest CNY1 billion (USD147.6 million) to build a plant in Malaysia to branch out into the business of biodiesel production.
Zanyu's new factory, located in the Palm Oil Industrial Cluster near the Port of Lahad Datu, is designed to have an annual output capacity of 200,000 tons of biodiesel, as well as a total of 350,000 tons of three other oleochemicals, including glycerin, the Hangzhou-based firm said in a statement yesterday.
The products are mainly aimed at entering the Malaysian market but will also be sold to other Southeast Asia countries, as well as the global market. Yicai Global
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January 18, 2023
Indonesia Palm Oil In Indian Market: Sustainable And Reliable
Over the past two years global vegetable oil markets have been upended by supply chain disruptions from COVID and the Russia-Ukraine conflict.
However, as commodity markets begin to settle into a 'new normal', it is apparent that the fundamentals of the market are returning. There are three key factors that will impact the market for suppliers and purchasers. They are: sustainability and certification; growth of the Indian market; and government policies that will facilitate trade between India and Indonesia.
Sustainability has been a driving force of the debate around palm oil in Western markets. However, that debate has been narrow, and focused almost entirely on deforestation. But properly understood, and for developing countries and emerging economies such as India and Indonesia, sustainability is broader in scope, encompassing social and economic concerns. These are encapsulated in the UN Sustainable Development Goals. Menafn
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German minister to propose withdrawal from use of crop-based biofuels
HAMBURG – German environment minister Steffi Lemke said on Tuesday she would soon send proposals to the cabinet for the country to withdraw from the use of crop-based biofuels to achieve reductions in greenhouse gases.
“Biofuels stand for land consumption and loss of biological diversity,” Lemke said in a speech on Tuesday posted on the environment ministry’s website. “To replace only around 4% of fossil fuel use in German road transport, a land space in Germany and abroad is needed which represents about 20% of the German agricultural area. That is not future-orientated.”
Germany’s programme to cut greenhouse gases includes use of blending biofuels, such as biodiesel and bioethanol, with fossil fuels to reduce emissions from road vehicles.
Oil companies have a greenhouse gas reduction target which they can partly fulfil with biodiesel often made from rapeseed oil or waste vegetable oils and bioethanol that can be produced from grains or sugar.
“I want to intensify the use of real biofuels produced from garbage, wastes and used edible oil,” Lemke said, adding she saw more potential to reduce the quota of greenhouse gas emissions in road transport using waste-based biofuels. Euro News
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EU ag outlook includes forecasts for biodiesel, ethanol demand
The European Commission has published its annual EU agricultural outlook, which includes projections for biofuel use through 2032. The outlook predicts stable biodiesel use in the medium-term, with increased ethanol use through 2030.
According to the report, expected EU demand for biofuels is directly linked to demand for road transport fuels and obligatory fuel blending rates. When compared to 2020-2022, diesel use is expected to fall by 21 percent by 2032. Gasoline use is expected to fall by 18 percent over the same period.
Despite the expected decline in transportation fuel use over the next decade, the European Commission predicts that projected increases in blend rates will boost demand for biofuels. Demand for biodiesel is currently expected to stay relatively stable at approximately 20 billion liters (5.28 billion gallons) per year. Biodiesel Magazine
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Malaysia’s MOH authorises palm tocotrienol
Palm Tocotrienol-Rich Fraction (Palm TRF or Palm Tocotrienols/Tocopherol Complex) has been authorised by the Ministry of Health (Malaysia) to carry two health claims – “may help to improve cognitive function” and “an antioxidant and may help to reduce oxidative stress”.
Ministry of Health Malaysia (Food Safety and Quality Division) announced that after reviewing the scientific evidence and feedback from industry stakeholders, it has officially approved nutrient function claims for Palm TRF as follows:-
i) Palm TRF may help to improve cognitive function.
ii) Palm TRF is an antioxidant and may help to reduce oxidative stress.
In order to make these claims, a finished product (fortified food or drink) would need to contain a minimum of 10 mg of pure tocotrienols per 100 g of solid finished product or 10 mg of pure tocotrienols per 100 ml of liquid product. Nutraceutical Business Review
Indonesia Palm Oil In Indian Market: Sustainable And Reliable
Over the past two years global vegetable oil markets have been upended by supply chain disruptions from COVID and the Russia-Ukraine conflict.
However, as commodity markets begin to settle into a 'new normal', it is apparent that the fundamentals of the market are returning. There are three key factors that will impact the market for suppliers and purchasers. They are: sustainability and certification; growth of the Indian market; and government policies that will facilitate trade between India and Indonesia.
Sustainability has been a driving force of the debate around palm oil in Western markets. However, that debate has been narrow, and focused almost entirely on deforestation. But properly understood, and for developing countries and emerging economies such as India and Indonesia, sustainability is broader in scope, encompassing social and economic concerns. These are encapsulated in the UN Sustainable Development Goals. Menafn
---------
German minister to propose withdrawal from use of crop-based biofuels
HAMBURG – German environment minister Steffi Lemke said on Tuesday she would soon send proposals to the cabinet for the country to withdraw from the use of crop-based biofuels to achieve reductions in greenhouse gases.
“Biofuels stand for land consumption and loss of biological diversity,” Lemke said in a speech on Tuesday posted on the environment ministry’s website. “To replace only around 4% of fossil fuel use in German road transport, a land space in Germany and abroad is needed which represents about 20% of the German agricultural area. That is not future-orientated.”
Germany’s programme to cut greenhouse gases includes use of blending biofuels, such as biodiesel and bioethanol, with fossil fuels to reduce emissions from road vehicles.
Oil companies have a greenhouse gas reduction target which they can partly fulfil with biodiesel often made from rapeseed oil or waste vegetable oils and bioethanol that can be produced from grains or sugar.
“I want to intensify the use of real biofuels produced from garbage, wastes and used edible oil,” Lemke said, adding she saw more potential to reduce the quota of greenhouse gas emissions in road transport using waste-based biofuels. Euro News
---------
EU ag outlook includes forecasts for biodiesel, ethanol demand
The European Commission has published its annual EU agricultural outlook, which includes projections for biofuel use through 2032. The outlook predicts stable biodiesel use in the medium-term, with increased ethanol use through 2030.
According to the report, expected EU demand for biofuels is directly linked to demand for road transport fuels and obligatory fuel blending rates. When compared to 2020-2022, diesel use is expected to fall by 21 percent by 2032. Gasoline use is expected to fall by 18 percent over the same period.
Despite the expected decline in transportation fuel use over the next decade, the European Commission predicts that projected increases in blend rates will boost demand for biofuels. Demand for biodiesel is currently expected to stay relatively stable at approximately 20 billion liters (5.28 billion gallons) per year. Biodiesel Magazine
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Malaysia’s MOH authorises palm tocotrienol
Palm Tocotrienol-Rich Fraction (Palm TRF or Palm Tocotrienols/Tocopherol Complex) has been authorised by the Ministry of Health (Malaysia) to carry two health claims – “may help to improve cognitive function” and “an antioxidant and may help to reduce oxidative stress”.
Ministry of Health Malaysia (Food Safety and Quality Division) announced that after reviewing the scientific evidence and feedback from industry stakeholders, it has officially approved nutrient function claims for Palm TRF as follows:-
i) Palm TRF may help to improve cognitive function.
ii) Palm TRF is an antioxidant and may help to reduce oxidative stress.
In order to make these claims, a finished product (fortified food or drink) would need to contain a minimum of 10 mg of pure tocotrienols per 100 g of solid finished product or 10 mg of pure tocotrienols per 100 ml of liquid product. Nutraceutical Business Review
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January 17, 2023
Indigenous Dayak farmers urge the EU to support their rights
An estimated 40,000 indigenous smallholders of oil palm will be adversely impacted if the restrictions from EU are enforced
The Dayak Oil Palm Planters Association (DOPPA) from Sarawak, Malaysia had raised concerns on the introduction of the European Union (EU) Corporate Sustainable Due Diligence (CSDD) on the import of palm oil by European countries.
The DOPPA have issued an open statement asking the EU Parliament to support indigenous Dayak oil palm farmers rights to development in Malaysia.
“The EU’s action against palm oil may have a significant negative impact on indigenous smallholders in Sarawak.” The DOPPA said in the statement while adding that an estimated 40,000 indigenous smallholders of oil palm will be adversely impacted if the restrictions are enforced unilaterally on Malaysia’s palm oil industry. Citizens Journal
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OPINION-EU Uses Deforestation Label To Edge Out Palm Oil From The Market
JAKARTA, SAWIT INDONESIA – The Council and the European Parliament on Dec. 6 reached a provisional deal on a proposal to minimize the risk of deforestation and forest degradation associated with products that are imported into or exported from the European Union. The agreement is provisional pending formal adoption in both institutions.
In an apparent defense against the critics who have from the outset attacked the deforestation label as discriminative against palm oil, the EU argues that the policy also will be enforced for all commodities and their derivatives that play a substantial part in deforestation such as beef, cacao, soy, timber and rubber.
But Joko Supriyono, Chairman of the Indonesian Palm Oil Association (GAPKI) commented on Wednesday “The EU proposals on traceability, small farmers, and risk profiles clearly go beyond what is necessary and reasonable to guarantee sustainability. It would make the EU an outlier in refusing to support Indonesia’s record-breaking environmental progress, and put the EU directly at odds with the 2030 U.N. Sustainable Development Goals. We urge the Council and Commission to be the voices of reason.” Sawit Indonesia
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Peru’s biodiesel consumption falls in 2022
Peruvian biodiesel production reached approximately 208 million liters (54.95 million gallons) last year, a level of production maintained from the previous year, according to a report filed with the USDA Foreign Agricultural Service’s Global Agricultural Information Network.
The country imported an estimated 50 million liters of biodiesel last year, down from 203 million liters the previous year. Spain, Indonesia, Malaysia and the Netherlands supplied biodiesel to the Peruvian market in 2021. The U.S. also provided biodiesel blended fuel to the country in 2021. Peru does not currently sell biodiesel into export markets.
Peru consumed approximately 310 million liters of biodiesel in 2022, down approximately 22 percent when compared to the 398 million liters consumed in 2021. The drop in consumption is primarily attributed to a temporary suspension of the country’s biodiesel mandate due to supply chain interruptions that reduced imports. Biodiesel Magazine
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January 16, 2023
Palm oil diplomacy
As Indonesia and Malaysia account for almost 90 percent combined of the world’s palm oil production and this commodity plays a very important role in their economies, supplying almost 50 percent of the global vegetable oil, the two countries should have been able to come together to become a leader in the edible oil market.
But we observe both countries have yet to prove they can fully work together in an atmosphere of mutual trust even six years after they established the Council of Palm Oil Producing Countries (CPOPC), which many in the advanced countries see as a cartel-like organization.
We were encouraged therefore when President Joko “Jokowi” Widodo and Malaysia’s new Prime Minister Anwar Ibrahim announced after their first summit meeting in Jakarta earlier last week that both countries would fight discriminative trade policies against palm oil and expressed commitment to strengthening cooperation through the CPOPC. The Jakarta Post
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Why Malaysia Is Considering A Ban On Palm Oil Exports To The European Union
Malaysia, the world's second-largest palm oil producer, has said it might stop palm exports to the European Union after the bloc imposed additional import restrictions on the edible oil due to concerns over deforestation.
Malaysia and Indonesia have for years been at loggerheads with the European Union over curbs on imports of palm oil, which the two countries say are trade barriers and protectionist measures for the bloc's domestic oilseed industries.
The EU deforestation regulation is in addition to an EU renewable-energy directive, announced in 2018, that requires the phasing out of palm-based transportation fuels by 2030.
The bloc has also set a separate safety limit on food contaminant 3-MCPD esters for palm oil compared to soft oils derived from crops such as soybean, canola and sunflower.
What Has Malaysia Done About EU Restrictions? ESM
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Trade partners see red over Europe’s green agenda
Brussels accused of using sustainability push as pretext to throwing up trade barriers to the rest of the world.
The EU's green ambitions are, for its trading partners, turning into a case of the road to hell being paved with good intentions.
Developing nations, especially, worry that Brussels is throwing up trade barriers in its pursuit of climate neutrality and sustainable food production. To them, it looks like all the EU can export is rules that will hold back their own economic progress.
Indonesia, for example, has warned the EU should not attempt to dictate its green standards to countries in Southeast Asia. “There must be no coercion, no more parties who always dictate and assume that my standards are better than yours,” Indonesian President Joko Widodo told European leaders at the EU-ASEAN summit last month.
In another striking example of the anger provoked by the EU's green agenda, Malaysia has threatened to stop exports of palm oil to the bloc over new rules aimed at fighting deforestation. Politico
Indigenous Dayak farmers urge the EU to support their rights
An estimated 40,000 indigenous smallholders of oil palm will be adversely impacted if the restrictions from EU are enforced
The Dayak Oil Palm Planters Association (DOPPA) from Sarawak, Malaysia had raised concerns on the introduction of the European Union (EU) Corporate Sustainable Due Diligence (CSDD) on the import of palm oil by European countries.
