Palm oil news-April 2024
For all the news on the global palm oil industry. April 2024
Makin' it easy for you to monitor developments in the palm oil industry
|
|
|
April 30, 2024
Focus on MSPO during Malaysia-EU free trade talks, says think tank
The Center for Market Education says this would highlight the mutual good intentions of both parties in achieving an inclusive and sustainable agreement.
PETALING JAYA: A think tank has called for the Malaysian Sustainable Palm Oil (MSPO) standard to be made the first point of dialogue between Malaysia and the European Union when discussions on a Malaysia-EU free trade agreement (FTA) resume.
During a trip to Germany in March, Prime Minister Anwar Ibrahim said he held discussions with German vice-chancellor Robert Habeck on rekindling talks about the FTA.
He also said that Malaysia is working with the EU to determine the gap in the positions and stance of both Putrajaya and the bloc for the FTA which has been postponed since 2012.
In a statement, the Center for Market Education (CME) said focusing on the MSPO standard during the FTA talks would highlight the mutual good intentions of both parties in achieving an inclusive and sustainable free and fair trade agreement. Read more FMT
---------
CME says restarting FTA talks with the EU could reduce Malaysia's dependence on China
KUALA LUMPUR: The Center for Market Education (CME) said restarting free trade agreement talks (FTA) talks with the European Union (EU) could help deal with the issue of over-dependence on China as a major trading partner.
"As stressed by CME in several occasions, the high dependance on China is one of the reasons behind the ringgit weakness and diversification can only benefit Malaysia," CME chief executive officer Dr Carmelo Ferlito said in statement today.
In 2023, China accounted for 13.5 per cent of Malaysia's export and 21.3 per cent of Malaysia's import.
Ferlito said Malaysia's commitment to free international trade through diversification, will help strengthen the currency.
In 2023, the Euro-area alone represented 7 per cent of Malaysia's international trade, standing at 7 per cent both as export market destination and as import source. Read more New Straits Times
---------
Palm oil smallholders told to apply for replanting
SANDAKAN: Smallholders in the palm oil industry, especially in Sabah, are advised to seize the opportunity to get the Small Palm Oil Smallholder Planting Financing Incentive Scheme for the replanting.
Deputy Minister of Plantation and Commodities, Datuk Chan Foong Hin said this matching grant involves an allocation of RM100 million which will be fully channelled by Agrobank.
He explained that the incentives announced in the 2024 Budget were prepared and introduced by the government through the Ministry of Finance and the Ministry of Plantation and Commodities.
Thus, Chan suggested small oil palm farmers to take the initiative to replant to replace old trees as a reinvestment measure. Read more Daily Express
---------
SD Plantation Announces Intention for Name Change
Petaling Jaya, 30 April 2024 - Sime Darby Plantation Berhad (SD Plantation or the Company) has announced its intention to change its brand name to SD Guthrie Berhad. This strategic decision was announced to Bursa Malaysia earlier today, notifying the public of the company’s intention to seek shareholders' approval for the new brand at an extraordinary general meeting (EGM). The notice of EGM will be issued in due course.
“This is a significant milestone in our 200-year history and comes at a pivotal time for us as an organisation,” said SD Plantation’s Chairman, Tan Sri Dr Nik Norzrul Thani Nik Hassan Thani. “We have established clear leadership in our industry on many fronts and have grown our downstream business into a significant revenue contributor. As a landowner in Malaysia, we are also cognisant of the many opportunities to create value for our shareholders.”
The decision to rebrand was made after several months of discussions with experts in the fields of law, intellectual property and brand identity. All necessary legal and regulatory approvals for the rebranding will be obtained.
“We believe it is the prerogative of any large company with ambitions for sustainable growth, to own and control its brand and identity. With this change to SD Guthrie, we will be able to assert full control over our identity and explore opportunities that will best serve the interests of our shareholders,” said SD Plantation’s Group Managing Director, Datuk Mohamad Helmy Othman Basha. Read more Sime Darby Plantations
---------
GAMALUX'S R&D FOCUSES ON ADVANCING SUSTAINABLE PALM OIL PRODUCTS
KUALA LUMPUR, April 29 (Bernama) -- Gamalux Oils Sdn Bhd's research and development centre is focused on advancing sustainable oil palm origin-based products to support global sustainable aviation fuel (SAF) and hydrogenated vegetable oil (HVO) producers.
Gamalux’s Chief Executive Officer and Managing Director Usman Ahmed said Gamalux's commitments are rooted in its dedication to environmental, social and governance (ESG) practices.
“Gamalux now stands as one of Malaysia's leading producers of renewable energy feedstocks for SAF, HVO and Green Truck Diesel industries, leveraging the potential of vegetable oil waste for sustainable energy solutions.
“This centre, which is located in Lahad Datu Palm Oil Industrial Cluster (POIC) is in line with Gamalux’s mission to enhance the value of oil palm feedstocks, enabling sustainable and efficient production,” he said in a statement today.
He then elaborated that Gamalux aims to optimise these feedstocks for renewable and green energy applications through innovative research, specifically targeting the development of biofuels and other green technologies.
Usman also said the centre prioritises the refinement and diversification of oil palm derivatives, fostering a circular economy that minimises waste and maximises utility. Read more Bernama
Focus on MSPO during Malaysia-EU free trade talks, says think tank
The Center for Market Education says this would highlight the mutual good intentions of both parties in achieving an inclusive and sustainable agreement.
PETALING JAYA: A think tank has called for the Malaysian Sustainable Palm Oil (MSPO) standard to be made the first point of dialogue between Malaysia and the European Union when discussions on a Malaysia-EU free trade agreement (FTA) resume.
During a trip to Germany in March, Prime Minister Anwar Ibrahim said he held discussions with German vice-chancellor Robert Habeck on rekindling talks about the FTA.
He also said that Malaysia is working with the EU to determine the gap in the positions and stance of both Putrajaya and the bloc for the FTA which has been postponed since 2012.
In a statement, the Center for Market Education (CME) said focusing on the MSPO standard during the FTA talks would highlight the mutual good intentions of both parties in achieving an inclusive and sustainable free and fair trade agreement. Read more FMT
---------
CME says restarting FTA talks with the EU could reduce Malaysia's dependence on China
KUALA LUMPUR: The Center for Market Education (CME) said restarting free trade agreement talks (FTA) talks with the European Union (EU) could help deal with the issue of over-dependence on China as a major trading partner.
"As stressed by CME in several occasions, the high dependance on China is one of the reasons behind the ringgit weakness and diversification can only benefit Malaysia," CME chief executive officer Dr Carmelo Ferlito said in statement today.
In 2023, China accounted for 13.5 per cent of Malaysia's export and 21.3 per cent of Malaysia's import.
Ferlito said Malaysia's commitment to free international trade through diversification, will help strengthen the currency.
In 2023, the Euro-area alone represented 7 per cent of Malaysia's international trade, standing at 7 per cent both as export market destination and as import source. Read more New Straits Times
---------
Palm oil smallholders told to apply for replanting
SANDAKAN: Smallholders in the palm oil industry, especially in Sabah, are advised to seize the opportunity to get the Small Palm Oil Smallholder Planting Financing Incentive Scheme for the replanting.
Deputy Minister of Plantation and Commodities, Datuk Chan Foong Hin said this matching grant involves an allocation of RM100 million which will be fully channelled by Agrobank.
He explained that the incentives announced in the 2024 Budget were prepared and introduced by the government through the Ministry of Finance and the Ministry of Plantation and Commodities.
Thus, Chan suggested small oil palm farmers to take the initiative to replant to replace old trees as a reinvestment measure. Read more Daily Express
---------
SD Plantation Announces Intention for Name Change
Petaling Jaya, 30 April 2024 - Sime Darby Plantation Berhad (SD Plantation or the Company) has announced its intention to change its brand name to SD Guthrie Berhad. This strategic decision was announced to Bursa Malaysia earlier today, notifying the public of the company’s intention to seek shareholders' approval for the new brand at an extraordinary general meeting (EGM). The notice of EGM will be issued in due course.
“This is a significant milestone in our 200-year history and comes at a pivotal time for us as an organisation,” said SD Plantation’s Chairman, Tan Sri Dr Nik Norzrul Thani Nik Hassan Thani. “We have established clear leadership in our industry on many fronts and have grown our downstream business into a significant revenue contributor. As a landowner in Malaysia, we are also cognisant of the many opportunities to create value for our shareholders.”
The decision to rebrand was made after several months of discussions with experts in the fields of law, intellectual property and brand identity. All necessary legal and regulatory approvals for the rebranding will be obtained.
“We believe it is the prerogative of any large company with ambitions for sustainable growth, to own and control its brand and identity. With this change to SD Guthrie, we will be able to assert full control over our identity and explore opportunities that will best serve the interests of our shareholders,” said SD Plantation’s Group Managing Director, Datuk Mohamad Helmy Othman Basha. Read more Sime Darby Plantations
---------
GAMALUX'S R&D FOCUSES ON ADVANCING SUSTAINABLE PALM OIL PRODUCTS
KUALA LUMPUR, April 29 (Bernama) -- Gamalux Oils Sdn Bhd's research and development centre is focused on advancing sustainable oil palm origin-based products to support global sustainable aviation fuel (SAF) and hydrogenated vegetable oil (HVO) producers.
Gamalux’s Chief Executive Officer and Managing Director Usman Ahmed said Gamalux's commitments are rooted in its dedication to environmental, social and governance (ESG) practices.
“Gamalux now stands as one of Malaysia's leading producers of renewable energy feedstocks for SAF, HVO and Green Truck Diesel industries, leveraging the potential of vegetable oil waste for sustainable energy solutions.
“This centre, which is located in Lahad Datu Palm Oil Industrial Cluster (POIC) is in line with Gamalux’s mission to enhance the value of oil palm feedstocks, enabling sustainable and efficient production,” he said in a statement today.