The DOPPA have issued an open statement asking the EU Parliament to support indigenous Dayak oil palm farmers rights to development in Malaysia.
“The EU’s action against palm oil may have a significant negative impact on indigenous smallholders in Sarawak.” The DOPPA said in the statement while adding that an estimated 40,000 indigenous smallholders of oil palm will be adversely impacted if the restrictions are enforced unilaterally on Malaysia’s palm oil industry. Citizens Journal
---------
OPINION-EU Uses Deforestation Label To Edge Out Palm Oil From The Market
JAKARTA, SAWIT INDONESIA – The Council and the European Parliament on Dec. 6 reached a provisional deal on a proposal to minimize the risk of deforestation and forest degradation associated with products that are imported into or exported from the European Union. The agreement is provisional pending formal adoption in both institutions.
In an apparent defense against the critics who have from the outset attacked the deforestation label as discriminative against palm oil, the EU argues that the policy also will be enforced for all commodities and their derivatives that play a substantial part in deforestation such as beef, cacao, soy, timber and rubber.
But Joko Supriyono, Chairman of the Indonesian Palm Oil Association (GAPKI) commented on Wednesday “The EU proposals on traceability, small farmers, and risk profiles clearly go beyond what is necessary and reasonable to guarantee sustainability. It would make the EU an outlier in refusing to support Indonesia’s record-breaking environmental progress, and put the EU directly at odds with the 2030 U.N. Sustainable Development Goals. We urge the Council and Commission to be the voices of reason.” Sawit Indonesia
---------
Peru’s biodiesel consumption falls in 2022
Peruvian biodiesel production reached approximately 208 million liters (54.95 million gallons) last year, a level of production maintained from the previous year, according to a report filed with the USDA Foreign Agricultural Service’s Global Agricultural Information Network.
The country imported an estimated 50 million liters of biodiesel last year, down from 203 million liters the previous year. Spain, Indonesia, Malaysia and the Netherlands supplied biodiesel to the Peruvian market in 2021. The U.S. also provided biodiesel blended fuel to the country in 2021. Peru does not currently sell biodiesel into export markets.
Peru consumed approximately 310 million liters of biodiesel in 2022, down approximately 22 percent when compared to the 398 million liters consumed in 2021. The drop in consumption is primarily attributed to a temporary suspension of the country’s biodiesel mandate due to supply chain interruptions that reduced imports. Biodiesel Magazine
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January 16, 2023
Palm oil diplomacy
As Indonesia and Malaysia account for almost 90 percent combined of the world’s palm oil production and this commodity plays a very important role in their economies, supplying almost 50 percent of the global vegetable oil, the two countries should have been able to come together to become a leader in the edible oil market.
But we observe both countries have yet to prove they can fully work together in an atmosphere of mutual trust even six years after they established the Council of Palm Oil Producing Countries (CPOPC), which many in the advanced countries see as a cartel-like organization.
We were encouraged therefore when President Joko “Jokowi” Widodo and Malaysia’s new Prime Minister Anwar Ibrahim announced after their first summit meeting in Jakarta earlier last week that both countries would fight discriminative trade policies against palm oil and expressed commitment to strengthening cooperation through the CPOPC. The Jakarta Post
----------
Why Malaysia Is Considering A Ban On Palm Oil Exports To The European Union
Malaysia, the world's second-largest palm oil producer, has said it might stop palm exports to the European Union after the bloc imposed additional import restrictions on the edible oil due to concerns over deforestation.
Malaysia and Indonesia have for years been at loggerheads with the European Union over curbs on imports of palm oil, which the two countries say are trade barriers and protectionist measures for the bloc's domestic oilseed industries.
The EU deforestation regulation is in addition to an EU renewable-energy directive, announced in 2018, that requires the phasing out of palm-based transportation fuels by 2030.
The bloc has also set a separate safety limit on food contaminant 3-MCPD esters for palm oil compared to soft oils derived from crops such as soybean, canola and sunflower.
What Has Malaysia Done About EU Restrictions? ESM
---------
Trade partners see red over Europe’s green agenda
Brussels accused of using sustainability push as pretext to throwing up trade barriers to the rest of the world.
The EU's green ambitions are, for its trading partners, turning into a case of the road to hell being paved with good intentions.
Developing nations, especially, worry that Brussels is throwing up trade barriers in its pursuit of climate neutrality and sustainable food production. To them, it looks like all the EU can export is rules that will hold back their own economic progress.
Indonesia, for example, has warned the EU should not attempt to dictate its green standards to countries in Southeast Asia. “There must be no coercion, no more parties who always dictate and assume that my standards are better than yours,” Indonesian President Joko Widodo told European leaders at the EU-ASEAN summit last month.
In another striking example of the anger provoked by the EU's green agenda, Malaysia has threatened to stop exports of palm oil to the bloc over new rules aimed at fighting deforestation. Politico
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|
January 15, 2023
Strategy to fight anti-palm oil lobby with Indonesia will put pressure on EU
BANGI: The strategic cooperation with Indonesia to fight the anti-palm oil lobby will be able to put pressure on the European Union (EU), said Malaysian Palm Oil Board (MPOB) director-general Datuk Dr Ahmad Parveez Ghulam Kadir.
He said the move may be one option that the world's two biggest palm oil producers could undertake to fight the discrimination by the EU on palm oil following the new rules on deforestation by the trade bloc.
"Both countries through the Council of Palm Oil Producing Countries (CPOPC) will find ways to put pressure on the EU so that the bloc does not arbitrarily bully Malaysia and Indonesia.
"If we feel the approach is strategic and helpful, I believe we should continue it with Indonesia so that both countries are not randomly pressured with new rules which put aside and ignore palm. New Straits Times
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Beware unexpected effects of palm oil export ban, say experts
PETALING JAYA: A veiled threat of a ban on palm oil exports to the European Union may well backfire, bringing with it unintended consequences, say economists.
The threat was made by Deputy Prime Minister Fadillah Yusof on Friday. Fadillah, who is also plantation industries and commodities minister, said the government is considering an export ban because of new deforestation regulations in the EU.
Singapore-based Segi Enam Advisors senior economist Khor Yu Leng said while key politicians have been taking a more combative stance on rising compliance regulations from the EU, Malaysia’s palm oil suppliers are still keen to supply to the EU as it is a premium market.
She said bans can have “unexpected effects”, especially in a competitive landscape where Indonesia has been gaining market share in the EU and with big buyers.
Malaysia and Indonesia account for more than 80% of world palm oil supply. The EU accounted for 9.4% of Malaysia’s export volume in 2022 but exports have been declining since 2015.
Last year, Malaysia’s exports to the EU fell 10% from the previous year to 1.47 million tonnes. That represents a 40% plunge from 2.43 million tonnes in 2015.
Countries within the EU passed a historic law last December that will stop products causing forest destruction from being sold in European shops and supermarkets. FMT
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Environmentalists lambast Indonesia-Malaysia palm oil pledge over deforestation concerns
JAKARTA – Environmentalists have criticised Indonesia and Malaysia’s pledge to fight “discrimination” against palm oil, saying it puts the countries’ commitment to halting deforestation into question.
Last Monday, Indonesia and Malaysia, the world’s largest palm oil producers, agreed to cooperate to develop the palm oil market and combat what they referred to as discrimination against the commodity. Environmentalists are worried that the agreement will undermine the two countries’ efforts to combat deforestation.
“(Indonesian President Joko Widodo) did not explicitly mention the latest European Union regulation, but we suspect that’s what he meant, as there are similar accusations from other Indonesian officials,” Greenpeace Indonesia global forestry campaign head Kiki Taufik said in a statement last Wednesday. Straits Times
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Nigeria can replace petrol with solar energy, palm oil - Sowore
The African Action Congress (AAC) Presidential candidate, Omoyele Sowore, has said that the Nigerian economy can achieve full diversification from crude oil resources through the generation of solar energy in the northern part of Nigeria and other products like palm oil from the South.
Sowore made the proposition while contributing to a discussion on the distribution of resources on the Nigerian Television Authority (NTA).
The AAC Presidential candidate also noted that technology had taken over across the globe, and has now become the "new resource.”
He argued that crude oil would soon cease to be a major source “because people are moving away from the consumption of fossil fuel.”
Sowore also suggested that Nigeria's diverse nature must be well understood before the issues around wealth distribution can be effectively tackled. Pulse Nigeria
Strategy to fight anti-palm oil lobby with Indonesia will put pressure on EU
BANGI: The strategic cooperation with Indonesia to fight the anti-palm oil lobby will be able to put pressure on the European Union (EU), said Malaysian Palm Oil Board (MPOB) director-general Datuk Dr Ahmad Parveez Ghulam Kadir.
He said the move may be one option that the world's two biggest palm oil producers could undertake to fight the discrimination by the EU on palm oil following the new rules on deforestation by the trade bloc.
"Both countries through the Council of Palm Oil Producing Countries (CPOPC) will find ways to put pressure on the EU so that the bloc does not arbitrarily bully Malaysia and Indonesia.
"If we feel the approach is strategic and helpful, I believe we should continue it with Indonesia so that both countries are not randomly pressured with new rules which put aside and ignore palm. New Straits Times
---------
Beware unexpected effects of palm oil export ban, say experts
PETALING JAYA: A veiled threat of a ban on palm oil exports to the European Union may well backfire, bringing with it unintended consequences, say economists.
The threat was made by Deputy Prime Minister Fadillah Yusof on Friday. Fadillah, who is also plantation industries and commodities minister, said the government is considering an export ban because of new deforestation regulations in the EU.
Singapore-based Segi Enam Advisors senior economist Khor Yu Leng said while key politicians have been taking a more combative stance on rising compliance regulations from the EU, Malaysia’s palm oil suppliers are still keen to supply to the EU as it is a premium market.
She said bans can have “unexpected effects”, especially in a competitive landscape where Indonesia has been gaining market share in the EU and with big buyers.
Malaysia and Indonesia account for more than 80% of world palm oil supply. The EU accounted for 9.4% of Malaysia’s export volume in 2022 but exports have been declining since 2015.
Last year, Malaysia’s exports to the EU fell 10% from the previous year to 1.47 million tonnes. That represents a 40% plunge from 2.43 million tonnes in 2015.
Countries within the EU passed a historic law last December that will stop products causing forest destruction from being sold in European shops and supermarkets. FMT
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Environmentalists lambast Indonesia-Malaysia palm oil pledge over deforestation concerns
JAKARTA – Environmentalists have criticised Indonesia and Malaysia’s pledge to fight “discrimination” against palm oil, saying it puts the countries’ commitment to halting deforestation into question.
Last Monday, Indonesia and Malaysia, the world’s largest palm oil producers, agreed to cooperate to develop the palm oil market and combat what they referred to as discrimination against the commodity. Environmentalists are worried that the agreement will undermine the two countries’ efforts to combat deforestation.
“(Indonesian President Joko Widodo) did not explicitly mention the latest European Union regulation, but we suspect that’s what he meant, as there are similar accusations from other Indonesian officials,” Greenpeace Indonesia global forestry campaign head Kiki Taufik said in a statement last Wednesday. Straits Times
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Nigeria can replace petrol with solar energy, palm oil - Sowore
The African Action Congress (AAC) Presidential candidate, Omoyele Sowore, has said that the Nigerian economy can achieve full diversification from crude oil resources through the generation of solar energy in the northern part of Nigeria and other products like palm oil from the South.
Sowore made the proposition while contributing to a discussion on the distribution of resources on the Nigerian Television Authority (NTA).
The AAC Presidential candidate also noted that technology had taken over across the globe, and has now become the "new resource.”
He argued that crude oil would soon cease to be a major source “because people are moving away from the consumption of fossil fuel.”
Sowore also suggested that Nigeria's diverse nature must be well understood before the issues around wealth distribution can be effectively tackled. Pulse Nigeria
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January 14, 2023
Environmentalists lambast RI-Malaysia palm oil pledge
Environmentalists have criticized Indonesia and Malaysia’s pledge to fight “discrimination” against palm oil, saying it puts the countries’ commitment to halting deforestation into question. On Monday, Indonesia and Malaysia, the world’s largest palm oil producers, agreed to cooperate to develop the palm oil market and to combat what they referred to as discrimination against the commodity. Environmentalists are worried that the agreement will undermine the countries’ efforts to combat deforestation. The Jakarta Post
---------
Strategy to fight Anti-Palm oil lobby with Indonesia will put pressure on EU
THE strategic cooperation with Indonesia to fight the anti-palm oil lobby will be able to put pressure on the European Union (EU), said Malaysian Palm Oil Board (MPOB) director-general Datuk Dr Ahmad Parveez Ghulam Kadir.
He said the move may be one option that the world’s two biggest palm oil producers could undertake to fight the discrimination by the EU on palm oil following the new rules on deforestation by the trade bloc.
“Both countries through the Council of Palm Oil Producing Countries (CPOPC) will find ways to put pressure on the EU so that the bloc does not arbitrarily bully Malaysia and Indonesia. The Malaysian Reserve
---------
Malaysia says it could stop palm oil exports to EU after new curbs
EU says it is not banning palm oil
Environmental activists blame the palm oil industry for rampant clearing of Southeast Asian rainforests, though Indonesia and Malaysia have created sustainability certification standards mandatory for all plantations.
Fadillah, who is also deputy prime minister, urged the members of the Council of Palm Oil Producing Countries (CPOPC) to work together against the new law and to combat “baseless allegations” made by the EU and United States about the sustainability of palm oil.
CPOPC, which is led by Indonesia and Malaysia, has previously accused the EU of unfairly targeting palm oil.
Responding to Fadillah, the EU’s ambassador to Malaysia said it was not banning any imports of palm oil from the country and denied that its deforestation law created barriers to Malaysian exports.
“(The law) applies equally to commodities produced in any country, including EU member states, and aims to ensure that commodity production does not drive further deforestation and forest degradation,” EU Ambassador Michalis Rokas told Reuters.
Rokas added that he looked forward to meeting Fadillah to ease Malaysia’s concerns. EURACTIV
---------
Indonesia-Biodiesel program encourages sustainable palm oil business: Ministry
Jakarta (ANTARA) - The government is pursuing a biodiesel-type biofuel program in a bid to lower dependence on petroleum while concomitantly bringing Indonesian palm oil to a better and more sustainable level.
"This biodiesel program is not merely a program by the Energy and Mineral Resources Ministry to use it as fuel but also on encouraging palm oil (sector) in Indonesia to provide extensive benefits for the national economy and specifically for farmers," the director general of new, renewable energy, and energy conservation at the Energy and Mineral Resources Ministry Dadan Kusdiana noted in a statement received here on Friday.
When the biodiesel implementation program was being designed, the price of crude palm oil (CPO) was at around US$275 per ton, he noted.
This rate continues to increase in line with the increasing demand for palm oil due to the adoption of biodiesel.
"Indonesia still imports diesel fuel, even though the graph is decreasing. This is one of the breakthroughs and proof that research and development results can be implemented and provide such extensive benefits," he explained.
Moreover, the government is pushing for the construction of more factories to process CPO into biodiesel. Antara News
---------
Indonesia palm oil export curbs, biodiesel plans to hit world vegoil supplies
SINGAPORE/JAKARTA (Reuters) -A move by top palm oil exporter Indonesia to restrict shipments and boost domestic biodiesel consumption is set to squeeze global vegetable oil supplies already undercut by lower output in Southeast Asia and Latin America.
Edible oil buyers, including price-sensitive consumers in South Asia and Africa, will bear the brunt of the supply-side constraints that come just as demand is forecast to climb, with China easing COVID-19 controls and India boosting purchases.
Indonesia's new restrictions are another challenge for food-importing countries hurting from last year's red-hot inflation, which pushed prices of key staples wheat, corn and soybeans to all-time or multi-year highs.
"The implementation of (the) B35 mandate in Indonesia in 2023 definitely changes (the) global palm oil SND (supply and demand) situation," said Oscar Tjakra, a senior analyst at food and agribusiness research at Rabobank.
"I'm now expecting global palm oil SND will be in a slight deficit." Yahoo/ Reuters
---------
EU Winter Rapeseed Plantings Above Expectations Yet Biodiesel Demand Returns
Market players have reported to Mintec that winter planting of rapeseed in the EU were likely between 5.9 and 6 million hectares. If realised come harvest in June and July, this would be the highest level of plantings in five to six years within the EU and could provide downward price pressure to rapeseed oil even before the harvest period, reducing prices further from current levels.
A trader commented to Mintec, “spot rapeseed oil is in limited demand. We see some interest in the forwards but even then, buyers want to pay low prices. Supply of rapeseed right now, and thus rapeseed oil, is high and Canadian production is back to normal levels after the issues in the previous season. From a fundamental standpoint, things look bearish.” Mintec
---------
Bain Capital invests in Asian biomass co EcoCeres
US investment firm Bain Capital has acquired a significant stake in EcoCeres Inc, a Hong Kong-headquartered biomass company founded by Hong Kong & China Gas Limited (Towngas) which remains a strategic shareholder.
The partnership with the US investor is seen to help EcoCeres “scale up international business in the global markets and advance renewable energy technologies, among other growth initiatives,” the companies said on Thursday.
The financial details of the deal were not provided in the statements published by the parties. The US firm has separately told Reuters that it has poured USD 400 million (EUR 368.4m) in growth capital to acquire a stake in the Asian business.
EcoCeres is a biorefinery platform that converts waste-based biomass, such as waste and residue from palm oil mills and used cooking oil, into a broad range of biofuels, biochemicals and biomaterials. It produces commercialised hydro-treated vegetable oil (HVO), sustainable aviation fuel (SAF) and cellulosic ethanol. Renewables Now
Environmentalists lambast RI-Malaysia palm oil pledge
Environmentalists have criticized Indonesia and Malaysia’s pledge to fight “discrimination” against palm oil, saying it puts the countries’ commitment to halting deforestation into question. On Monday, Indonesia and Malaysia, the world’s largest palm oil producers, agreed to cooperate to develop the palm oil market and to combat what they referred to as discrimination against the commodity. Environmentalists are worried that the agreement will undermine the countries’ efforts to combat deforestation. The Jakarta Post
---------
Strategy to fight Anti-Palm oil lobby with Indonesia will put pressure on EU
THE strategic cooperation with Indonesia to fight the anti-palm oil lobby will be able to put pressure on the European Union (EU), said Malaysian Palm Oil Board (MPOB) director-general Datuk Dr Ahmad Parveez Ghulam Kadir.
He said the move may be one option that the world’s two biggest palm oil producers could undertake to fight the discrimination by the EU on palm oil following the new rules on deforestation by the trade bloc.
“Both countries through the Council of Palm Oil Producing Countries (CPOPC) will find ways to put pressure on the EU so that the bloc does not arbitrarily bully Malaysia and Indonesia. The Malaysian Reserve
---------
Malaysia says it could stop palm oil exports to EU after new curbs
EU says it is not banning palm oil
Environmental activists blame the palm oil industry for rampant clearing of Southeast Asian rainforests, though Indonesia and Malaysia have created sustainability certification standards mandatory for all plantations.
Fadillah, who is also deputy prime minister, urged the members of the Council of Palm Oil Producing Countries (CPOPC) to work together against the new law and to combat “baseless allegations” made by the EU and United States about the sustainability of palm oil.
CPOPC, which is led by Indonesia and Malaysia, has previously accused the EU of unfairly targeting palm oil.
Responding to Fadillah, the EU’s ambassador to Malaysia said it was not banning any imports of palm oil from the country and denied that its deforestation law created barriers to Malaysian exports.
“(The law) applies equally to commodities produced in any country, including EU member states, and aims to ensure that commodity production does not drive further deforestation and forest degradation,” EU Ambassador Michalis Rokas told Reuters.
Rokas added that he looked forward to meeting Fadillah to ease Malaysia’s concerns. EURACTIV
---------
Indonesia-Biodiesel program encourages sustainable palm oil business: Ministry
Jakarta (ANTARA) - The government is pursuing a biodiesel-type biofuel program in a bid to lower dependence on petroleum while concomitantly bringing Indonesian palm oil to a better and more sustainable level.
"This biodiesel program is not merely a program by the Energy and Mineral Resources Ministry to use it as fuel but also on encouraging palm oil (sector) in Indonesia to provide extensive benefits for the national economy and specifically for farmers," the director general of new, renewable energy, and energy conservation at the Energy and Mineral Resources Ministry Dadan Kusdiana noted in a statement received here on Friday.
When the biodiesel implementation program was being designed, the price of crude palm oil (CPO) was at around US$275 per ton, he noted.
This rate continues to increase in line with the increasing demand for palm oil due to the adoption of biodiesel.
"Indonesia still imports diesel fuel, even though the graph is decreasing. This is one of the breakthroughs and proof that research and development results can be implemented and provide such extensive benefits," he explained.
Moreover, the government is pushing for the construction of more factories to process CPO into biodiesel. Antara News
---------
Indonesia palm oil export curbs, biodiesel plans to hit world vegoil supplies
SINGAPORE/JAKARTA (Reuters) -A move by top palm oil exporter Indonesia to restrict shipments and boost domestic biodiesel consumption is set to squeeze global vegetable oil supplies already undercut by lower output in Southeast Asia and Latin America.
Edible oil buyers, including price-sensitive consumers in South Asia and Africa, will bear the brunt of the supply-side constraints that come just as demand is forecast to climb, with China easing COVID-19 controls and India boosting purchases.
Indonesia's new restrictions are another challenge for food-importing countries hurting from last year's red-hot inflation, which pushed prices of key staples wheat, corn and soybeans to all-time or multi-year highs.
"The implementation of (the) B35 mandate in Indonesia in 2023 definitely changes (the) global palm oil SND (supply and demand) situation," said Oscar Tjakra, a senior analyst at food and agribusiness research at Rabobank.
"I'm now expecting global palm oil SND will be in a slight deficit." Yahoo/ Reuters
---------
EU Winter Rapeseed Plantings Above Expectations Yet Biodiesel Demand Returns
Market players have reported to Mintec that winter planting of rapeseed in the EU were likely between 5.9 and 6 million hectares. If realised come harvest in June and July, this would be the highest level of plantings in five to six years within the EU and could provide downward price pressure to rapeseed oil even before the harvest period, reducing prices further from current levels.
A trader commented to Mintec, “spot rapeseed oil is in limited demand. We see some interest in the forwards but even then, buyers want to pay low prices. Supply of rapeseed right now, and thus rapeseed oil, is high and Canadian production is back to normal levels after the issues in the previous season. From a fundamental standpoint, things look bearish.” Mintec
---------
Bain Capital invests in Asian biomass co EcoCeres
US investment firm Bain Capital has acquired a significant stake in EcoCeres Inc, a Hong Kong-headquartered biomass company founded by Hong Kong & China Gas Limited (Towngas) which remains a strategic shareholder.
The partnership with the US investor is seen to help EcoCeres “scale up international business in the global markets and advance renewable energy technologies, among other growth initiatives,” the companies said on Thursday.
The financial details of the deal were not provided in the statements published by the parties. The US firm has separately told Reuters that it has poured USD 400 million (EUR 368.4m) in growth capital to acquire a stake in the Asian business.
EcoCeres is a biorefinery platform that converts waste-based biomass, such as waste and residue from palm oil mills and used cooking oil, into a broad range of biofuels, biochemicals and biomaterials. It produces commercialised hydro-treated vegetable oil (HVO), sustainable aviation fuel (SAF) and cellulosic ethanol. Renewables Now
|
|
January 13, 2023
Malaysia Mulls Halting Palm Oil Exports to EU to Oppose New Rule.
Bloomberg
---------
Explainer: Why Malaysia is considering a ban on palm oil exports to the European Union.
Reuters
---------
Malaysia says it could stop palm oil exports to EU after new curbs
Malaysia said on Thursday it could stop exporting palm oil to the European Union in response to a new EU law aimed at protecting forests by strictly regulating sale of the product. Commodities Minister Fadillah Yusof said Malaysia and Indonesia would discuss the law, which bans sale of palm oil and other commodities linked to deforestation unless importers can show that production of their specific goods has not damaged forests. The EU is a major palm oil importer and the law, agreed to in December, has raised an outcry from Indonesia and Malaysia, the top producers. The Jakarta Post
-----------
Malaysia to stop palm oil exports to EU if negative palm oil campaign escalates, says minister.
PUTRAJAYA: Malaysia may stop exporting palm oil to the European Union (EU) if the bloc continues to escalate its negative palm oil campaign.
Plantation and Commodities minister Datuk Seri Fadillah Yusof said this in light of the EU's new deforestation regulation, which is aimed at preventing companies from placing commodities linked to such activities in the EU market.
Among the commodities affected were palm oil, soya, timber, rubber and cocoa.
The minister said Malaysia had complied with aspects concerning sustainability and the environment with regulations to ensure its palm oil industry adheres to international safety standards. New Straits Times
----------
Indonesia, Malaysia threaten to stop exporting palm oil to Europe
Indonesia and Malaysia have said that they could stop exporting palm oil to the European Union in response to a new EU law aimed at protecting forests by strictly regulating the sale of palm oil products.