He then elaborated that Gamalux aims to optimise these feedstocks for renewable and green energy applications through innovative research, specifically targeting the development of biofuels and other green technologies.
Usman also said the centre prioritises the refinement and diversification of oil palm derivatives, fostering a circular economy that minimises waste and maximises utility. Read more Bernama
|
|
|
April 29, 2024
Malaysian government is serious about addressing the challenges of the palm oil industry
The Malaysian government is serious in resolving the issues surrounding the palm oil industry in the country, said Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani.
The issues, particularly environmental and social issues, could affect the RM102 billion export potential when the country produces between 18.5 tonnes and 18.6 tonnes of crude palm oil.
This would go back to both the federal and state governments which are benefitting from the industry in terms of tax collection, almost one million people who are employed by the industry and 450,000 smallholders throughout the country.
“You know we are facing a big issue now in the world. You never see it last time but in the past 15 years people are talking about environment everywhere you go.
“If we can’t address the issue of environment we will be affected. That is why the government is to audit (under the Malaysian Sustainable Palm Oil (MSPO) certification scheme),” he said when opening Sarawak Oil Palms’ (SOP) Refinery and Fractionation Plant 2 at the Kidurong Industrial Estate Area Phase 2 here today. Bernama/UK Agro Consult
---------
Malaysian Prime Minister Datuk Seri Anwar Ibrahim cautioned major global economies against dictating and imposing conditions on Malaysia's economic direction and policies.
Speaking at the opening plenary session of the World Economic Forum (WEF) Special Meeting in Riyadh, the Prime Minister stressed that while Malaysia welcomes any investments, it must adhere to the rules and procedures set by the country.
Malaysian government is serious about addressing the challenges of the palm oil industry
The Malaysian government is serious in resolving the issues surrounding the palm oil industry in the country, said Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani.
The issues, particularly environmental and social issues, could affect the RM102 billion export potential when the country produces between 18.5 tonnes and 18.6 tonnes of crude palm oil.
This would go back to both the federal and state governments which are benefitting from the industry in terms of tax collection, almost one million people who are employed by the industry and 450,000 smallholders throughout the country.
“You know we are facing a big issue now in the world. You never see it last time but in the past 15 years people are talking about environment everywhere you go.
“If we can’t address the issue of environment we will be affected. That is why the government is to audit (under the Malaysian Sustainable Palm Oil (MSPO) certification scheme),” he said when opening Sarawak Oil Palms’ (SOP) Refinery and Fractionation Plant 2 at the Kidurong Industrial Estate Area Phase 2 here today. Bernama/UK Agro Consult
---------
Malaysian Prime Minister Datuk Seri Anwar Ibrahim cautioned major global economies against dictating and imposing conditions on Malaysia's economic direction and policies.
Speaking at the opening plenary session of the World Economic Forum (WEF) Special Meeting in Riyadh, the Prime Minister stressed that while Malaysia welcomes any investments, it must adhere to the rules and procedures set by the country.
Malaysian Palm Oil Council committed to advancing palm oil industry, supporting smallholders
KUALA LUMPUR: The Malaysian Palm Oil Council (MPOC) is firmly committed to advancing the national palm oil industry and supporting smallholders in Malaysia.
This dedication is demonstrated through its workshop series entitled "Pengenalan Standard MSPO dan Aspek Sosial Dalam Perniagaan," which was officially launched by Datuk Seri Johari Abdul Ghani, the Minister of Plantation and Commodities recently.
According to MPOC in a statement, the workshop aimed to provide accurate and up-to-date information to smallholders on important labour issues in the sector.
Specifically, it delved into the issues of forced labour and child labour which need to be eradicated to ensure a fair and sustainable palm oil industry.
Furthermore, the session aimed to elucidate the social dimensions embedded in the revised 2022 MSPO standard, as well as Sarawak Government legislation regarding labour force remuneration, forced labour, and child labour, enhancing the participants' understanding and compliance with these essential guidelines.
The workshop also highlighted concrete steps being taken by the government, palm oil industry players, and local human rights organisations to address labour issues. Read more New Straits Times
---------
Deforestation in Indonesia spiked last year, but resources analyst sees better overall trend
JAKARTA, Indonesia (AP) — From trees felled in protected national parks to massive swaths of jungle razed for palm oil and paper plantations, Indonesia had a 27% uptick in primary forest loss in 2023 from the previous year, according to a World Resources Institute analysis of deforestation data. But the loss is still seen as historically low compared to the 2010s, it said.
“Deforestation has been declining from six or so years ago, when there were peak rates,” said Rod Taylor, global director of the forests program at WRI. “It’s good news and commendable for Indonesia.”
But others saw cause for concern in the uptick, and tied some of the more recent deforestation to the world’s appetite for mining Indonesia’s vast deposits of nickel, which is critical for the green energy transition.
The latest data from the University of Maryland’s Global Land Analysis and Discovery laboratory was shared on Global Forest Watch — a platform run by WRI that provides data, technology and tools for monitoring the world’s forests. Read more AP
---------
With Indonesia increasing permits for palm oil exports, prices in India to go down
With the Indonesian Government increasing the permits for palm oil exports, the domestic prices in India are expected to get lowered.
Shankar Thakkar, president, All India Edible Oil Traders Federation, said that Indonesia, the top palm oil producing country, is expected to export more crude palm oil (CPO) and its derivatives in April because its Trade Ministry has issued more export permits during the month of March.
"The ministry has issued export permits for 1.36 million tonne in February compared to 1.55 million tonne in March. Cooking oil supplies stood at 82,531 tonne on domestic market obligation program (DMO) basis till April 21 as reports and shipments were delayed by the week-long Eid holidays," said Thakkar.
He added that the DMO cooking oil deliveries would be higher in April, May due to higher supply of CPO and improvement in export market in May, June.
Indian traders were also expecting a cut in export duty by Indonesia in the coming days, which will help in price reduction. FNB News
---------
Sime Darby Oils PNG cleared to acquire NBPOL's downstream business
The Independent Consumer and Competition Commission (ICCC) has given clearance to Sime Darby Oils (PNG) Limited (SDO PNG) to acquire the Downstream business operations, including related assets, of New Britain Palm Oil Limited (NBPOL).
ICCC Commissioner and Chief Executive Officer Paulus Ain said this is following ICCC's assessment that the Proposed Acquisition would not have the effect of substantially lessening competition in any market(s) in Papua New Guinea (PNG).
According to available information, ICCC noted that both SDO PNG and NBPOL are part of the Sime Darby Group and are wholly owned subsidiaries of Sime Darby Plantation Berhad (SDPB).
The Proposed Acquisition would only be an internal restructure within the Sime Darby Group as part of SDPB's direction to separate the Upstream and Downstream operations of all its subsidiaries globally.
"SDO PNG would be replacing NBPOL in the downstream oil palm business activities of the Sime Darby Group in PNG post-acquisition," Ain explained.
The ICCC also noted that the Proposed Acquisition would only result in the separation of the business segments (upstream and downstream) within NBPOL; and would not enhance the market position of SDO PNG, in terms of control, in any relevant market(s) in PNG.
Given the Proposed Acquisition would be an internal restructure within the Sime Darby Group, the ICCC considered that there would be no serious competition impact the Proposed Acquisition would have on any domestic market(s) in PNG.
"Therefore, the Proposed Acquisition was cleared to proceed," Ain said. LOOP PNG
----------
Through Palm Oil Synergy, You Can Cut Carbon Emissions on the Way to Sustainable Palm Oil Plantations
InfoSAWIT, JAKARTA – The still imperfect governance of the palm oil plantation sector in Indonesia is on the radar of the National Defense Institute (Lemhanas). Suggestions for improvement and collaboration continue to be made, one of which is by holding a Discussion Group Seminar (SGD) with the theme "Strategies for Sustainable Palm Oil Plantation Development to Increase Carbon Credit and Reduce Greenhouse Gas Emissions."
This is an event organized by the Bentang Merah Putih Foundation, together with the Palm Oil Plantation Fund Management Agency (BPPDKS) and Lemhanas RI, at the Dwiwarna Building, Lemhanas, attended by InfoSAWIT in Jakarta, on Monday (29/4/2024). Read more Infosawit
---------
Palm Oil Profit Sharing Fund for the Welfare of Local Communities
InfoSAWIT, JAKARTA – The Indonesian Government's policy of distributing palm oil Production Sharing Funds (DBH) to palm oil producing regions has become a new passion for the Regional Government (Pemda), in order to advance palm oil plantations to downstream industries. The Palm Oil DBH given to this area is a large capital for the Regional Government to improve the welfare of the people in the area.
Through the policy of Government Regulation Number 38 of 2023 concerning Oil Palm Plantation Profit Sharing Funds. The Indonesian government aims to reduce fiscal imbalances and externalities that have a negative impact due to economic activities on oil palm plantations. For this reason, the government regulates and determines the types of profit sharing from palm oil plantations. Read more Infosawit
---------
SPKS hopes that the elected president and vice president will support sustainable palm oil farmers
InfoSAWIT, JAKARTA – The Palm Oil Farmers Union (SPKS) congratulates them on the election of the President and Vice President for the 2024-2029 period which was determined by the General Election Commission (KPU) on April 24 2024. With the election of this new captain, it is hoped that SPKS can continue to support the efforts of sustainable palm oil farmers.
The democratic party through General Elections (Pemilu), which is held every five years, has been held by the Indonesian Government. Through the determination of the winner by the Indonesian KPU on April 24, the election for President and Vice President was determined by Prabowo Subianto and Gibran Rakabumi. Following this decision by the Indonesian KPU, the inauguration of the President and Vice President of the Republic of Indonesia will be held in October 2024. Read more Infosawit
KUALA LUMPUR: The Malaysian Palm Oil Council (MPOC) is firmly committed to advancing the national palm oil industry and supporting smallholders in Malaysia.
This dedication is demonstrated through its workshop series entitled "Pengenalan Standard MSPO dan Aspek Sosial Dalam Perniagaan," which was officially launched by Datuk Seri Johari Abdul Ghani, the Minister of Plantation and Commodities recently.