Hanoi (VNA) - Indonesia and Malaysia have said that they could stop exporting palm oil to the European Union in response to a new EU law aimed at protecting forests by strictly regulating the sale of palm oil products.
According to CNN Indonesia, environmental activists blame the palm oil industry for rampant clearing of Southeast Asian rainforests, though Indonesia and Malaysia have created sustainability certification standards mandatory for all plantations.
Malaysian Deputy Prime Minister and Commodities Minister Fadillah Yusof said Malaysia and Indonesia will discuss the law, which bans sale of palm oil and other commodities linked to deforestation unless importers can show that production of their specific goods has not damaged forests. Vietnam Plus
----------
TIMELINE-Growing tensions between Asian palm oil producers and the European Union
Malaysia on Thursday said it could stop exports to the European Union in response to a new law the EU says is aimed at protecting forests by restricting palm oil imports. EU's ambassador to Malaysia says the bloc is not banning any imports of palm oil from the country and that the law applies equally to commodities produced anywhere, including in EU member states.
Malaysia on Thursday said it could stop exports to the European Union in response to a new law the EU says is aimed at protecting forests by restricting palm oil imports. The EU has in recent years imposed several rules to regulate palm imports after concluding its cultivation results in excessive deforestation, raising an outcry from top producers Indonesia and Malaysia.
Here is a timeline of the rising tensions between the Asian palm oil producers and the EU over the matter. APRIL 5, 2017. DevDiscourse
---------
Malaysia threatens to halt all palm oil exports upon EU passing law on forest protection
It has only been a little over a month since the Members of the EU decided to ban all import and export of products originating from areas of deforestation including palm oil, rubber and coffee.
However, the Malaysian government, the world’s second largest exporter of palm oil, said the law is unfair and has threatened to halt all export of palm oil to EU.
According to Danish public media, DR, the law is the first in the world to attempt to protect forests against over-exploitation and several environmental organisations, such as Greenpeace and Forests of the World, has said the is law groundbreaking and important for the fight for protecting pristine and primary forests.
With the law, the EU wishes to target deforestation around the world as it has enormous consequences for biodiversity, nature, climate, and indigenous people. According to UN, more than 420 million hectares, consistent with all EU Members States together, disappeared between 1990 and 2020.
Malaysian Minister of Plantation and Commodities, Fadillah Yusof, believes the accusations from environmental organisations of palm oil producers being responsible for clearing large areas of rain forest in Southeast Asia has no place on Earth as Malaysia has collaborated with Indonesia, the world’s largest exporter of palm oil, in enforcing mandatory sustainability standards for all plantations. Scandasia
---------
Indonesia palm oil export curbs, biodiesel plans to hit world vegoil supplies
Reporting by Naveen Thukral and Bernadette Christina; Additional reporting by Fransiska Nangoy in Jakarta and Mei Mei Chu in Kuala Lumpur; Editing by Tom Hogue
---------
Japan's JR West to switch all diesel trains to biofuel around 2030
Biotech company Euglena, trading houses to aid with decarbonization
OSAKA -- West Japan Railway, known as JR West, plans to introduce biofuel in all its diesel trains, which operate mainly on local lines, by around 2030, a move that will reduce carbon dioxide emissions on nonelectrified sections, which account for nearly 40% of the company's lines excluding bullet train lines.
The move comes as Japan's railway companies, including East Japan Railway (JR East), accelerate the decarbonization of their operations. However, the cost of the new fuel, which is higher than that of diesel made from petroleum, will be a challenge for the company as the profitability of local lines deteriorates. Nikkei Asia
---------
ESG a bigger priority for corporate Malaysia
PETALING JAYA: Sime Darby Plantation Bhd (SDP) plans to review its near-term 2030 targets and longer-term 2050 targets that were submitted to Science Based Targets initiative (SBTi) on Nov 10, 2022, by the second quarter of this year for a full validation.
During SDP’s net-zero webinar yesterday, its chief financial officer Renaka Ramachandran said the company had completed scope one and scope two baselining way back in 2011, proving its commitment to environmental, social and governance (ESG).
However, looking back at it, the group realised the need to consider the importance of scope three, leading it to re-baselining using the latest available feature as of 2020.
“During the process of doing that, we will look at issues like the footprints for non-forest, land and agriculture guidelines (Flag),” Renaka said during her opening remarks at the webinar, moderated by SDP head of downstream sustainability Mark Wong.“Hence, we had to review and revisit our baselining and make it ready for submission to SBTi, which we are proud to say that we have actually done,” she added. The StarMY
Malaysia Mulls Halting Palm Oil Exports to EU to Oppose New Rule.
Bloomberg
---------
Explainer: Why Malaysia is considering a ban on palm oil exports to the European Union.
Reuters
---------
Malaysia says it could stop palm oil exports to EU after new curbs
Malaysia said on Thursday it could stop exporting palm oil to the European Union in response to a new EU law aimed at protecting forests by strictly regulating sale of the product. Commodities Minister Fadillah Yusof said Malaysia and Indonesia would discuss the law, which bans sale of palm oil and other commodities linked to deforestation unless importers can show that production of their specific goods has not damaged forests. The EU is a major palm oil importer and the law, agreed to in December, has raised an outcry from Indonesia and Malaysia, the top producers. The Jakarta Post
-----------
Malaysia to stop palm oil exports to EU if negative palm oil campaign escalates, says minister.
PUTRAJAYA: Malaysia may stop exporting palm oil to the European Union (EU) if the bloc continues to escalate its negative palm oil campaign.
Plantation and Commodities minister Datuk Seri Fadillah Yusof said this in light of the EU's new deforestation regulation, which is aimed at preventing companies from placing commodities linked to such activities in the EU market.
Among the commodities affected were palm oil, soya, timber, rubber and cocoa.
The minister said Malaysia had complied with aspects concerning sustainability and the environment with regulations to ensure its palm oil industry adheres to international safety standards. New Straits Times
----------
Indonesia, Malaysia threaten to stop exporting palm oil to Europe
Indonesia and Malaysia have said that they could stop exporting palm oil to the European Union in response to a new EU law aimed at protecting forests by strictly regulating the sale of palm oil products.
Hanoi (VNA) - Indonesia and Malaysia have said that they could stop exporting palm oil to the European Union in response to a new EU law aimed at protecting forests by strictly regulating the sale of palm oil products.
According to CNN Indonesia, environmental activists blame the palm oil industry for rampant clearing of Southeast Asian rainforests, though Indonesia and Malaysia have created sustainability certification standards mandatory for all plantations.
Malaysian Deputy Prime Minister and Commodities Minister Fadillah Yusof said Malaysia and Indonesia will discuss the law, which bans sale of palm oil and other commodities linked to deforestation unless importers can show that production of their specific goods has not damaged forests. Vietnam Plus
----------
TIMELINE-Growing tensions between Asian palm oil producers and the European Union
Malaysia on Thursday said it could stop exports to the European Union in response to a new law the EU says is aimed at protecting forests by restricting palm oil imports. EU's ambassador to Malaysia says the bloc is not banning any imports of palm oil from the country and that the law applies equally to commodities produced anywhere, including in EU member states.
Malaysia on Thursday said it could stop exports to the European Union in response to a new law the EU says is aimed at protecting forests by restricting palm oil imports. The EU has in recent years imposed several rules to regulate palm imports after concluding its cultivation results in excessive deforestation, raising an outcry from top producers Indonesia and Malaysia.
Here is a timeline of the rising tensions between the Asian palm oil producers and the EU over the matter. APRIL 5, 2017. DevDiscourse
---------
Malaysia threatens to halt all palm oil exports upon EU passing law on forest protection
It has only been a little over a month since the Members of the EU decided to ban all import and export of products originating from areas of deforestation including palm oil, rubber and coffee.
However, the Malaysian government, the world’s second largest exporter of palm oil, said the law is unfair and has threatened to halt all export of palm oil to EU.
According to Danish public media, DR, the law is the first in the world to attempt to protect forests against over-exploitation and several environmental organisations, such as Greenpeace and Forests of the World, has said the is law groundbreaking and important for the fight for protecting pristine and primary forests.
With the law, the EU wishes to target deforestation around the world as it has enormous consequences for biodiversity, nature, climate, and indigenous people. According to UN, more than 420 million hectares, consistent with all EU Members States together, disappeared between 1990 and 2020.
Malaysian Minister of Plantation and Commodities, Fadillah Yusof, believes the accusations from environmental organisations of palm oil producers being responsible for clearing large areas of rain forest in Southeast Asia has no place on Earth as Malaysia has collaborated with Indonesia, the world’s largest exporter of palm oil, in enforcing mandatory sustainability standards for all plantations. Scandasia
---------
Indonesia palm oil export curbs, biodiesel plans to hit world vegoil supplies
- Indonesia links exports to local supplies, plans B35 from Feb 1
- Vegoil supplies to tighten as drought hits Argentine soybeans
- Malaysia's exports to climb amid lower shipments from Indonesia
- Demand for palm seen rising on China's reopening, India buying
Reporting by Naveen Thukral and Bernadette Christina; Additional reporting by Fransiska Nangoy in Jakarta and Mei Mei Chu in Kuala Lumpur; Editing by Tom Hogue
---------
Japan's JR West to switch all diesel trains to biofuel around 2030
Biotech company Euglena, trading houses to aid with decarbonization
OSAKA -- West Japan Railway, known as JR West, plans to introduce biofuel in all its diesel trains, which operate mainly on local lines, by around 2030, a move that will reduce carbon dioxide emissions on nonelectrified sections, which account for nearly 40% of the company's lines excluding bullet train lines.
The move comes as Japan's railway companies, including East Japan Railway (JR East), accelerate the decarbonization of their operations. However, the cost of the new fuel, which is higher than that of diesel made from petroleum, will be a challenge for the company as the profitability of local lines deteriorates. Nikkei Asia
---------
ESG a bigger priority for corporate Malaysia
PETALING JAYA: Sime Darby Plantation Bhd (SDP) plans to review its near-term 2030 targets and longer-term 2050 targets that were submitted to Science Based Targets initiative (SBTi) on Nov 10, 2022, by the second quarter of this year for a full validation.
During SDP’s net-zero webinar yesterday, its chief financial officer Renaka Ramachandran said the company had completed scope one and scope two baselining way back in 2011, proving its commitment to environmental, social and governance (ESG).
However, looking back at it, the group realised the need to consider the importance of scope three, leading it to re-baselining using the latest available feature as of 2020.
“During the process of doing that, we will look at issues like the footprints for non-forest, land and agriculture guidelines (Flag),” Renaka said during her opening remarks at the webinar, moderated by SDP head of downstream sustainability Mark Wong.“Hence, we had to review and revisit our baselining and make it ready for submission to SBTi, which we are proud to say that we have actually done,” she added. The StarMY
|
|
January 12, 2023
Malaysia says it could stop palm oil exports to EU after new curbs
KUALA LUMPUR (Jan 12): Malaysia may consider halting the export of palm oil to the European Union in retaliation for the trade bloc's new deforestation regulations, said Deputy Prime Minister and Minister of Plantation and Commodities Datuk Seri Fadillah Yusof.
He said this is one of the options Malaysians would consider to deal with the EU's negative palm oil campaign that has been turned up a notch in recent years.
“If we need to engage experts from overseas to counter any decision made by the EU, we have to do it. The other option will be to stop exporting to Europe, and focus on other countries, if they keep making it difficult for us. We believe industry players in Europe will still import our palm oil,” he said at the Palm Oil Economic Review and Outlook Seminar 2023 on Thursday (Jan 12). Reuters
---------
Deforestation debate: Indonesia and Malaysia clash with “protectionist” EU over palm oil policy
Indonesia and Malaysia are joining forces against the new EU Deforestation Regulation. The two world leaders of palm oil production across the F&B industry say the EU directive would reduce reliance on their palm oil production by not allowing its import into EU markets unless it was obtained without a link to deforestation.
The two countries have agreed to tighten collaboration in a bid to combat an EU directive which effectively bans palm oil that is linked to deforestation.
Indonesia and Malaysia, members of the Council of Palm Oil Producing Countries, allege the EU Deforestation Regulation is a protectionist attempt to protect uncompetitive EU farmers and block market access.
In a meeting between Indonesian President Joko Widodo and the Prime Minister of Malaysia, Anwar Ibrahim, this week, the latter declared that they “agreed to strengthen cooperation to boost markets and combat discrimination against palm oil,” says Zambry Abdul Kadir, Foreign Minister of Malaysia.
“The EU deforestation policy is a step against good kinship. Jokowi’s speech has made it clear that the policy is of concern to the Association of Southeast Asian Nations. That the EU cannot dictate.” Food Ingredients First
Malaysia says it could stop palm oil exports to EU after new curbs
KUALA LUMPUR (Jan 12): Malaysia may consider halting the export of palm oil to the European Union in retaliation for the trade bloc's new deforestation regulations, said Deputy Prime Minister and Minister of Plantation and Commodities Datuk Seri Fadillah Yusof.
He said this is one of the options Malaysians would consider to deal with the EU's negative palm oil campaign that has been turned up a notch in recent years.
“If we need to engage experts from overseas to counter any decision made by the EU, we have to do it. The other option will be to stop exporting to Europe, and focus on other countries, if they keep making it difficult for us. We believe industry players in Europe will still import our palm oil,” he said at the Palm Oil Economic Review and Outlook Seminar 2023 on Thursday (Jan 12). Reuters
---------
Deforestation debate: Indonesia and Malaysia clash with “protectionist” EU over palm oil policy
Indonesia and Malaysia are joining forces against the new EU Deforestation Regulation. The two world leaders of palm oil production across the F&B industry say the EU directive would reduce reliance on their palm oil production by not allowing its import into EU markets unless it was obtained without a link to deforestation.
The two countries have agreed to tighten collaboration in a bid to combat an EU directive which effectively bans palm oil that is linked to deforestation.
Indonesia and Malaysia, members of the Council of Palm Oil Producing Countries, allege the EU Deforestation Regulation is a protectionist attempt to protect uncompetitive EU farmers and block market access.
In a meeting between Indonesian President Joko Widodo and the Prime Minister of Malaysia, Anwar Ibrahim, this week, the latter declared that they “agreed to strengthen cooperation to boost markets and combat discrimination against palm oil,” says Zambry Abdul Kadir, Foreign Minister of Malaysia.
“The EU deforestation policy is a step against good kinship. Jokowi’s speech has made it clear that the policy is of concern to the Association of Southeast Asian Nations. That the EU cannot dictate.” Food Ingredients First
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January 10, 2023
Deforestation: Proposed EU import ban may fail to protect tropical rainforests and farmers. How it should work
by Rachael Garrett, Janina Grabs and Joss Lyons-White, The Conversation
Most European consumers' shopping baskets tend to include items linked to deforestation in tropical regions, involving agricultural commodities such as beef, soybeans, palm oil, cocoa, rubber, coffee, timber and paper. These so-called "forest-risk" commodities are used in thousands of consumer goods ranging from hamburgers to chocolate bars.
Yet this may be about to change. In December, the EU provisionally agreed on a new regulation to ensure that supply chains are free from processes and products that cause deforestation. The regulation, which is expected to come into force in mid-2023, states that companies will be unable to sell products in the EU that were produced on land cleared after 2020. Companies must prove that their products are produced legally.
But these requirements may harm small-scale farmers and fail to make a visible difference to global deforestation. We offer five tips to ensure that the EU can reduce global deforestation while avoiding unintended outcomes. PhysOrg
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Palm oil in focus during Anwar’s first overseas visit to Indonesia
Indonesia and Malaysia, the world’s largest palm oil producers, have agreed to build stronger collaboration to further develop the palm oil market and to combat discrimination against the commodity. The commitment was made following a meeting between President Joko “Jokowi” Widodo and visiting Malaysian Prime Minister Anwar Ibrahim at the Bogor Palace in West Java on Monday. “We have agreed to strengthen [our] cooperation through the Council of Palm Oil Producing Countries [CPOPC] to increase the market for palm oil and to fight discrimination against palm oil,” Jokowi said during a joint press briefing after the bilateral talks. The Jakarta Post
----------
Why Indonesia and Malaysia are calling out EU "discrimination" against palm oil
A European proposal to tackle deforestation can end up hurting a key source of revenue for these Southeast Asian countries.
Indonesia and Malaysia have decided to work together to defend their lifeline – the exports of palm oil– that has become a new target of the European Union.
On December 6, the European Union signed an agreement to fight global deforestation, naming palm oil production as one of the causes of large-scale deforestation.
The two Muslim countries meet more than 85 percent of global palm oil demand. Millions of farmers – most of them small landholders – depend on palm oil plantations to provide for their families.
The Southeast Asian neighbours and close allies will work to promote the commodity through the Council of Palm Oil Producing Countries, Indonesian President Joko Widodo said on Monday.
Widodo’s comments came after a meeting with Malaysian Prime Minister Anwar Ibrahim, who is in Indonesia on his first foreign trip since taking office in November.
What are the EU measures about? TRT World
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Posco International to build palm oil refining plant in Indonesia
Posco International, a trading and energy unit of Posco Group, said Tuesday it is building a crude palm oil refining plant in Indonesia, pinning high hopes on the huge potential across industries, including food, cosmetics and bioenergy.
The decision comes after its board recently approved $200 million worth of funding from AGPA, the company’s Singapore unit, to launch the project.
One of the possible plant sites is Kalimantan, the Indonesian portion of the island of Borneo, considering its geographical advantage in effectively securing raw materials and exporting completed products. Indonesia is the largest producer of palm oil globally. Korea Herald
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Deforestation: Proposed EU import ban may fail to protect tropical rainforests and farmers. How it should work
by Rachael Garrett, Janina Grabs and Joss Lyons-White, The Conversation
Most European consumers' shopping baskets tend to include items linked to deforestation in tropical regions, involving agricultural commodities such as beef, soybeans, palm oil, cocoa, rubber, coffee, timber and paper. These so-called "forest-risk" commodities are used in thousands of consumer goods ranging from hamburgers to chocolate bars.
Yet this may be about to change. In December, the EU provisionally agreed on a new regulation to ensure that supply chains are free from processes and products that cause deforestation. The regulation, which is expected to come into force in mid-2023, states that companies will be unable to sell products in the EU that were produced on land cleared after 2020. Companies must prove that their products are produced legally.
But these requirements may harm small-scale farmers and fail to make a visible difference to global deforestation. We offer five tips to ensure that the EU can reduce global deforestation while avoiding unintended outcomes. PhysOrg
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Palm oil in focus during Anwar’s first overseas visit to Indonesia
Indonesia and Malaysia, the world’s largest palm oil producers, have agreed to build stronger collaboration to further develop the palm oil market and to combat discrimination against the commodity. The commitment was made following a meeting between President Joko “Jokowi” Widodo and visiting Malaysian Prime Minister Anwar Ibrahim at the Bogor Palace in West Java on Monday. “We have agreed to strengthen [our] cooperation through the Council of Palm Oil Producing Countries [CPOPC] to increase the market for palm oil and to fight discrimination against palm oil,” Jokowi said during a joint press briefing after the bilateral talks. The Jakarta Post
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Why Indonesia and Malaysia are calling out EU "discrimination" against palm oil
A European proposal to tackle deforestation can end up hurting a key source of revenue for these Southeast Asian countries.
Indonesia and Malaysia have decided to work together to defend their lifeline – the exports of palm oil– that has become a new target of the European Union.
On December 6, the European Union signed an agreement to fight global deforestation, naming palm oil production as one of the causes of large-scale deforestation.
The two Muslim countries meet more than 85 percent of global palm oil demand. Millions of farmers – most of them small landholders – depend on palm oil plantations to provide for their families.
The Southeast Asian neighbours and close allies will work to promote the commodity through the Council of Palm Oil Producing Countries, Indonesian President Joko Widodo said on Monday.
Widodo’s comments came after a meeting with Malaysian Prime Minister Anwar Ibrahim, who is in Indonesia on his first foreign trip since taking office in November.
What are the EU measures about? TRT World
---------
Posco International to build palm oil refining plant in Indonesia
Posco International, a trading and energy unit of Posco Group, said Tuesday it is building a crude palm oil refining plant in Indonesia, pinning high hopes on the huge potential across industries, including food, cosmetics and bioenergy.
The decision comes after its board recently approved $200 million worth of funding from AGPA, the company’s Singapore unit, to launch the project.
One of the possible plant sites is Kalimantan, the Indonesian portion of the island of Borneo, considering its geographical advantage in effectively securing raw materials and exporting completed products. Indonesia is the largest producer of palm oil globally. Korea Herald
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January 09, 2023
Malaysia and Indonesia agree to fight discrimination against palm oil
BOGOR (Indonesia), Jan 9 — Indonesia and Malaysia, the world’s biggest producers of palm oil, agreed today to work together to fight “discrimination” against the commodity after a meeting between leaders from the countries.
The comments by Indonesian President Joko Widodo followed a meeting with Malaysian Prime Minister Datuk Seri Anwar Ibrahim, who was making his first overseas trip since being elected last November.
Widodo, popularly known as Jokowi, said the two countries would ”fight discrimination against palm oil” and “strengthen cooperation through the Council of Palm Oil Producing Countries” to address concerns.
The European Union plans to phase out palm-oil based fuels by 2030 because of perceived links to deforestation.
During their bilateral meeting, Anwar and Jokowi signed eight memorandums of understandings covering shipping, export-import financing, green energy, the development of battery industry, which they said they hoped would deepen cross border trade and investment. Reuters
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Malaysia to defend palm oil with Indonesia, will invest in Nusantara
President Joko Widodo hosted Malaysian Prime Minister Anwar Ibrahim in Jakarta on his first overseas trip since taking office, with the leaders agreeing on a raft of other issues from protecting migrant workers to Malaysian investment in its neighbour’s new capital.
But the looming threat to the palm oil industry from its major EU market took prominence. SCMP
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Nigerian agritech Releaf gets more capital as it launches new tech for food processing
Releaf, a Nigerian agritech startup that supplies ingredients (starting with the oil palm) to consumer goods manufacturers and their food factories, has received $3.3 million in an oversubscribed pre-Series A round.
The Jack Ma Foundation-backed startup, which announced a $4.2 million (including a $1.5 million grant) seed raise in September 2021, said the funding will support the launch of two new technologies: Kraken II and SITE.
Releaf focuses on value chains where smaller factories are set up near smallholder farmers, allowing them to get better processing yields and less expensive logistics costs. The oil palm is the first, and for now, the only crop Releaf works on; the oil palm market is a $3 billion market that consists of over 4 million smallholder farmers. These farmers drive about 80% of the crop’s production using rocks or inefficient hardware, responsible for producing low-quality vegetable oil. That’s why the agritech launched Kraken, its static palm nut de-sheller machine built to process this crop and efficiently extract “high-quality” vegetable oil for farmers. Tech Crunch
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Malaysia and Indonesia agree to fight discrimination against palm oil
BOGOR (Indonesia), Jan 9 — Indonesia and Malaysia, the world’s biggest producers of palm oil, agreed today to work together to fight “discrimination” against the commodity after a meeting between leaders from the countries.
The comments by Indonesian President Joko Widodo followed a meeting with Malaysian Prime Minister Datuk Seri Anwar Ibrahim, who was making his first overseas trip since being elected last November.
Widodo, popularly known as Jokowi, said the two countries would ”fight discrimination against palm oil” and “strengthen cooperation through the Council of Palm Oil Producing Countries” to address concerns.
The European Union plans to phase out palm-oil based fuels by 2030 because of perceived links to deforestation.
During their bilateral meeting, Anwar and Jokowi signed eight memorandums of understandings covering shipping, export-import financing, green energy, the development of battery industry, which they said they hoped would deepen cross border trade and investment. Reuters
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Malaysia to defend palm oil with Indonesia, will invest in Nusantara
- Widodo, Anwar to increase cooperation in palm oil market after EU plans to phase out imports of the commodity over deforestation fears
- Among other issues discussed, Malaysia will also look to boost investment in new Indonesian capital to benefit areas in Sabah and Sarawak
President Joko Widodo hosted Malaysian Prime Minister Anwar Ibrahim in Jakarta on his first overseas trip since taking office, with the leaders agreeing on a raft of other issues from protecting migrant workers to Malaysian investment in its neighbour’s new capital.
But the looming threat to the palm oil industry from its major EU market took prominence. SCMP
---------
Nigerian agritech Releaf gets more capital as it launches new tech for food processing
Releaf, a Nigerian agritech startup that supplies ingredients (starting with the oil palm) to consumer goods manufacturers and their food factories, has received $3.3 million in an oversubscribed pre-Series A round.
The Jack Ma Foundation-backed startup, which announced a $4.2 million (including a $1.5 million grant) seed raise in September 2021, said the funding will support the launch of two new technologies: Kraken II and SITE.
Releaf focuses on value chains where smaller factories are set up near smallholder farmers, allowing them to get better processing yields and less expensive logistics costs. The oil palm is the first, and for now, the only crop Releaf works on; the oil palm market is a $3 billion market that consists of over 4 million smallholder farmers. These farmers drive about 80% of the crop’s production using rocks or inefficient hardware, responsible for producing low-quality vegetable oil. That’s why the agritech launched Kraken, its static palm nut de-sheller machine built to process this crop and efficiently extract “high-quality” vegetable oil for farmers. Tech Crunch
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January 08, 2023
Malaysia-Anwar to make first official overseas trip to Indonesia on Jan 8 and 9
KUALA LUMPUR (Jan 7): Prime Minister Datuk Seri Anwar Ibrahim will be making his first official trip abroad with a visit to Indonesia on Jan 8 and 9.