According to MPOC in a statement, the workshop aimed to provide accurate and up-to-date information to smallholders on important labour issues in the sector.
Specifically, it delved into the issues of forced labour and child labour which need to be eradicated to ensure a fair and sustainable palm oil industry.
Furthermore, the session aimed to elucidate the social dimensions embedded in the revised 2022 MSPO standard, as well as Sarawak Government legislation regarding labour force remuneration, forced labour, and child labour, enhancing the participants' understanding and compliance with these essential guidelines.
The workshop also highlighted concrete steps being taken by the government, palm oil industry players, and local human rights organisations to address labour issues. Read more New Straits Times
---------
Deforestation in Indonesia spiked last year, but resources analyst sees better overall trend
JAKARTA, Indonesia (AP) — From trees felled in protected national parks to massive swaths of jungle razed for palm oil and paper plantations, Indonesia had a 27% uptick in primary forest loss in 2023 from the previous year, according to a World Resources Institute analysis of deforestation data. But the loss is still seen as historically low compared to the 2010s, it said.
“Deforestation has been declining from six or so years ago, when there were peak rates,” said Rod Taylor, global director of the forests program at WRI. “It’s good news and commendable for Indonesia.”
But others saw cause for concern in the uptick, and tied some of the more recent deforestation to the world’s appetite for mining Indonesia’s vast deposits of nickel, which is critical for the green energy transition.
The latest data from the University of Maryland’s Global Land Analysis and Discovery laboratory was shared on Global Forest Watch — a platform run by WRI that provides data, technology and tools for monitoring the world’s forests. Read more AP
---------
With Indonesia increasing permits for palm oil exports, prices in India to go down
With the Indonesian Government increasing the permits for palm oil exports, the domestic prices in India are expected to get lowered.
Shankar Thakkar, president, All India Edible Oil Traders Federation, said that Indonesia, the top palm oil producing country, is expected to export more crude palm oil (CPO) and its derivatives in April because its Trade Ministry has issued more export permits during the month of March.
"The ministry has issued export permits for 1.36 million tonne in February compared to 1.55 million tonne in March. Cooking oil supplies stood at 82,531 tonne on domestic market obligation program (DMO) basis till April 21 as reports and shipments were delayed by the week-long Eid holidays," said Thakkar.
He added that the DMO cooking oil deliveries would be higher in April, May due to higher supply of CPO and improvement in export market in May, June.
Indian traders were also expecting a cut in export duty by Indonesia in the coming days, which will help in price reduction. FNB News
---------
Sime Darby Oils PNG cleared to acquire NBPOL's downstream business
The Independent Consumer and Competition Commission (ICCC) has given clearance to Sime Darby Oils (PNG) Limited (SDO PNG) to acquire the Downstream business operations, including related assets, of New Britain Palm Oil Limited (NBPOL).
ICCC Commissioner and Chief Executive Officer Paulus Ain said this is following ICCC's assessment that the Proposed Acquisition would not have the effect of substantially lessening competition in any market(s) in Papua New Guinea (PNG).
According to available information, ICCC noted that both SDO PNG and NBPOL are part of the Sime Darby Group and are wholly owned subsidiaries of Sime Darby Plantation Berhad (SDPB).
The Proposed Acquisition would only be an internal restructure within the Sime Darby Group as part of SDPB's direction to separate the Upstream and Downstream operations of all its subsidiaries globally.
"SDO PNG would be replacing NBPOL in the downstream oil palm business activities of the Sime Darby Group in PNG post-acquisition," Ain explained.
The ICCC also noted that the Proposed Acquisition would only result in the separation of the business segments (upstream and downstream) within NBPOL; and would not enhance the market position of SDO PNG, in terms of control, in any relevant market(s) in PNG.
Given the Proposed Acquisition would be an internal restructure within the Sime Darby Group, the ICCC considered that there would be no serious competition impact the Proposed Acquisition would have on any domestic market(s) in PNG.
"Therefore, the Proposed Acquisition was cleared to proceed," Ain said. LOOP PNG
----------
Through Palm Oil Synergy, You Can Cut Carbon Emissions on the Way to Sustainable Palm Oil Plantations
InfoSAWIT, JAKARTA – The still imperfect governance of the palm oil plantation sector in Indonesia is on the radar of the National Defense Institute (Lemhanas). Suggestions for improvement and collaboration continue to be made, one of which is by holding a Discussion Group Seminar (SGD) with the theme "Strategies for Sustainable Palm Oil Plantation Development to Increase Carbon Credit and Reduce Greenhouse Gas Emissions."
This is an event organized by the Bentang Merah Putih Foundation, together with the Palm Oil Plantation Fund Management Agency (BPPDKS) and Lemhanas RI, at the Dwiwarna Building, Lemhanas, attended by InfoSAWIT in Jakarta, on Monday (29/4/2024). Read more Infosawit
---------
Palm Oil Profit Sharing Fund for the Welfare of Local Communities
InfoSAWIT, JAKARTA – The Indonesian Government's policy of distributing palm oil Production Sharing Funds (DBH) to palm oil producing regions has become a new passion for the Regional Government (Pemda), in order to advance palm oil plantations to downstream industries. The Palm Oil DBH given to this area is a large capital for the Regional Government to improve the welfare of the people in the area.
Through the policy of Government Regulation Number 38 of 2023 concerning Oil Palm Plantation Profit Sharing Funds. The Indonesian government aims to reduce fiscal imbalances and externalities that have a negative impact due to economic activities on oil palm plantations. For this reason, the government regulates and determines the types of profit sharing from palm oil plantations. Read more Infosawit
---------
SPKS hopes that the elected president and vice president will support sustainable palm oil farmers
InfoSAWIT, JAKARTA – The Palm Oil Farmers Union (SPKS) congratulates them on the election of the President and Vice President for the 2024-2029 period which was determined by the General Election Commission (KPU) on April 24 2024. With the election of this new captain, it is hoped that SPKS can continue to support the efforts of sustainable palm oil farmers.
The democratic party through General Elections (Pemilu), which is held every five years, has been held by the Indonesian Government. Through the determination of the winner by the Indonesian KPU on April 24, the election for President and Vice President was determined by Prabowo Subianto and Gibran Rakabumi. Following this decision by the Indonesian KPU, the inauguration of the President and Vice President of the Republic of Indonesia will be held in October 2024. Read more Infosawit
|
|
|
April 28, 2024
Malaysia commits to sustainable palm oil production to address concerns from labor to indigenous rights
BINTULU: Malaysia is committed to ensuring the country’s palm oil production is carried out sustainably and complies to standards on welfare, workers’ rights and labour practices.
Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani said his ministry took seriously issues that had attracted the attention of the international community to ensure the country was no longer accused of issues that had no validity.
In addition, he said, his side would ensure Malaysia was committed to looking after and maintaining a sustainable environment while also trying to help increase the nation’s oil palm production.
“We also give a commitment that there won’t be any more deforestation to grow palm oil; we will focus more on the 5.7 million hectares we have to increase the yield,” he said at a press conference after inaugurating the Standard Introduction Workshop MSPO (MS2530:2022) and Social Aspects In Business organised by the Malaysian Palm Oil Council (MPOC) and Sarawak Dayak Palm Oil Planters Association (DOPPA) here.
Earlier, in his speech, Johari informed that in 2023, the oil palm industry would have contributed around three per cent of the national income and RM102 billion in export revenue.
He said the sector was a source of sustenance for 447,581 smallholders.
He hoped the oil palm industry in Malaysia could be used as an example and reference for the international community in terms of sustainability, both in dealing with the climate change crisis and social aspects. Read more New Sarawak Tribune
----------
MSPO, RSPO will benefit Sarawak small-scale oil palm farmers
BINTULU (April 27): Small-scale oil palm farmers in the country, especially Sarawak, will benefit from Malaysia Sustainable Palm Oil (MSPO) certification programme and Roundtable on Sustainable Palm Oil (RSPO) negotiations, said Plantation Industries and Commodities Minister Datuk Seri Johari Abdul Ghani.
He said through this certification, farmers can ensure high quality production of palm fruit and products while practicing sustainable oil palm cultivation system and prioritising environmental cleanliness according to the international standards.
“Through MSPO and RSPO exploration series, small-scale farmers will indirectly gain valuable information about MSPO certification, especially sustainable oil palm cultivation methods and meeting the requirements for producing high-quality palm fruit,” he said.
He made these remarks when officiating at the Introduction Workshop for MSPO Standard (MS2530:2022) and Social Aspects in Business at Hotel Margherita Plaza in Bintulu today.
More than 400 small-scale oil palm farmers in Bintulu participated in the workshop. Read more Borneo Post
----------
Sarawak Oil Palms Bhd delivers over 179,000 tonnes of palm methyl ester to Petronas, Shell in 2023
BINTULU, April 27 — Sarawak Oil Palms Bhd (SOP) delivered 179,578.69 tonnes of palm methyl ester (PME) to Petronas and Shell depots throughout Sarawak last year, an increase from 161,671.96 tonnes delivered in 2022.
SOP chief operating officer Eric Kiu Kwong Seng said the figures reflected the company’s commitment to meeting the growing demand for sustainable energy solutions in the country.
“Likewise, our crude glycerol exports experienced a significant increase, reaching 22,244 tonnes in 2023, proving the quality and reliability of our products at the global level,” he said.
He said the company’s biodiesel plant at the Kidurong Industrial Estate Phase 2, which adheres to strict environmental standards, is capable of processing 600 tonnes per day while its phytonutrient plant has a daily production capacity of 300 tonnes.
Speaking at the opening of the company’s Refinery and Fractionation Plant 2 at the Kidurong Industrial Estate Phase 2 here, today, by Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani, Kiu said SOP is committed to strengthening its future prospects by realising its vision to become a fully integrated oil palm plantation group in Sarawak.