This visit is in response to a special invitation made by Indonesian President Joko Widodo, or Jokowi as he is popularly known, following Anwar’s appointment as Malaysia's 10th PM on Nov 24, 2022.
In a statement on Saturday (Jan 7), Wisma Putra said Anwar is scheduled to have a four-eye meeting with Jokowi. The meeting will provide the opportunity for both sides to take stock of the progress of bilateral cooperation, explore potential of new cooperation, and promote joint effort to address regional and global challenges.
"Among the key issues that will be discussed are pertaining to economic cooperation, including Malaysia’s potential investments in Ibu Kota Negara (IKN) Nusantara, land demarcation and maritime border delimitation, and employment and protection of Indonesian migrant workers.
"Both leaders will also exchange views on regional and global issues, specifically on the situation in Myanmar, and joint efforts to address discrimination against palm oil, in which Malaysia and Indonesia are the world’s largest exporters," Wisma Putra added. The Edge Markets
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Indonesia-SOEs Ministry Ready to support red cooking oil pilot project
We will also help in its marketing overseas, such as in China and Africa.
Jakarta (ANTARA) - State-Owned Enterprises Minister Erick Thohir has said that his ministry is ready to support a pilot project to produce red palm cooking oil as part of efforts to develop an alternative to regular cooking oil.
“The State-Owned Enterprises (Ministry) is ready to facilitate this pilot project for the red cooking oil production," Thohir said in Deli Serdang, North Sumatra, according to a statement received here on Saturday.
The government, through the State-Owned Enterprises Ministry and the Cooperatives and Small and Medium Enterprises Ministry, will seek to realize the program, the minister added.
He also said that on top of assisting in the production, his ministry is also committed to supporting the sale of red palm cooking oil and expanding its market to the global level. Antara News
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India-Agriculture minister Kakani assures oil palm farmers of better price
The minister pointed out that compared to Rs 7,600 per one tonne of FFB (fresh fruit bunch) during the previous TDP regime, it is now priced at Rs 18,300.
VIJAYAWADA: Minister for Agriculture Kakani Govardhan Reddy has said price for oil palm crop will be fixed in such a manner that farmers stand to benefit.
Presiding over the Oil Palm FFB Pricing Formula Committee meeting at the Secretariat on Friday, he said every promise made to oil palm growers by the State government will be fulfilled and every step will be taken to remove the difference between prices of oil palm in Andhra Pradesh and Telangana.
The minister pointed out that compared to Rs 7,600 per one tonne of FFB (fresh fruit bunch) during the previous TDP regime, it is now priced at Rs 18,300. New Indian Express
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Ghana-TCDA annouces new minimum producer price for rubber and oil palm
The government through the Tree Crop Development Authority has announced the producer price for rubber and palm oil for the month of January to ensure uniform prices to benefit hard working farmers. Ghana Web
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Malaysia-Anwar to make first official overseas trip to Indonesia on Jan 8 and 9
KUALA LUMPUR (Jan 7): Prime Minister Datuk Seri Anwar Ibrahim will be making his first official trip abroad with a visit to Indonesia on Jan 8 and 9.
This visit is in response to a special invitation made by Indonesian President Joko Widodo, or Jokowi as he is popularly known, following Anwar’s appointment as Malaysia's 10th PM on Nov 24, 2022.
In a statement on Saturday (Jan 7), Wisma Putra said Anwar is scheduled to have a four-eye meeting with Jokowi. The meeting will provide the opportunity for both sides to take stock of the progress of bilateral cooperation, explore potential of new cooperation, and promote joint effort to address regional and global challenges.
"Among the key issues that will be discussed are pertaining to economic cooperation, including Malaysia’s potential investments in Ibu Kota Negara (IKN) Nusantara, land demarcation and maritime border delimitation, and employment and protection of Indonesian migrant workers.
"Both leaders will also exchange views on regional and global issues, specifically on the situation in Myanmar, and joint efforts to address discrimination against palm oil, in which Malaysia and Indonesia are the world’s largest exporters," Wisma Putra added. The Edge Markets
---------
Indonesia-SOEs Ministry Ready to support red cooking oil pilot project
We will also help in its marketing overseas, such as in China and Africa.
Jakarta (ANTARA) - State-Owned Enterprises Minister Erick Thohir has said that his ministry is ready to support a pilot project to produce red palm cooking oil as part of efforts to develop an alternative to regular cooking oil.
“The State-Owned Enterprises (Ministry) is ready to facilitate this pilot project for the red cooking oil production," Thohir said in Deli Serdang, North Sumatra, according to a statement received here on Saturday.
The government, through the State-Owned Enterprises Ministry and the Cooperatives and Small and Medium Enterprises Ministry, will seek to realize the program, the minister added.
He also said that on top of assisting in the production, his ministry is also committed to supporting the sale of red palm cooking oil and expanding its market to the global level. Antara News
---------
India-Agriculture minister Kakani assures oil palm farmers of better price
The minister pointed out that compared to Rs 7,600 per one tonne of FFB (fresh fruit bunch) during the previous TDP regime, it is now priced at Rs 18,300.
VIJAYAWADA: Minister for Agriculture Kakani Govardhan Reddy has said price for oil palm crop will be fixed in such a manner that farmers stand to benefit.
Presiding over the Oil Palm FFB Pricing Formula Committee meeting at the Secretariat on Friday, he said every promise made to oil palm growers by the State government will be fulfilled and every step will be taken to remove the difference between prices of oil palm in Andhra Pradesh and Telangana.
The minister pointed out that compared to Rs 7,600 per one tonne of FFB (fresh fruit bunch) during the previous TDP regime, it is now priced at Rs 18,300. New Indian Express
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Ghana-TCDA annouces new minimum producer price for rubber and oil palm
The government through the Tree Crop Development Authority has announced the producer price for rubber and palm oil for the month of January to ensure uniform prices to benefit hard working farmers. Ghana Web
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January 06, 2023
Despite their net-zero pledges, deforestation remains a big blind spot for bankers
India-Godrej Agrovet to set up ₹250-crore edible oil plant in Telangana
Khammam to host the palm oil facility that will be the largest private investment in Telangana
Food and agri conglomerate Godrej Agrovet will be setting up an edible oil processing plant in Khammam district, with an investment of ₹250 crore.
The facility to process palm oil will have a capacity of 30 tonnes per hour expandable to 60 TPH. This would be the single largest private investment in Khammam district, Industries and IT Minister K. T. Rama Rao’s office said after Godrej Agrovet managing director Balram Singh Yadav briefed the Minister about investment plans of the company.
Godrej Agrovet plans to operate the facility full scale by 2025-26. The factory will have a co-generation plant and self-sufficient in power requirement. Mr Yadav told Mr. Rao that this was one of the several initiatives under consideration across various business verticals of the company, which includes animal feed, aqua feed, agrochemicals, poultry processing and dairy sectors, in the State. The Hindu
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Indonesia-The Jakarta Post editorial "Refining Moment" lays out what Indonesia needs to put in place as the country bans the export of raw commodities
In another push to develop downstream mineral industries, President Joko “Jokowi” Widodo has announced an export ban on washed bauxite to come into effect in June of this year. The ban was supposed to have been put in place years ago but did not materialize because of the country’s inability to build smelters to process the ore, from which aluminum is extracted. Local businesses and investors had been reluctant to build the pricey facilities and were content with the profit from washing the silicates from the raw ore. This is a classic problem for the country when it comes to commodities. A lack of investment and skilled human resources has trapped Indonesia in the role of a provider of raw materials for the global supply chain. And for decades, this has been quite convenient for industrialized and developed countries, which possess the technology, investment and human resources to produce high-value goods.
This article was published in thejakartapost.com with the title "Refining moment ". Click to read: https://www.thejakartapost.com/opinion/2023/01/05/refining-moment.html.
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Despite their net-zero pledges, deforestation remains a big blind spot for bankers
- Despite the contribution of deforestation to global CO2 emissions, only 17% the 557 financial institutions that are part of the Glasgow Financial Alliance for Net Zero (GFANZ) recognise deforestation as a risk, according to Global Canopy
- Asset managers in GFANZ retain forest-risk investments worth an estimated $8.5 billion, just 3% less than a year ago
- BlackRock, Vanguard, which has since left GFANZ, State Street, Deutsche Bank and ABP all appear to have increased their reported exposure to ‘forest-risk’ investments between September 2021 and September 2022, according to analysis by Global Witness
- Only 35 GFANZ members have signed a commitment to eliminate commodity driven deforestation from their portfolios and joined the Finance Sector Deforestation Action coalition. Reuters
India-Godrej Agrovet to set up ₹250-crore edible oil plant in Telangana
Khammam to host the palm oil facility that will be the largest private investment in Telangana
Food and agri conglomerate Godrej Agrovet will be setting up an edible oil processing plant in Khammam district, with an investment of ₹250 crore.
The facility to process palm oil will have a capacity of 30 tonnes per hour expandable to 60 TPH. This would be the single largest private investment in Khammam district, Industries and IT Minister K. T. Rama Rao’s office said after Godrej Agrovet managing director Balram Singh Yadav briefed the Minister about investment plans of the company.
Godrej Agrovet plans to operate the facility full scale by 2025-26. The factory will have a co-generation plant and self-sufficient in power requirement. Mr Yadav told Mr. Rao that this was one of the several initiatives under consideration across various business verticals of the company, which includes animal feed, aqua feed, agrochemicals, poultry processing and dairy sectors, in the State. The Hindu
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Indonesia-The Jakarta Post editorial "Refining Moment" lays out what Indonesia needs to put in place as the country bans the export of raw commodities
In another push to develop downstream mineral industries, President Joko “Jokowi” Widodo has announced an export ban on washed bauxite to come into effect in June of this year. The ban was supposed to have been put in place years ago but did not materialize because of the country’s inability to build smelters to process the ore, from which aluminum is extracted. Local businesses and investors had been reluctant to build the pricey facilities and were content with the profit from washing the silicates from the raw ore. This is a classic problem for the country when it comes to commodities. A lack of investment and skilled human resources has trapped Indonesia in the role of a provider of raw materials for the global supply chain. And for decades, this has been quite convenient for industrialized and developed countries, which possess the technology, investment and human resources to produce high-value goods.
This article was published in thejakartapost.com with the title "Refining moment ". Click to read: https://www.thejakartapost.com/opinion/2023/01/05/refining-moment.html.
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January 05, 2023
Malaysia-MPOB to hold Palm Oil Economic Review and Outlook Seminar 2023 on Jan 12
KUALA LUMPUR (Jan 5): The Malaysian Palm Oil Board (MPOB) is organising the Palm Oil Economic Review and Outlook Seminar 2023 next Thursday (Jan 12) to disseminate information regarding the performance of the Malaysian oil palm industry in 2022, market prospects and price outlook for 2023 as well as the latest market developments in the industry.
In a statement on Thursday (Jan 5), MPOB said Deputy Prime Minister and Minister of Plantation and Commodities Datuk Seri Fadillah Yusof will officiate the seminar, which is one of the MPOB’s platforms to provide latest updates on the development of the oil palm industry.
Themed “Palm Oil: Seizing Opportunities Amidst Global Challenges”, the seminar will focus on the Malaysian oil palm industry performance for 2022, prospects for this year and global challenges on palm oil supply and demand. The Edge Markets
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India-Trade bodies oppose extension of palm oil import ban through Kerala ports
Trade bodies and port users in Kerala have hit out against the Directorate-General of Foreign Trade (DGFT)‘s decision to extend the import ban on palm oil through ports in the State. The decision will hit the revenue of many minor ports in the State, they say.
Munshid Ali, Secretary of the Kerala Exporters’ Forum, said minor ports such as Kollam and Beypore are gearing up to receive more cargo after modernisation, and the DGFT’s move will hinder their development. The Hindu Businessline
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January 04, 2023
EU-Palm oil dominated biofuel feedstock in quota year
alm oil was the most important vegetable oil raw material for the production of biodiesel and hydrogenated vegetable oil (HVO) in the quota year 2021 for offsetting against the GHG quota obligation.
According to the evaluation report 2021 published in December 2022 by the Federal Agency for Agriculture and Food (BLE), 1.318 million tonnes of the raw materials certified under EU law (RED II) came from Asia. Among these, palm oil dominated with 0.992 million tonnes.
The Union for the Promotion of Oil and Protein Plants (UFOP) expects the share of palm oil to halve in the completed quota year 2022. Total sales are estimated at about 2.5 million tonnes.
This expectation is based on the statutory limit in Germany of 0.9% of final energy consumption in transport for offsetting against the GHG quota obligation.
From UFOP's point of view, it is primarily rapeseed oil from European cultivation that will have to close the demand gap. This applies in particular to the period from 2023 to 2030. Since 1 January, palm oil-based biofuels have been excluded from offsetting, well ahead of the phase-out by 2030 prescribed by EU law.
Other EU member states (France, Sweden, Belgium and Austria) have already implemented this exclusion. Biofuels News
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OPINION-Cultivating care: colonial botany and the oil palm
Colonial powers used notions of ‘care’ to expand their empires, masking darker motives of control and exploitation
Oil palms today are ubiquitous across Southeast Asia. How did this crop from West and Central Africa come to dominate landscapes in this region and others around the world?
My recent research explores the role of oil palm science in colonial expansion, by tracing moments that oil palms surface in the records held at Kew Gardens in London. From the 18th century, Kew was a hub for circulating plant specimens between colonial botanic gardens around the world.
Processes of naming, sorting, marketing, monitoring and development that took place through the network of Kew and other botanic gardens were central in expropriating the oil palm to Southeast Asia.
These modes of operation, designed by colonial botanists and bureaucrats, helped expand the British empire and shape the plantation industry as it is today. In particular, notions of “care” and “carefulness” were circulated widely. China Dialogue
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EUROCHAM Malaysia urges govt to restart free trade agreement negotiations
KUALA LUMPUR (Jan 3): Malaysia is headed in the right direction by signing several free trade agreements (FTAs), said EUROCHAM Malaysia, following the inking of the EU-Malaysia Partnership and Cooperation Agreement (EU-MY PCA) between the European Union (EU) and Malaysia.
In a statement on Tuesday (Jan 3), EUROCHAM stated that FTAs have proven to be one of the best ways to open up foreign markets for Malaysian exporters.
The EU-MY PCA was signed during the inaugural Asean-EU Commemorative Summit in Brussels on Dec 14, 2022, a significant milestone in the history of the EU-Malaysia bilateral relationship.
“Besides serving to enhance the political dialogue on global issues, the agreement lays the ground for mutually beneficial cooperation in multiple policy areas such as environment, transport, trade and employment, to name a few,” EUROCHAM said.
The chamber further highlighted that the EU-MY PCA paves a promising path towards recommencing discussions on the EU-Malaysia Free Trade Agreement (MEUFTA).
Negotiations for the MEUFTA reached an impasse in 2012 upon the exhaustion of options and the consensus was to resume when a fresh mandate or flexibilities become available to both sides.
MEUFTA is a preferential trading agreement expected to facilitate the free movement of goods, services and investment between Malaysia and the EU, the largest economic bloc. The Edge Markets
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Malaysia-MPOB to hold Palm Oil Economic Review and Outlook Seminar 2023 on Jan 12
KUALA LUMPUR (Jan 5): The Malaysian Palm Oil Board (MPOB) is organising the Palm Oil Economic Review and Outlook Seminar 2023 next Thursday (Jan 12) to disseminate information regarding the performance of the Malaysian oil palm industry in 2022, market prospects and price outlook for 2023 as well as the latest market developments in the industry.
In a statement on Thursday (Jan 5), MPOB said Deputy Prime Minister and Minister of Plantation and Commodities Datuk Seri Fadillah Yusof will officiate the seminar, which is one of the MPOB’s platforms to provide latest updates on the development of the oil palm industry.
Themed “Palm Oil: Seizing Opportunities Amidst Global Challenges”, the seminar will focus on the Malaysian oil palm industry performance for 2022, prospects for this year and global challenges on palm oil supply and demand. The Edge Markets
---------
India-Trade bodies oppose extension of palm oil import ban through Kerala ports
Trade bodies and port users in Kerala have hit out against the Directorate-General of Foreign Trade (DGFT)‘s decision to extend the import ban on palm oil through ports in the State. The decision will hit the revenue of many minor ports in the State, they say.
Munshid Ali, Secretary of the Kerala Exporters’ Forum, said minor ports such as Kollam and Beypore are gearing up to receive more cargo after modernisation, and the DGFT’s move will hinder their development. The Hindu Businessline
----------
January 04, 2023
EU-Palm oil dominated biofuel feedstock in quota year
alm oil was the most important vegetable oil raw material for the production of biodiesel and hydrogenated vegetable oil (HVO) in the quota year 2021 for offsetting against the GHG quota obligation.
According to the evaluation report 2021 published in December 2022 by the Federal Agency for Agriculture and Food (BLE), 1.318 million tonnes of the raw materials certified under EU law (RED II) came from Asia. Among these, palm oil dominated with 0.992 million tonnes.
The Union for the Promotion of Oil and Protein Plants (UFOP) expects the share of palm oil to halve in the completed quota year 2022. Total sales are estimated at about 2.5 million tonnes.
This expectation is based on the statutory limit in Germany of 0.9% of final energy consumption in transport for offsetting against the GHG quota obligation.
From UFOP's point of view, it is primarily rapeseed oil from European cultivation that will have to close the demand gap. This applies in particular to the period from 2023 to 2030. Since 1 January, palm oil-based biofuels have been excluded from offsetting, well ahead of the phase-out by 2030 prescribed by EU law.
Other EU member states (France, Sweden, Belgium and Austria) have already implemented this exclusion. Biofuels News
----------
OPINION-Cultivating care: colonial botany and the oil palm
Colonial powers used notions of ‘care’ to expand their empires, masking darker motives of control and exploitation
Oil palms today are ubiquitous across Southeast Asia. How did this crop from West and Central Africa come to dominate landscapes in this region and others around the world?
My recent research explores the role of oil palm science in colonial expansion, by tracing moments that oil palms surface in the records held at Kew Gardens in London. From the 18th century, Kew was a hub for circulating plant specimens between colonial botanic gardens around the world.
Processes of naming, sorting, marketing, monitoring and development that took place through the network of Kew and other botanic gardens were central in expropriating the oil palm to Southeast Asia.
These modes of operation, designed by colonial botanists and bureaucrats, helped expand the British empire and shape the plantation industry as it is today. In particular, notions of “care” and “carefulness” were circulated widely. China Dialogue
---------
EUROCHAM Malaysia urges govt to restart free trade agreement negotiations
KUALA LUMPUR (Jan 3): Malaysia is headed in the right direction by signing several free trade agreements (FTAs), said EUROCHAM Malaysia, following the inking of the EU-Malaysia Partnership and Cooperation Agreement (EU-MY PCA) between the European Union (EU) and Malaysia.
In a statement on Tuesday (Jan 3), EUROCHAM stated that FTAs have proven to be one of the best ways to open up foreign markets for Malaysian exporters.
The EU-MY PCA was signed during the inaugural Asean-EU Commemorative Summit in Brussels on Dec 14, 2022, a significant milestone in the history of the EU-Malaysia bilateral relationship.
“Besides serving to enhance the political dialogue on global issues, the agreement lays the ground for mutually beneficial cooperation in multiple policy areas such as environment, transport, trade and employment, to name a few,” EUROCHAM said.
The chamber further highlighted that the EU-MY PCA paves a promising path towards recommencing discussions on the EU-Malaysia Free Trade Agreement (MEUFTA).
Negotiations for the MEUFTA reached an impasse in 2012 upon the exhaustion of options and the consensus was to resume when a fresh mandate or flexibilities become available to both sides.
MEUFTA is a preferential trading agreement expected to facilitate the free movement of goods, services and investment between Malaysia and the EU, the largest economic bloc. The Edge Markets
----------
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January 03, 2023
The EU’s New Corporate Sustainability Reporting Directive
In November 2022, the European Parliament and the Council of the EU are adopting the EU’s new Corporate Sustainability Reporting Directive (CSRD), which will significantly enhance and expand sustainability reporting obligations for a broader range of companies.
In 2021, the European Commission published its Proposal for the CSRD with the objective of revising and strengthening the rules of the EU’s current Non-Financial Reporting Directive (NFRD). Currently,
the NFRD provides rules on the disclosure of non-financial and diversity information that must be complied with by large companies listed in the NFRD, banks, and insurance companies with more than 500 employees. The covered companies are required to include in their management reports a non-financial statement containing information on the policies they implement concerning “environmental, social and employee matters, respect for human rights, anti-corruption and bribery matters”.
The new CSRD will apply to all large EU companies, including EU subsidiaries of non-EU parent companies, and, as a novelty, to small and medium enterprises (SMEs) listed on regulated markets. Importantly, the CSRD will also have an impact on non-EU undertakings with annual EU-generated revenues in excess of EUR 150 million and that have either a large or listed EU subsidiary or a significant EU branch generating a net turnover of more than EUR 40 million in the EU.
Companies covered by the CSRD will have to comply with the forthcoming European Sustainability Reporting Standards (ESRS), which are still being developed by the European Financial Reporting Advisory Group (EFRAG). The CSRD will require covered companies to report on corporate sustainability in a dedicated section of the company’s management report, which must be made publicly available. Concerning non-EU undertakings, the CSRD will require the publication of a sustainability report in accordance with specific disclosure standards, which are set to be developed in an Implementing Act. Sustainability reports issued by non-EU undertakings have to include information on their impact “regarding social and environmental matters”.
Following the entry into force of the new CSRD, the new rules will only start applying in stages: In 2024 for companies already subject to the current reporting obligations, in 2025 for large companies currently not subject to the reporting obligations, and, in 2026, for SMEs. MPOC
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Malaysia-Domestic workers and palm oil in the spotlight
PETALING JAYA: Malaysia and Indonesia are expected to review the existing agreement on migrant workers and discuss challenges facing the palm oil industry during the Prime Minister’s working visit to Indonesia.
Datuk Seri Anwar Ibrahim is making his maiden official visit as the 10th Prime Minister to the country on Jan 8.
A government source said Anwar would most probably have a “much-needed discussion” on migrant workers, as Indonesia remains the biggest source of domestic workers for Malaysia.
“There will be no new agreement signed on migrant workers; it will most likely be a review of the existing one that was concluded quite some time ago,” said the source.
The source also revealed that Malaysia and Indonesia are expected to seal a commitment on the use of the One-Channel System (OCS), making it the single platform for the recruitment of Indonesian domestic workers.
In July last year, the then human resources minister Datuk Seri M. Saravanan said the system enables both countries to monitor and possess information on the entry of Indonesian workers into Malaysia. The StarMY
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January 02, 2023
Malaysia ready to stand with Indonesia amid regional, global divide: FM
With Malaysian Prime Minister Anwar Ibrahim’s ascension to power, Jakarta and Kuala Lumpur would soon see a “new force” that would likely enhance their relationship, said visiting Malaysian Foreign Minister Zambry Abdul Kadir on Friday. Already in the pipeline were some new Memorandum of Understandings (MoUs) to be signed in 2023, as well as plans to unite voices against the European Union deforestation policy, the minister said.
Indonesia was among Malaysia’s top foreign priorities, Zambry said, and a tight kinship must be maintained amid regional and global challenges.
The minister’s drop-in to Jakarta on Thursday was made in preparation for Anwar’s impending trip to Indonesia, estimated to take place in mid or late January. While it is per ASEAN tradition for newly appointed heads of state to make Indonesia their first visit, Anwar’s stop required extra legwork as several agreements and negotiations are projected to take place. Included in the coming discussions would be workers’ protection, negotiations to establish marine and land borders, economic cooperation and investments, Foreign Minister Retno LP Marsudi implied in her speech on Thursday. The Jakarta Post
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Africa-Islamic Member Countries Move to Mitigate Threats to Food Security
The Minister of State for Agriculture and Rural Development, Dr. Mustapha Shehuri, has said the country is prepared to partner with the Islamic Organisation for Food Security (IOFS) in proffering enduring solutions to the current challenges in the governance of food security in the respective member countries.
Speaking at the opening of the IOFS regional training workshop on Strategic Planning and Policy Development in Food Security, the minister expressed delight that the organisation has not deviated from the core principle to provide expertise and technical know-how to member states on the aspect of sustainable agriculture and rural development in addressing current issues threatening food security in the world, particularly the African region. This Day Live
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Indonesia eyes $11 bln in capital market fundraising this year
JAKARTA, Jan 2 (Reuters) - Indonesia is targeting 170 trillion rupiah ($10.92 billion) in capital market fundraising for this year, including from initial public offerings and debt instruments, its financial regulator said on Monday, well below the amount raised in 2022.
About 260 trillion rupiah was raised through the capital market last year, including the IPO of top tech firm PT GoTo Gojek Tokopedia (GOTO.JK), which raised $1.1 billion in April.
Inarno Djajadi, head of capital market supervision at the Financial Services Authority, said there were 84 offerings in the pipeline with 81.41 trillion rupiah ($5.23 billion) in total estimated value. Reuters
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India-Not golden any more: Kerala farmers burn fingers with oil palm cultivation
Thinking from the farmer’s point of view, government officials in Kerala feel it will be difficult for them to meet the 6,500 ha oil palm expansion target set by the National Mission on Edible Oils.