Through its wholly-owned subsidiary, SOP Industries Sdn Bhd, SOP leads the development of the Palm Oil Downstream Complex which plays an important role in the production of various downstream palm oil products, including refined, bleached and deodorised (RBD) palm oil, RBD palm olein, RBD palm stearin, palm kernel expeller, crude palm kernel oil, PME, glycerol, distilled methyl ester, acid oil, tocotrienols, and palm beta carotene. Read more Malay Mail
Malaysia commits to sustainable palm oil production to address concerns from labor to indigenous rights
BINTULU: Malaysia is committed to ensuring the country’s palm oil production is carried out sustainably and complies to standards on welfare, workers’ rights and labour practices.
Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani said his ministry took seriously issues that had attracted the attention of the international community to ensure the country was no longer accused of issues that had no validity.
In addition, he said, his side would ensure Malaysia was committed to looking after and maintaining a sustainable environment while also trying to help increase the nation’s oil palm production.
“We also give a commitment that there won’t be any more deforestation to grow palm oil; we will focus more on the 5.7 million hectares we have to increase the yield,” he said at a press conference after inaugurating the Standard Introduction Workshop MSPO (MS2530:2022) and Social Aspects In Business organised by the Malaysian Palm Oil Council (MPOC) and Sarawak Dayak Palm Oil Planters Association (DOPPA) here.
Earlier, in his speech, Johari informed that in 2023, the oil palm industry would have contributed around three per cent of the national income and RM102 billion in export revenue.
He said the sector was a source of sustenance for 447,581 smallholders.
He hoped the oil palm industry in Malaysia could be used as an example and reference for the international community in terms of sustainability, both in dealing with the climate change crisis and social aspects. Read more New Sarawak Tribune
----------
MSPO, RSPO will benefit Sarawak small-scale oil palm farmers
BINTULU (April 27): Small-scale oil palm farmers in the country, especially Sarawak, will benefit from Malaysia Sustainable Palm Oil (MSPO) certification programme and Roundtable on Sustainable Palm Oil (RSPO) negotiations, said Plantation Industries and Commodities Minister Datuk Seri Johari Abdul Ghani.
He said through this certification, farmers can ensure high quality production of palm fruit and products while practicing sustainable oil palm cultivation system and prioritising environmental cleanliness according to the international standards.
“Through MSPO and RSPO exploration series, small-scale farmers will indirectly gain valuable information about MSPO certification, especially sustainable oil palm cultivation methods and meeting the requirements for producing high-quality palm fruit,” he said.
He made these remarks when officiating at the Introduction Workshop for MSPO Standard (MS2530:2022) and Social Aspects in Business at Hotel Margherita Plaza in Bintulu today.
More than 400 small-scale oil palm farmers in Bintulu participated in the workshop. Read more Borneo Post
----------
Sarawak Oil Palms Bhd delivers over 179,000 tonnes of palm methyl ester to Petronas, Shell in 2023
BINTULU, April 27 — Sarawak Oil Palms Bhd (SOP) delivered 179,578.69 tonnes of palm methyl ester (PME) to Petronas and Shell depots throughout Sarawak last year, an increase from 161,671.96 tonnes delivered in 2022.
SOP chief operating officer Eric Kiu Kwong Seng said the figures reflected the company’s commitment to meeting the growing demand for sustainable energy solutions in the country.
“Likewise, our crude glycerol exports experienced a significant increase, reaching 22,244 tonnes in 2023, proving the quality and reliability of our products at the global level,” he said.
He said the company’s biodiesel plant at the Kidurong Industrial Estate Phase 2, which adheres to strict environmental standards, is capable of processing 600 tonnes per day while its phytonutrient plant has a daily production capacity of 300 tonnes.
Speaking at the opening of the company’s Refinery and Fractionation Plant 2 at the Kidurong Industrial Estate Phase 2 here, today, by Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani, Kiu said SOP is committed to strengthening its future prospects by realising its vision to become a fully integrated oil palm plantation group in Sarawak.
Through its wholly-owned subsidiary, SOP Industries Sdn Bhd, SOP leads the development of the Palm Oil Downstream Complex which plays an important role in the production of various downstream palm oil products, including refined, bleached and deodorised (RBD) palm oil, RBD palm olein, RBD palm stearin, palm kernel expeller, crude palm kernel oil, PME, glycerol, distilled methyl ester, acid oil, tocotrienols, and palm beta carotene. Read more Malay Mail
|
|
|
April 27, 2024
How 'law of unintended consequences' will push up price of a cup of coffee
Coffee is not just one of Europe’s favourite drinks — the continent is actually the world’s largest coffee market. From bustling Italian espresso bars to leisurely café au laits enjoyed on French sidewalks, to Scandinavia, where the ritual coffee break is reflected by Sweden’s “fika” tradition, while the drink is no less loved in Eastern Europe where Turkish-influenced coffee lends itself to bold and bitter flavours.
The EU’s incoming “deforestation-free” regulation, which comes into place in December 2024, is likely to impact supplies to the bloc of the drink’s essential component–coffee beans.
The EU’s new rules stipulate that any importers of a broad variety of products–like coffee, cattle, wood, cocoa, soy, palm oil, and rubber–must be able to prove that the products do not originate from recently deforested land, or have contributed to forest degradation. In practice, importers will need to provide geolocation data for the origin of their goods. The rules have been hailed as a meaningful push towards sustainable business practices, cutting carbon emissions and reducing biodiversity loss.
However, the West’s imposition of climate-friendly trade rules has been met by opposition in developing countries, where the vast majority of these products are produced. Read more EU Observer
---------
Why Cocoa, Oil Palm Production Has Been On Decline In Nigeria – Planters
In light of scarce public resources, Incorporated Society of Planters (ISP) has said Cocoa and Oil Palm production can significantly boost the nation’s Gross domestic…
In light of scarce public resources, Incorporated Society of Planters (ISP) has said Cocoa and Oil Palm production can significantly boost the nation’s Gross domestic product (GDP) if potentials of the industry were properly harnessed.
The organisation claimed that Nigeria, formerly the world’s leading cocoa producer, had slipped in the rankings due to neglect of the sector, particularly application of old age technologies and outdated farming techniques in the production processes.
ISP’s Proterm Vice Chairman in Africa, Fatai Afolabi, stated this on Friday at a media briefing ahead of the launch of the Africa chapter of the association slated for May 24 2024 in Abuja.
He noted that the establishment of ISP in Nigeria will help create an African hub as it will act as a regional organisation. Daily TrustNG
---------
Govt is serious in resolving palm oil industry issues, says Malaysia Minister Johari
BINTULU: The federal government is serious in resolving the issues surrounding the palm oil industry in the country, said Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani.
The issues, particularly environmental and social issues, could affect the RM102 billion export potential when the country produces between 18.5 tonnes and 18.6 tonnes of crude palm oil.
This would go back to both the federal and state governments, which are benefitting from the industry in terms of tax collection, almost one million people who are employed by the industry and 450,000 smallholders throughout the country.
"You know we are facing a big issue now in the world. You never see it last time but in the past 15 years people are talking about the environment everywhere you go.
"If we can't address the issue of the environment, we will be affected. That is why the government is to audit (under the Malaysian Sustainable Palm Oil (MSPO) certification scheme)," he said when opening Sarawak Oil Palms' (SOP) Refinery and Fractionation Plant 2 at the Kidurong Industrial Estate Area Phase 2 here today.
Malaysia, said Johari, should not be penalised if the country had been found to be not in compliance with the Roundtable on Sustainable Palm Oil's (RSPO) principles and criteria. Read more New Straits Times
---------
Ageing oil palm trees: MPOA calls for govt incentives to speed up replanting
KUALA LUMPUR (April 27): The Malaysian Palm Oil Association (MPOA) said there is an urgent need to accelerate replanting to address the issue of ageing oil palm trees, and urges the government to provide replanting tax incentives to support such efforts.
It is calling on the government to include oil palm replanting under the existing reinvestment allowance scheme, and to allow full utilisation of the reinvestment allowance against the plantation company's statutory income to address the financial barrier to replanting.
In a statement issued after the MPOA organised a seminar in Sandakan, Sabah, to highlight the imperatives of oil palm replanting, its chief executive Joseph Tek Choon Yee said replanting is "not merely an expense but a prudent investment in industry productivity, GDP (gross domestic product) growth, and future tax revenue for the government's coffers". Read more The EdgeMY
---------
61,421ha of land in Sabah replanted with oil palm in bid to revive industry
SANDAKAN: A total of 61,421 hectares of agricultural land in Sabah has been replanted with oil palm last year as an effort to revive the industry in the state.
Deputy Plantation and Commodities Minister Datuk Chan Foong Hin said it was an extraordinary feat that spoke volumes of Sabah's commitment to the industry's rejuvenation.
"In comparison to the low national 1.8 per cent replanting rate between 2014 and 2023, Sabah has achieved a remarkable four per cent replanting rate on 61,421 hectares of land in 2023.
"It is a major increase from the 36,218 hectares replanted in 2022, highlighting Sabah's critical role in pushing advancements within our industry.
"The state's contribution, comprising 47 per cent of Malaysia's total replanting area of 131,917 hectares last year, served as a shining beacon of inspiration for all planters.
"It is a testament to Sabah's unwavering dedication to sustainable growth and its invaluable contributions to the palm oil sector," he said during the launching of the "MPOA Seminar 2024: Oil Palm Replanting: Rediscovering Fundamentals and Advancing Best Practices" here. Read more New Straits Times
---------
The Consumer Goods Forum and Malaysian Government Unite Leaders to Advance Responsible Recruitment Practices
Kuala Lumpur, 25 April 2024 – On the eve of the final adoption of the Corporate Sustainability Directive by the European Union, business, CSOs and policymakers gathered in Kuala Lumpur to discuss the next practical steps in the journey to eradicate forced labour. The Symposium co-organised by The Consumer Goods Forum’s (CGF) Human Rights Coalition in collaboration with the Malaysian Ministry of Plantations and Commodities and My Voice, was an opportunity to assess progress on responsible recruitment and identify the way forward, in this rapidly evolving regulatory context.
The event, held at St. Giles Boulevard Hotel, Mid Valley City, Kuala Lumpur, brought together over 60 organisations including Malaysian businesses, civil society, government representatives, and international brands and retailers. During the discussions, participants from all sectors acknowledged the importance of human rights due diligence as a business imperative.
As the move from voluntary commitments to mandatory regulations consolidates, people and planet positive businesses are the key to ensuring thriving and resilient economies that respect the rights of workers and help sustainable businesses to flourish. Faced with the complex challenge of addressing adverse social impacts, every stakeholder must play their part to accelerate and scale up change, to address systemic social issues in supply chains. Read more The Consumer Goods Forum
---------
Soaring Imports of Green Diesel Feedstocks Disrupt US Soy Market
(Bloomberg) -- A surge in imports of used cooking oil and other ingredients for biofuel production in the US is eroding profits for soybean processors, forcing them to slow down and jeopardizing expansion plans.
Faced with weaker demand, companies are starting earlier than usual on seasonal maintenance, closing plants for longer periods. Some 20 million bushels (540,000 tons) of crush capacity were offline across the Corn Belt in April — a record for the month — including at big plants from Archer-Daniels-Midland Co. and Cargill Inc., according to CrushTraders. At least 10 million bushels are set to be turned off in May.
That’s a worrying sign for an industry that has invested billions of dollars to expand capacity in turning soybeans into oil, which then can be used to make renewable diesel. While government incentives have created booming demand for cleaner-burning fuels from sources such as farm crops, foreign shipments of alternatives including imported tallow, used cooking oil and canola oil are cannibalizing soybean oil’s market share.
The increased competition is raising questions about how much capacity will be needed going forward.
“Those projects that were well under way are going to continue and get completed,” John Neppl, chief financial officer of Bunge Global SA, the world’s largest processor of oilseeds, said Wednesday in a conference call with analysts. “But really, anything that was proposed or in early stages, we’ve seen a number of those put on hold.”
Soyoil accounted for 32% of the feedstocks used to produce biodiesel in January, down from 44% a year earlier and a record low. That’s partly because soyoil isn’t very competitive against the alternative sources, which are cheaper and have lower carbon-intensity scores, allowing for higher subsidies. Read more Bloomberg
How 'law of unintended consequences' will push up price of a cup of coffee
Coffee is not just one of Europe’s favourite drinks — the continent is actually the world’s largest coffee market. From bustling Italian espresso bars to leisurely café au laits enjoyed on French sidewalks, to Scandinavia, where the ritual coffee break is reflected by Sweden’s “fika” tradition, while the drink is no less loved in Eastern Europe where Turkish-influenced coffee lends itself to bold and bitter flavours.
The EU’s incoming “deforestation-free” regulation, which comes into place in December 2024, is likely to impact supplies to the bloc of the drink’s essential component–coffee beans.
The EU’s new rules stipulate that any importers of a broad variety of products–like coffee, cattle, wood, cocoa, soy, palm oil, and rubber–must be able to prove that the products do not originate from recently deforested land, or have contributed to forest degradation. In practice, importers will need to provide geolocation data for the origin of their goods. The rules have been hailed as a meaningful push towards sustainable business practices, cutting carbon emissions and reducing biodiversity loss.
However, the West’s imposition of climate-friendly trade rules has been met by opposition in developing countries, where the vast majority of these products are produced. Read more EU Observer
---------
Why Cocoa, Oil Palm Production Has Been On Decline In Nigeria – Planters
In light of scarce public resources, Incorporated Society of Planters (ISP) has said Cocoa and Oil Palm production can significantly boost the nation’s Gross domestic…
In light of scarce public resources, Incorporated Society of Planters (ISP) has said Cocoa and Oil Palm production can significantly boost the nation’s Gross domestic product (GDP) if potentials of the industry were properly harnessed.
The organisation claimed that Nigeria, formerly the world’s leading cocoa producer, had slipped in the rankings due to neglect of the sector, particularly application of old age technologies and outdated farming techniques in the production processes.
ISP’s Proterm Vice Chairman in Africa, Fatai Afolabi, stated this on Friday at a media briefing ahead of the launch of the Africa chapter of the association slated for May 24 2024 in Abuja.
He noted that the establishment of ISP in Nigeria will help create an African hub as it will act as a regional organisation. Daily TrustNG
---------
Govt is serious in resolving palm oil industry issues, says Malaysia Minister Johari
BINTULU: The federal government is serious in resolving the issues surrounding the palm oil industry in the country, said Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani.
The issues, particularly environmental and social issues, could affect the RM102 billion export potential when the country produces between 18.5 tonnes and 18.6 tonnes of crude palm oil.
This would go back to both the federal and state governments, which are benefitting from the industry in terms of tax collection, almost one million people who are employed by the industry and 450,000 smallholders throughout the country.
"You know we are facing a big issue now in the world. You never see it last time but in the past 15 years people are talking about the environment everywhere you go.
"If we can't address the issue of the environment, we will be affected. That is why the government is to audit (under the Malaysian Sustainable Palm Oil (MSPO) certification scheme)," he said when opening Sarawak Oil Palms' (SOP) Refinery and Fractionation Plant 2 at the Kidurong Industrial Estate Area Phase 2 here today.
Malaysia, said Johari, should not be penalised if the country had been found to be not in compliance with the Roundtable on Sustainable Palm Oil's (RSPO) principles and criteria. Read more New Straits Times
---------
Ageing oil palm trees: MPOA calls for govt incentives to speed up replanting
KUALA LUMPUR (April 27): The Malaysian Palm Oil Association (MPOA) said there is an urgent need to accelerate replanting to address the issue of ageing oil palm trees, and urges the government to provide replanting tax incentives to support such efforts.
It is calling on the government to include oil palm replanting under the existing reinvestment allowance scheme, and to allow full utilisation of the reinvestment allowance against the plantation company's statutory income to address the financial barrier to replanting.
In a statement issued after the MPOA organised a seminar in Sandakan, Sabah, to highlight the imperatives of oil palm replanting, its chief executive Joseph Tek Choon Yee said replanting is "not merely an expense but a prudent investment in industry productivity, GDP (gross domestic product) growth, and future tax revenue for the government's coffers". Read more The EdgeMY
---------
61,421ha of land in Sabah replanted with oil palm in bid to revive industry
SANDAKAN: A total of 61,421 hectares of agricultural land in Sabah has been replanted with oil palm last year as an effort to revive the industry in the state.
Deputy Plantation and Commodities Minister Datuk Chan Foong Hin said it was an extraordinary feat that spoke volumes of Sabah's commitment to the industry's rejuvenation.
"In comparison to the low national 1.8 per cent replanting rate between 2014 and 2023, Sabah has achieved a remarkable four per cent replanting rate on 61,421 hectares of land in 2023.
"It is a major increase from the 36,218 hectares replanted in 2022, highlighting Sabah's critical role in pushing advancements within our industry.
"The state's contribution, comprising 47 per cent of Malaysia's total replanting area of 131,917 hectares last year, served as a shining beacon of inspiration for all planters.
"It is a testament to Sabah's unwavering dedication to sustainable growth and its invaluable contributions to the palm oil sector," he said during the launching of the "MPOA Seminar 2024: Oil Palm Replanting: Rediscovering Fundamentals and Advancing Best Practices" here. Read more New Straits Times
---------
The Consumer Goods Forum and Malaysian Government Unite Leaders to Advance Responsible Recruitment Practices
Kuala Lumpur, 25 April 2024 – On the eve of the final adoption of the Corporate Sustainability Directive by the European Union, business, CSOs and policymakers gathered in Kuala Lumpur to discuss the next practical steps in the journey to eradicate forced labour. The Symposium co-organised by The Consumer Goods Forum’s (CGF) Human Rights Coalition in collaboration with the Malaysian Ministry of Plantations and Commodities and My Voice, was an opportunity to assess progress on responsible recruitment and identify the way forward, in this rapidly evolving regulatory context.
The event, held at St. Giles Boulevard Hotel, Mid Valley City, Kuala Lumpur, brought together over 60 organisations including Malaysian businesses, civil society, government representatives, and international brands and retailers. During the discussions, participants from all sectors acknowledged the importance of human rights due diligence as a business imperative.
As the move from voluntary commitments to mandatory regulations consolidates, people and planet positive businesses are the key to ensuring thriving and resilient economies that respect the rights of workers and help sustainable businesses to flourish. Faced with the complex challenge of addressing adverse social impacts, every stakeholder must play their part to accelerate and scale up change, to address systemic social issues in supply chains. Read more The Consumer Goods Forum
---------
Soaring Imports of Green Diesel Feedstocks Disrupt US Soy Market
(Bloomberg) -- A surge in imports of used cooking oil and other ingredients for biofuel production in the US is eroding profits for soybean processors, forcing them to slow down and jeopardizing expansion plans.
Faced with weaker demand, companies are starting earlier than usual on seasonal maintenance, closing plants for longer periods. Some 20 million bushels (540,000 tons) of crush capacity were offline across the Corn Belt in April — a record for the month — including at big plants from Archer-Daniels-Midland Co. and Cargill Inc., according to CrushTraders. At least 10 million bushels are set to be turned off in May.
That’s a worrying sign for an industry that has invested billions of dollars to expand capacity in turning soybeans into oil, which then can be used to make renewable diesel. While government incentives have created booming demand for cleaner-burning fuels from sources such as farm crops, foreign shipments of alternatives including imported tallow, used cooking oil and canola oil are cannibalizing soybean oil’s market share.
The increased competition is raising questions about how much capacity will be needed going forward.
“Those projects that were well under way are going to continue and get completed,” John Neppl, chief financial officer of Bunge Global SA, the world’s largest processor of oilseeds, said Wednesday in a conference call with analysts. “But really, anything that was proposed or in early stages, we’ve seen a number of those put on hold.”