The 2030 vision document of the Directorate of Oil Palm Research, under the Indian Council for Agricultural Research (ICAR), aims to expand India’s oil palm cultivation to one million hectares. The Union Cabinet has allotted Rs.11,040 crore to meet this target. By March 2021, the country has managed to bring about 3,70,028 ha under oil palm.
However, the exotic crop is being promoted on Indian landscapes disregarding the stories of ecological devastation and loss in Malaysia and Indonesia. The disapproval by Indian Council of Forestry Research and Education (ICFRE) with regard to growing them on bio-diverse regions too has not stopped the crop from entering such locales in India. Despite the Supreme Court ban against further expansion of oil palm in the biodiverse region of Andaman & Nicobar, imposed in 2002, deforestation began a few weeks ago to bring more area under the oil palm. Expanding oil palm cultivation in Andaman & Nicobar Islands, an ecologically fragile archipelago, is part of the Rs 11,000 cr National Mission on Edible Oils - Oil Palm (NMEO-OP) plan.
According to the department of agriculture, while most states have come close to meeting at least 50% of their state’s area expansion target under ISOPOM, NMOOP, OPAE & NFSM, Kerala has only managed to achieve about six percent of its target between 2014 and 2019. This push for oil palm expansion continues despite a steady rise in several oil palm plantations across states being abandoned by the farmers due to poor infrastructure and low land suitability. The News Minute
The EU’s New Corporate Sustainability Reporting Directive
In November 2022, the European Parliament and the Council of the EU are adopting the EU’s new Corporate Sustainability Reporting Directive (CSRD), which will significantly enhance and expand sustainability reporting obligations for a broader range of companies.
In 2021, the European Commission published its Proposal for the CSRD with the objective of revising and strengthening the rules of the EU’s current Non-Financial Reporting Directive (NFRD). Currently,
the NFRD provides rules on the disclosure of non-financial and diversity information that must be complied with by large companies listed in the NFRD, banks, and insurance companies with more than 500 employees. The covered companies are required to include in their management reports a non-financial statement containing information on the policies they implement concerning “environmental, social and employee matters, respect for human rights, anti-corruption and bribery matters”.
The new CSRD will apply to all large EU companies, including EU subsidiaries of non-EU parent companies, and, as a novelty, to small and medium enterprises (SMEs) listed on regulated markets. Importantly, the CSRD will also have an impact on non-EU undertakings with annual EU-generated revenues in excess of EUR 150 million and that have either a large or listed EU subsidiary or a significant EU branch generating a net turnover of more than EUR 40 million in the EU.
Companies covered by the CSRD will have to comply with the forthcoming European Sustainability Reporting Standards (ESRS), which are still being developed by the European Financial Reporting Advisory Group (EFRAG). The CSRD will require covered companies to report on corporate sustainability in a dedicated section of the company’s management report, which must be made publicly available. Concerning non-EU undertakings, the CSRD will require the publication of a sustainability report in accordance with specific disclosure standards, which are set to be developed in an Implementing Act. Sustainability reports issued by non-EU undertakings have to include information on their impact “regarding social and environmental matters”.
Following the entry into force of the new CSRD, the new rules will only start applying in stages: In 2024 for companies already subject to the current reporting obligations, in 2025 for large companies currently not subject to the reporting obligations, and, in 2026, for SMEs. MPOC
---------
Malaysia-Domestic workers and palm oil in the spotlight
PETALING JAYA: Malaysia and Indonesia are expected to review the existing agreement on migrant workers and discuss challenges facing the palm oil industry during the Prime Minister’s working visit to Indonesia.
Datuk Seri Anwar Ibrahim is making his maiden official visit as the 10th Prime Minister to the country on Jan 8.
A government source said Anwar would most probably have a “much-needed discussion” on migrant workers, as Indonesia remains the biggest source of domestic workers for Malaysia.
“There will be no new agreement signed on migrant workers; it will most likely be a review of the existing one that was concluded quite some time ago,” said the source.
The source also revealed that Malaysia and Indonesia are expected to seal a commitment on the use of the One-Channel System (OCS), making it the single platform for the recruitment of Indonesian domestic workers.
In July last year, the then human resources minister Datuk Seri M. Saravanan said the system enables both countries to monitor and possess information on the entry of Indonesian workers into Malaysia. The StarMY
---------
January 02, 2023
Malaysia ready to stand with Indonesia amid regional, global divide: FM
With Malaysian Prime Minister Anwar Ibrahim’s ascension to power, Jakarta and Kuala Lumpur would soon see a “new force” that would likely enhance their relationship, said visiting Malaysian Foreign Minister Zambry Abdul Kadir on Friday. Already in the pipeline were some new Memorandum of Understandings (MoUs) to be signed in 2023, as well as plans to unite voices against the European Union deforestation policy, the minister said.
Indonesia was among Malaysia’s top foreign priorities, Zambry said, and a tight kinship must be maintained amid regional and global challenges.
The minister’s drop-in to Jakarta on Thursday was made in preparation for Anwar’s impending trip to Indonesia, estimated to take place in mid or late January. While it is per ASEAN tradition for newly appointed heads of state to make Indonesia their first visit, Anwar’s stop required extra legwork as several agreements and negotiations are projected to take place. Included in the coming discussions would be workers’ protection, negotiations to establish marine and land borders, economic cooperation and investments, Foreign Minister Retno LP Marsudi implied in her speech on Thursday. The Jakarta Post
---------
Africa-Islamic Member Countries Move to Mitigate Threats to Food Security
The Minister of State for Agriculture and Rural Development, Dr. Mustapha Shehuri, has said the country is prepared to partner with the Islamic Organisation for Food Security (IOFS) in proffering enduring solutions to the current challenges in the governance of food security in the respective member countries.
Speaking at the opening of the IOFS regional training workshop on Strategic Planning and Policy Development in Food Security, the minister expressed delight that the organisation has not deviated from the core principle to provide expertise and technical know-how to member states on the aspect of sustainable agriculture and rural development in addressing current issues threatening food security in the world, particularly the African region. This Day Live
---------
Indonesia eyes $11 bln in capital market fundraising this year
JAKARTA, Jan 2 (Reuters) - Indonesia is targeting 170 trillion rupiah ($10.92 billion) in capital market fundraising for this year, including from initial public offerings and debt instruments, its financial regulator said on Monday, well below the amount raised in 2022.
About 260 trillion rupiah was raised through the capital market last year, including the IPO of top tech firm PT GoTo Gojek Tokopedia (GOTO.JK), which raised $1.1 billion in April.
Inarno Djajadi, head of capital market supervision at the Financial Services Authority, said there were 84 offerings in the pipeline with 81.41 trillion rupiah ($5.23 billion) in total estimated value. Reuters
----------
India-Not golden any more: Kerala farmers burn fingers with oil palm cultivation
Thinking from the farmer’s point of view, government officials in Kerala feel it will be difficult for them to meet the 6,500 ha oil palm expansion target set by the National Mission on Edible Oils.
The 2030 vision document of the Directorate of Oil Palm Research, under the Indian Council for Agricultural Research (ICAR), aims to expand India’s oil palm cultivation to one million hectares. The Union Cabinet has allotted Rs.11,040 crore to meet this target. By March 2021, the country has managed to bring about 3,70,028 ha under oil palm.
However, the exotic crop is being promoted on Indian landscapes disregarding the stories of ecological devastation and loss in Malaysia and Indonesia. The disapproval by Indian Council of Forestry Research and Education (ICFRE) with regard to growing them on bio-diverse regions too has not stopped the crop from entering such locales in India. Despite the Supreme Court ban against further expansion of oil palm in the biodiverse region of Andaman & Nicobar, imposed in 2002, deforestation began a few weeks ago to bring more area under the oil palm. Expanding oil palm cultivation in Andaman & Nicobar Islands, an ecologically fragile archipelago, is part of the Rs 11,000 cr National Mission on Edible Oils - Oil Palm (NMEO-OP) plan.
According to the department of agriculture, while most states have come close to meeting at least 50% of their state’s area expansion target under ISOPOM, NMOOP, OPAE & NFSM, Kerala has only managed to achieve about six percent of its target between 2014 and 2019. This push for oil palm expansion continues despite a steady rise in several oil palm plantations across states being abandoned by the farmers due to poor infrastructure and low land suitability. The News Minute
Europe-ASEAN relations: What to expect in 2023
Brussels: On December 14, leaders from most European and Southeast Asian countries met for a summit in Brussels for the first time. It was a symbolic display of how far relations have improved in the 45 years of relations between the EU and the 10-member Association of Southeast Asian Nations (ASEAN).
Relations were elevated to a "strategic partnership" in late 2020 and bilateral trade in goods increased by nearly 14% in 2021. And having ended 2022 on a high note, "policymakers in both regions are expected to keep up the upbeat tempo in relations both in terms of content and high-level meetings," said Shada Islam, a Brussels-based commentator on European Union affairs.
Many within Brussels are optimistic that Indonesia, which takes over the annually-rotating chair of the ASEAN bloc next year, will be a reliable partner. It will be the first democracy to lead the bloc for several years, and Indonesian President Joko Widodo has moved to improve his country's relations with the West since entering office in 2014.
"Indonesia's leadership of ASEAN will likely ensure continuity in the current positive trend of EU-ASEAN relations," said William Yuen Yee, a research assistant with the Columbia-Harvard China and the World Program.
The Indonesian foreign minister, Retno Marsudi, has vowed to make ASEAN more unified and involved as an international actor. And Jakarta's historic policy of non-alignment means that it views the EU as an essential partner, especially amid rising tensions between the US and China. Times of Oman
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Philipines-Landbank bankrolls P450 million Soccksargen palm oil plant
MANILA, Philippines — State-run Land Bank of the Philippines is backing the first palm oil refinery in SOCCSKSARGEN with a P450-million loan.
Garcia Refinery Corp. (Gareco) availed of a P450-million loan from the Landbank to put up the first modern homegrown refinery in Mindanao.
“Landbank looks forward to the completion of the very-first refinery mill in SOCCSKSARGEN. We remain committed to serve the development requirements of the palm oil industry and the whole agriculture sector towards inclusive and sustainable countryside development,” Landbank president and CEO Cecilia Borromeo said.
Through the Landbank term loan, the construction of the Gareco refinery mill started in July and is expected to be completed by the first quarter of 2024.
The loan will bankroll the construction of Gareco’s main facility, which will become the first palm oil refinery plant in the South Cotabato, Cotabato, Sultan Kudarat, Sarangani, and General Santos (SOCCSKSARGEN) region. Philstar
Brussels: On December 14, leaders from most European and Southeast Asian countries met for a summit in Brussels for the first time. It was a symbolic display of how far relations have improved in the 45 years of relations between the EU and the 10-member Association of Southeast Asian Nations (ASEAN).
Relations were elevated to a "strategic partnership" in late 2020 and bilateral trade in goods increased by nearly 14% in 2021. And having ended 2022 on a high note, "policymakers in both regions are expected to keep up the upbeat tempo in relations both in terms of content and high-level meetings," said Shada Islam, a Brussels-based commentator on European Union affairs.
Many within Brussels are optimistic that Indonesia, which takes over the annually-rotating chair of the ASEAN bloc next year, will be a reliable partner. It will be the first democracy to lead the bloc for several years, and Indonesian President Joko Widodo has moved to improve his country's relations with the West since entering office in 2014.
"Indonesia's leadership of ASEAN will likely ensure continuity in the current positive trend of EU-ASEAN relations," said William Yuen Yee, a research assistant with the Columbia-Harvard China and the World Program.
The Indonesian foreign minister, Retno Marsudi, has vowed to make ASEAN more unified and involved as an international actor. And Jakarta's historic policy of non-alignment means that it views the EU as an essential partner, especially amid rising tensions between the US and China. Times of Oman
----------
Philipines-Landbank bankrolls P450 million Soccksargen palm oil plant
MANILA, Philippines — State-run Land Bank of the Philippines is backing the first palm oil refinery in SOCCSKSARGEN with a P450-million loan.
Garcia Refinery Corp. (Gareco) availed of a P450-million loan from the Landbank to put up the first modern homegrown refinery in Mindanao.
“Landbank looks forward to the completion of the very-first refinery mill in SOCCSKSARGEN. We remain committed to serve the development requirements of the palm oil industry and the whole agriculture sector towards inclusive and sustainable countryside development,” Landbank president and CEO Cecilia Borromeo said.
Through the Landbank term loan, the construction of the Gareco refinery mill started in July and is expected to be completed by the first quarter of 2024.
The loan will bankroll the construction of Gareco’s main facility, which will become the first palm oil refinery plant in the South Cotabato, Cotabato, Sultan Kudarat, Sarangani, and General Santos (SOCCSKSARGEN) region. Philstar
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Palm oil news. CSPO Watch. January 2023