Soyoil accounted for 32% of the feedstocks used to produce biodiesel in January, down from 44% a year earlier and a record low. That’s partly because soyoil isn’t very competitive against the alternative sources, which are cheaper and have lower carbon-intensity scores, allowing for higher subsidies. Read more Bloomberg
|
|
|
April 26, 2024
Doubts Mount That Food Sector Is Ready for Europe’s New Forest Rules
Europe’s new forest-protection rules are fast approaching, but concerns are mounting that the agri-food industry won’t be ready in time — something that’s set to reshape trade flows.
The European Union Deforestation Regulation, which kicks in on Dec. 30, will ban imports of commodities and their related products grown on land that was deforested after 2020. Companies must trace back their supply chains and prove that, or face hefty penalties.
But with the bulk of the technical details still yet to be revealed, criticism is growing at home and abroad. In recent months, a number of industry groups have expressed concerns over the implementation of the law that aims to help tackle climate change and protect biodiversity.
There are numerous reasons. Europe’s coffee industry has warned that disruptions to millions of smallholder producers would be “shattering” if the law proceeds as planned, as most farmers haven’t mapped their plots and wouldn’t know how to properly participate.
And as cocoa prices soar — with some traders forecasting an eye-watering high of $15,000 a ton — there are worries the rules will make it harder for the bloc’s chocolate makers to secure beans, exacerbating shortages.
Even EU nations are pushing back. Several member states have called for a “swift revision” of the regulations so that they don’t harm the region’s farming sector, and a prolonged transition period so companies have enough time to prepare.
Officials have already deferred categorizing supplier countries by their risk status, but for now there are no signs of further delays or meaningful adjustments to the rules. The European Commission told member states earlier this week that it will hit its deadlines and put in place an information system by December, according to people familiar with the matter. Read more Bloomberg
---------
Indonesia wants progress on EU trade deal
Steven Beardsley with material from Daniel Winter
The Southeast Asian nation accuses Brussels of "regulatory imperialism" following recent disputes over deforestation and nickel. But it's still hoping for an agreement.
Indonesia wants progress on a free trade agreement with the EU despite ongoing disputes over deforestation and nickel mining, the country's ambassador to Germany said in an interview on the fringes of the world's most important industrial fair in Hanover, Germany.
"Fifteen, twenty years of negotiation I think is too long," Arif Havas Oegroseno told DW.
The two economies opened trade talks in 2016, with Brussels aiming to build on recent agreements with Singapore and Vietnam.
Yet more than a dozen rounds of negotiations have failed to produce an agreement with Indonesia. One stumbling block is the language surrounding sustainable development, an area that includes biodiversity and deforestation.
'Fair treatment is the key'
Indonesia has taken issue with a new EU law requiring countries to certify their forest products against deforestation, a measure that covers the country's considerable palm oil exports. Jakarta says the law puts a burden on smaller landowners, in particular, some of whom lack the paper titles to their land.
"You're actually killing the smallholders who have nothing to do with deforestation," Oegroseno said.
The ambassador complained that European cooking oils don't require such certifications, and he repeated his country's complaint that Brussels was engaged in "regulatory imperialism."
"Fair treatment, that's the key," he said.
A joint task force between the EU and Southeast Asian countries is now working to implement the new law. Read more DW
---------
What Gates Called “The Worst Culprit” Of Climate Change Is Actually The World’s Savior From An Ecological Disaster
The Secretary General of the Council of Palm Oil Producing Countries (CPOPC), Dr. Rizal Affandi Lukman, responded to Bill Gates, the investor of C16 Biosciences, who stated that palm oil is the worst culprit of climate change.
Gates, funded USD 3.5 million through Bill and Melinda Gates Foundation to a research program to find an alternative material to palm oil from yeast, a microorganism that grows on foods after going through fermentation. Gates felt the need to fund this research program because the vegetable oils consumed globally play a part in wildfires in the forests and peatlands of Indonesia and Malaysia in 2018, which released 1.4% global emission.
The CPOPC Secretary General found that what Bill Gates shared in his blog is misleading, and a way to form public’s opinion without basing it on accurate data by stating that palm oil is the cause of deforestation.
The Governments of Indonesia and Malaysia have been making extensive efforts to ensure that their palm oil is produced sustainably, one of which is by stopping the land expansion for new oil palm plantation. World Research Institute showed a significant reduction on the deforestation in Indonesia and Malaysia since 2017. Both countries continue committing to improve the productivity of existing plantations without opening new lands through their national regulations, including their sustainability certifications.
Gates might not be aware that palm oil is the only vegetable oil being subjected to the most stringent certification requirements vis-à-vis other vegetable oils. From the mandatory national certification schemes, i.e. Indonesian Sustainable Palm Oil (ISPO) and Malaysian Sustainable Palm Oil (MSPO), to the voluntary-based certification schemes, such as the Roundtable on Sustainable Palm Oil (RSPO), Agriculture Sustainable Standard (SAN), International Sustainability and Carbon Certification (ISCC), and High Carbon Stock (HCS) Approach. Read more Sawit Indonesia
---------
India in need of palm oil, with sustainability and NMEO-OP
CK Mishra
India consumes 24 million tonnes of edible oil annually, of which 15 million tonnes is imported, with palm oil accounting for 56% of it. All oils are recommended for consumption in moderation, as is the case with palm oil. However, data shows that India is the largest importer of palm oil globally, according to a report published by the Asia Pacific Foundation of Canada, with over 90% coming from Malaysia, Indonesia and Thailand. As India’s largest food import, the bill for edible oils went up to Rs. 1.57 trillion in October 2022, according to The Solvent Extractors’ Association of India. As for palm oil, the market size was valued at USD 7.3 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 5.0% from 2023 to 2030.
In 2022-23, India palm oil consumption went up by 24% and is only set to rise, with it being present in everything from food to cosmetics. According to WWF, palm oil can be found in almost half of all packaged products sold in supermarkets, and even they acknowledge that palm oil can contribute to sustainability if it’s managed properly.
If this is the fact, then should India not be looking at self-sufficiency? The issue is where and how to make it sustainable with the least impact on ecology. This is why the Indian government’s move to launch oilseed initiatives comes as positive news to reduce dependence on imports, while addressing food security and rising unemployment.
The National Edible Oil Mission-Oil Palm (NMEO-OP) was announced in August 2021 by Prime Minister Narendra Modi, involving an investment of over USD 1 billion (Rs 11,040 crore). Out of this, Rs 8,844 crore is the Central share, while Rs 2,196 crore is allocated to states. The ambitious roadmap plans to achieve three times higher domestic production at 11 lakh MT by 2025-26 and 28 lakh tonnes by 2028-29, with oil palm cultivation going up to 10 lakh hectares by 2025-26 and 16.7 lakh hectares by 2029-30.
In an encouraging move, the government has permitted 100% FDI in plantations, while pledging Read more FNB News
---------
Malaysian Sustainable Palm Oil, Good Agricultural Practices to boost palm oil exports
NABAWAN: Deputy Minister of Plantation Industries and Commodities Datuk Chan Foong Hin explained that obtaining the Malaysian Sustainable Palm Oil (MSPO) certification and Good Agricultural Practices (GAP) will not only enhance the quality of palm oil but also help small palm oil farmers increase their income.
He pointed out that as global awareness of sustainable development principles continues to rise, many major importing countries have set strict trade conditions for commodity and food-exporting nations to ensure that the products they import meet sustainable development standards.
“Therefore, ensuring that Malaysian palm oil meets sustainable standards is of utmost importance. This will not only guarantee and expand international markets but also solidify Malaysia’s reputation for high-quality palm oil.,”he said at the Strengthening Program for Sustainable Palm Oil Certification here recently.
He said : “In order to ensure that small farmers can keep up with international standards and meet global market demands, the Ministry of Plantation Industries and Commodities, through the Malaysian Palm Oil Board, actively assists small farmers in joining the Sustainable Palm Oil Cluster (SPOC) and obtaining the MSPO certification.” Read more Daily Express
---------
Sowing sustainability: Malaysia's palm oil journey
PALM oil is a versatile ingredient found in a variety of products beyond the kitchen, including lipstick, soap and detergent.
It stands out as the most productive oil-bearing crop globally, yielding significantly higher quantities of vegetable oil per hectare annually compared to other popular oil-producing plants.
The palm oil industry in Malaysia holds immense significance, serving not only as a source of livelihood but also as a major contributor to the country's economy.
Malaysia exported around 24.5 million tonnes of palm oil and palm oil-based products in 2023, valued at over USD21 billion (RM95 billion). This contributed 2.97 per cent to Malaysia's total gross domestic product (GDP) in the same year, estimated to be worth US10.3 billion (RM46.5 billion).
Despite its economic importance, there have been claims about the environmental impact of oil palm cultivation. The industry faces challenges from protectionist policies with campaigns promoting "No Palm Oil" labels and highlighting human rights issues that have painted Malaysian palm oil in a certain light.
The EU, a major importer, has passed a law to phase out palm oil in biofuels by 2030 and also banned the sale of products linked to deforestation unless proven otherwise.
To highlight the industry's efforts in addressing environmental concerns and promoting sustainable practices, the New Straits Times made a short film about Malaysia's sustainable palm oil journey. Read more New Straits Times
---------
Coordinating Minister Airlangga Says Palm Oil Rejuvenation Realization Increases 72.35 Percent
Coordinating Minister for Economic Affairs Airlangga Hartarto conveyed that the realization of the people's palm oil rejuvenation program (PSR) in 2023 reached 53,012 hectares (ha), an increase of 72.35 percent compared to 2022 which amounted to 30,759 ha.
The government also noted that the distribution of PSR funds in 2023 was IDR 1.5 trillion, which was given to 21,020 planters.
In a meeting at the Presidential Palace in Jakarta, Coordinating Minister Airlangga highlighted several crucial points from the meeting, one of which was related to the realization of the oil palm replanting program which only reached 30 percent of the 180,000 ha target.
"One of the obstacles is in the regulations. Therefore, the Ministry of Agriculture was asked to review the regulation of the Minister of Agriculture because people's gardens cannot be replanted because they are asked for two things. One, in addition to certificates, recommendations from the Ministry of Environment and Forestry were also requested," said Airlangga as quoted by ANTARA, Tuesday, February 27.
Airlangga also emphasized that one of the main obstacles is regulations that complicate the replanting process for people's plantations. Read more VOI
Doubts Mount That Food Sector Is Ready for Europe’s New Forest Rules
Europe’s new forest-protection rules are fast approaching, but concerns are mounting that the agri-food industry won’t be ready in time — something that’s set to reshape trade flows.
The European Union Deforestation Regulation, which kicks in on Dec. 30, will ban imports of commodities and their related products grown on land that was deforested after 2020. Companies must trace back their supply chains and prove that, or face hefty penalties.
But with the bulk of the technical details still yet to be revealed, criticism is growing at home and abroad. In recent months, a number of industry groups have expressed concerns over the implementation of the law that aims to help tackle climate change and protect biodiversity.
There are numerous reasons. Europe’s coffee industry has warned that disruptions to millions of smallholder producers would be “shattering” if the law proceeds as planned, as most farmers haven’t mapped their plots and wouldn’t know how to properly participate.
And as cocoa prices soar — with some traders forecasting an eye-watering high of $15,000 a ton — there are worries the rules will make it harder for the bloc’s chocolate makers to secure beans, exacerbating shortages.
Even EU nations are pushing back. Several member states have called for a “swift revision” of the regulations so that they don’t harm the region’s farming sector, and a prolonged transition period so companies have enough time to prepare.
Officials have already deferred categorizing supplier countries by their risk status, but for now there are no signs of further delays or meaningful adjustments to the rules. The European Commission told member states earlier this week that it will hit its deadlines and put in place an information system by December, according to people familiar with the matter. Read more Bloomberg
---------
Indonesia wants progress on EU trade deal
Steven Beardsley with material from Daniel Winter
The Southeast Asian nation accuses Brussels of "regulatory imperialism" following recent disputes over deforestation and nickel. But it's still hoping for an agreement.
Indonesia wants progress on a free trade agreement with the EU despite ongoing disputes over deforestation and nickel mining, the country's ambassador to Germany said in an interview on the fringes of the world's most important industrial fair in Hanover, Germany.
"Fifteen, twenty years of negotiation I think is too long," Arif Havas Oegroseno told DW.
The two economies opened trade talks in 2016, with Brussels aiming to build on recent agreements with Singapore and Vietnam.
Yet more than a dozen rounds of negotiations have failed to produce an agreement with Indonesia. One stumbling block is the language surrounding sustainable development, an area that includes biodiversity and deforestation.
'Fair treatment is the key'
Indonesia has taken issue with a new EU law requiring countries to certify their forest products against deforestation, a measure that covers the country's considerable palm oil exports. Jakarta says the law puts a burden on smaller landowners, in particular, some of whom lack the paper titles to their land.
"You're actually killing the smallholders who have nothing to do with deforestation," Oegroseno said.
The ambassador complained that European cooking oils don't require such certifications, and he repeated his country's complaint that Brussels was engaged in "regulatory imperialism."
"Fair treatment, that's the key," he said.
A joint task force between the EU and Southeast Asian countries is now working to implement the new law. Read more DW
---------
What Gates Called “The Worst Culprit” Of Climate Change Is Actually The World’s Savior From An Ecological Disaster
The Secretary General of the Council of Palm Oil Producing Countries (CPOPC), Dr. Rizal Affandi Lukman, responded to Bill Gates, the investor of C16 Biosciences, who stated that palm oil is the worst culprit of climate change.
Gates, funded USD 3.5 million through Bill and Melinda Gates Foundation to a research program to find an alternative material to palm oil from yeast, a microorganism that grows on foods after going through fermentation. Gates felt the need to fund this research program because the vegetable oils consumed globally play a part in wildfires in the forests and peatlands of Indonesia and Malaysia in 2018, which released 1.4% global emission.
The CPOPC Secretary General found that what Bill Gates shared in his blog is misleading, and a way to form public’s opinion without basing it on accurate data by stating that palm oil is the cause of deforestation.
The Governments of Indonesia and Malaysia have been making extensive efforts to ensure that their palm oil is produced sustainably, one of which is by stopping the land expansion for new oil palm plantation. World Research Institute showed a significant reduction on the deforestation in Indonesia and Malaysia since 2017. Both countries continue committing to improve the productivity of existing plantations without opening new lands through their national regulations, including their sustainability certifications.
Gates might not be aware that palm oil is the only vegetable oil being subjected to the most stringent certification requirements vis-à-vis other vegetable oils. From the mandatory national certification schemes, i.e. Indonesian Sustainable Palm Oil (ISPO) and Malaysian Sustainable Palm Oil (MSPO), to the voluntary-based certification schemes, such as the Roundtable on Sustainable Palm Oil (RSPO), Agriculture Sustainable Standard (SAN), International Sustainability and Carbon Certification (ISCC), and High Carbon Stock (HCS) Approach. Read more Sawit Indonesia
---------
India in need of palm oil, with sustainability and NMEO-OP
CK Mishra
India consumes 24 million tonnes of edible oil annually, of which 15 million tonnes is imported, with palm oil accounting for 56% of it. All oils are recommended for consumption in moderation, as is the case with palm oil. However, data shows that India is the largest importer of palm oil globally, according to a report published by the Asia Pacific Foundation of Canada, with over 90% coming from Malaysia, Indonesia and Thailand. As India’s largest food import, the bill for edible oils went up to Rs. 1.57 trillion in October 2022, according to The Solvent Extractors’ Association of India. As for palm oil, the market size was valued at USD 7.3 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 5.0% from 2023 to 2030.
In 2022-23, India palm oil consumption went up by 24% and is only set to rise, with it being present in everything from food to cosmetics. According to WWF, palm oil can be found in almost half of all packaged products sold in supermarkets, and even they acknowledge that palm oil can contribute to sustainability if it’s managed properly.
If this is the fact, then should India not be looking at self-sufficiency? The issue is where and how to make it sustainable with the least impact on ecology. This is why the Indian government’s move to launch oilseed initiatives comes as positive news to reduce dependence on imports, while addressing food security and rising unemployment.
The National Edible Oil Mission-Oil Palm (NMEO-OP) was announced in August 2021 by Prime Minister Narendra Modi, involving an investment of over USD 1 billion (Rs 11,040 crore). Out of this, Rs 8,844 crore is the Central share, while Rs 2,196 crore is allocated to states. The ambitious roadmap plans to achieve three times higher domestic production at 11 lakh MT by 2025-26 and 28 lakh tonnes by 2028-29, with oil palm cultivation going up to 10 lakh hectares by 2025-26 and 16.7 lakh hectares by 2029-30.
In an encouraging move, the government has permitted 100% FDI in plantations, while pledging Read more FNB News
---------
Malaysian Sustainable Palm Oil, Good Agricultural Practices to boost palm oil exports
NABAWAN: Deputy Minister of Plantation Industries and Commodities Datuk Chan Foong Hin explained that obtaining the Malaysian Sustainable Palm Oil (MSPO) certification and Good Agricultural Practices (GAP) will not only enhance the quality of palm oil but also help small palm oil farmers increase their income.
He pointed out that as global awareness of sustainable development principles continues to rise, many major importing countries have set strict trade conditions for commodity and food-exporting nations to ensure that the products they import meet sustainable development standards.
“Therefore, ensuring that Malaysian palm oil meets sustainable standards is of utmost importance. This will not only guarantee and expand international markets but also solidify Malaysia’s reputation for high-quality palm oil.,”he said at the Strengthening Program for Sustainable Palm Oil Certification here recently.
He said : “In order to ensure that small farmers can keep up with international standards and meet global market demands, the Ministry of Plantation Industries and Commodities, through the Malaysian Palm Oil Board, actively assists small farmers in joining the Sustainable Palm Oil Cluster (SPOC) and obtaining the MSPO certification.” Read more Daily Express
---------
Sowing sustainability: Malaysia's palm oil journey
PALM oil is a versatile ingredient found in a variety of products beyond the kitchen, including lipstick, soap and detergent.
It stands out as the most productive oil-bearing crop globally, yielding significantly higher quantities of vegetable oil per hectare annually compared to other popular oil-producing plants.
The palm oil industry in Malaysia holds immense significance, serving not only as a source of livelihood but also as a major contributor to the country's economy.
Malaysia exported around 24.5 million tonnes of palm oil and palm oil-based products in 2023, valued at over USD21 billion (RM95 billion). This contributed 2.97 per cent to Malaysia's total gross domestic product (GDP) in the same year, estimated to be worth US10.3 billion (RM46.5 billion).
Despite its economic importance, there have been claims about the environmental impact of oil palm cultivation. The industry faces challenges from protectionist policies with campaigns promoting "No Palm Oil" labels and highlighting human rights issues that have painted Malaysian palm oil in a certain light.
The EU, a major importer, has passed a law to phase out palm oil in biofuels by 2030 and also banned the sale of products linked to deforestation unless proven otherwise.
To highlight the industry's efforts in addressing environmental concerns and promoting sustainable practices, the New Straits Times made a short film about Malaysia's sustainable palm oil journey. Read more New Straits Times
---------
Coordinating Minister Airlangga Says Palm Oil Rejuvenation Realization Increases 72.35 Percent
Coordinating Minister for Economic Affairs Airlangga Hartarto conveyed that the realization of the people's palm oil rejuvenation program (PSR) in 2023 reached 53,012 hectares (ha), an increase of 72.35 percent compared to 2022 which amounted to 30,759 ha.
The government also noted that the distribution of PSR funds in 2023 was IDR 1.5 trillion, which was given to 21,020 planters.
In a meeting at the Presidential Palace in Jakarta, Coordinating Minister Airlangga highlighted several crucial points from the meeting, one of which was related to the realization of the oil palm replanting program which only reached 30 percent of the 180,000 ha target.
"One of the obstacles is in the regulations. Therefore, the Ministry of Agriculture was asked to review the regulation of the Minister of Agriculture because people's gardens cannot be replanted because they are asked for two things. One, in addition to certificates, recommendations from the Ministry of Environment and Forestry were also requested," said Airlangga as quoted by ANTARA, Tuesday, February 27.
Airlangga also emphasized that one of the main obstacles is regulations that complicate the replanting process for people's plantations. Read more VOI
|
|
|
April 25, 2024
New EU trade rules ‘green squeeze’ the Global South
New EU rules have noble environmental aims but ultimately threaten to hurt the world’s poorest nations the most
By Jodie Keane
The EU parliament has just approved sweeping new rules that will require companies to avoid and mitigate human rights and environmental abuses in their supply chains.
These are noble aims. They have been a long time coming. But without careful design and more proactive support for business and suppliers in the developing world, there are real risks of well-intentioned policies putting the poorest countries in a “green squeeze.”
The current concerns – voiced by many different types of developing countries – are that the new EU green trade measures are penalizing poorer producers exporting into the bloc, and all to address a climate crisis they didn’t cause.
Without more focused support, the EU risks undermining its existing partnerships with developing nations to support global development and trade goals.
The world’s 45 least developed countries may only account for 1% of global merchandise trade but they are home to a quarter of the world’s population, some of them the world’s poorest people. Read more Asia Times
---------
EU’s Anti-Deforestation Law Sparks Concerns in US, Indonesia Says
Jakarta. The anti-deforestation law launched by the European Union (EU) has sparked concerns not only in Indonesia but also among American lawmakers, according to senior minister Airlangga Hartarto.
The EU’s deforestation-free regulation, also known as the EUDR, mandates operators or traders to prove their products do not come from deforested land. They must include precise geolocation coordinates in their due diligence statements before the goods can enter the EU's market. Commodities that are subject to the EUDR include palm oil, timber, cocoa, soy, rubber, and coffee, as well as their derived products.
The rules, which will start to apply on Dec. 30, have ruffled the feathers of the world’s largest palm oil producers Indonesia and Malaysia. The close neighbors sent a joint mission to the European bloc’s capital Brussels last May. The mission ended with the establishment of an ad hoc task force between Indonesia, Malaysia, and the EU to identify the practical solutions to the policy. Airlangga claimed what Indonesia and Malaysia had done inspired other countries --including the US-- to raise objections to the EUDR.
“A bipartisan group [of lawmakers] in the US have spoken against the EUDR. So [the fight against] EUDR which Indonesia initiated during its joint mission with Malaysia, continues to secure support from like-minded countries,” Airlangga was quoted as saying in a recent press statement.
“Not long ago, [lawmakers] from the American Republican and Democratic parties were questioning the EUDR. So like-minded countries are inspired by what Indonesia and Malaysia have done,” Airlangga said. Read more Jakarta Globe
---------
The colonialist overtones of EU’s green trade crusade
Many middle-income countries show reserves of pragmatic tolerance that Europeans do not necessarily deserve
A quarter of a century later it remains a resonant and notorious image of European arrogance. Michel Camdessus, then the French managing director of the IMF, stands over Suharto with arms imperiously folded as the Indonesian president, head bowed, signs a humiliating and wildly excessive list of conditions in return for an emergency loan during the Asian financial crisis in 1998.
Now Indonesian accusations of oppression by Europeans are being aired again, this time over Brussels’ demands that palm oil producers prove that their exports to the EU do not cause deforestation. Indonesia’s economy minister has accused the EU of “regulatory imperialism”; the Indonesian foreign ministry’s videoed annual address last year contained an image of a jackboot marked with the EU logo stamping on a palm oil plantation.
As Brussels’s attempts to manage its trading partners’ production processes proliferate — from standards on renewable fuels to deforestation to carbon emissions to plastic packaging and employment conditions — so do accusations of condescending heavy-handed coercion from those who have to comply. Financial Times
---------
Not Worried About Indonesian Palm Oil Being Tackled By The European Union, Zulhas: Prabowo Has Prepared For Avtur
JAKARTA - Minister of Trade (Mendag) Zulkifli Hasan admitted that he was not worried if palm oil and Indonesian coffee were prohibited from entering the European Union market.
The prohibition is in the aftermath of the policy of the Anti Deforestation Law (EUDR).
"Don't worry, EUDR is about palm oil. If oil palm doesn't want to be bought by the EU, why are we bothered?", he said at the Ministry of Trade Office (Kemendag), Jakarta, Thursday, April 25.
The man who is familiarly called Zulhas said the supply of oil palm farmers would be used for domestic needs. He also mentioned Prabowo Subianto's presidential program, regarding energy independence.
Furthermore, Zulhas explained that Prabowo will take advantage of domestic palm oil production for fuel.
Mr. Prabowo has prepared to make an Avtur, just be careful, don't get scolded because we won't be able to sell it later. Especially if we increase the B60, it can be reduced. Mr. Prabowo, the program will be independent in the energy sector. So about the results of oil palm farming, don't worry," he explained. Read more at VOI
---------
Palm oil producers urges EU to delay deforestation rules for small businesses
By Bernadette Christina / Reuters
JAKARTA (April 25): The Council of Palm Oil Producing Countries (CPOPC) has called on the European Union to delay the implementation of deforestation rules by at least a year for small businesses, its secretary general said on Thursday.
The Jakarta-based council, whose members include Indonesia, Malaysia and Honduras, has said the EU Deforestation Regulation (EUDR) would burden smallholders with onerous administrative procedures, which if they can't finish, might result in their exclusion from the global supply chain.
The law, aimed at rooting deforestation out of the bloc's supply chains for beef, palm oil and other agricultural products sold in Europe, is set to take effect on Dec 30 for large and medium enterprises. For small and micro businesses, it takes effect on June 30, 2025.
"It takes time for smallholders to meet the certification requirements. That's why we are asking for a delay for smallholders so that they have time to improve," Rizal Affandi Lukman, the council's secretary general, told Reuters.
"If EUDR is implemented, (the supply chain) will be segregated, mills will no longer accept fresh fruit bunches from uncertified smallholders. Smallholders could no longer go to the nearest mills ... This will be a problem for producing countries," Rizal said.
A spokesperson for the EU's Jakarta embassy did not immediately respond to a request for comment. Read more The Edge Malaysia/ Reuters
---------
A fifth of UK businesses still not ready for EU’s strict anti-deforestation laws
A fifth of UK food businesses are still not ready for the EU’s strict new anti-deforestation laws, new research showed.
The bloc’s new Deforestation Regulation (EUDR), which will be fully implemented on 30 December 2024, will affect businesses trading a variety of commodities, including coffee and cocoa, both in and with the EU.
But just over eight months from the monumental rollout – one of Europe’s largest regulatory efforts in the fight against the climate crisis – British companies are still struggling with tracing back their products to farm level, new data from supply chain software specialist Foods Connected shows.
Around 73% of large-scale food businesses are still facing challenges in tracking where their produce and raw materials come from, while a fifth overall said they were not ready for EUDR specifically, according to the research findings.
Foods Connected surveyed 250 food firm bosses of medium and large-scale firms in the UK on what the biggest challenges were in enabling full transparency within their supply chains right now, and whether they felt they would be ready for when the new regulations come into force. Read more The Grocer UK
---------
EU hails Malaysia’s efforts to reduce deforestation
The EU’s commissioner for environment and fisheries also acknowledges Malaysia’s commitment to certified sustainable commodity production.
PETALING JAYA: The EU’s commissioner for environment and fisheries has commended Malaysia’s efforts to bring deforestation levels down to an “unprecedented low”.
Virginijus Sinkevičius, who held a virtual conference with plantation and commodities minister Johari Ghani yesterday, also acknowledged Malaysia’s commitment to certified sustainable commodity production during the meeting, which focused on the EU Deforestation-Free Regulation (EUDR) and the Malaysian Sustainable Palm Oil (MSPO) certification scheme.
“The EU and Malaysia will continue to work closely together on the implementation of the forthcoming EUDR and how the MSPO certification provides readiness and assurances for supply chain partners and regulators in the EU,” they said in a statement.
“The EU remains an important market for sustainably produced Malaysian commodities.” Read more FMT
---------
EU, Malaysia to work closely on forest protection & sustainable commodity production
KUALA LUMPUR: The European Union (EU) and Malaysia will continue to work closely on implementing the forthcoming EU Deforestation-Free Regulation (EUDR).
They agreed to also cooperate on how Malaysia's sustainable certification standard for palm oil (MSPO) provides readiness and assurances under EUDR
for supply chain partners and regulators in the EU.
This commitment was confirmed during the virtual meeting between Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani and EU commissioner for environment, maritimd affairs and fisheries Virginijus Sinkevičius on Tuesday.
"Commissioner Sinkevičius commended Malaysia's efforts to bring deforestation levels down to unprecedented low levels, and acknowledged Malaysia's commitment to certified sustainable commodity production," the ministry said in a statement.
"The EU remains an important market for sustainably-produced Malaysian commodities. The two parties agreed to renew their efforts to ensure the current positive trade flows between Malaysia and the EU will continue uninterrupted."
It added that both parties wished for continued fruitful cooperation to ensure legality and sustainability of key commodities through the joint task force on EUDR that was established in 2023.
"Commissioner Sinkevičius stressed the EU's readiness to continue working jointly with Malaysia towards enhancing deforestation-free supply chains.
"In this context, the EU will support the nationally mandated sustainable production of Malaysian palm oil in compliance with EUDR requirements," the ministry said. Read more New Straits Times
----------
MPOB intensifies oil palm R&D for global demands
The Malaysian Palm Oil Board has implemented a research and development framework specifically to drive the national oil palm industry.
PETALING JAYA: The Malaysian Palm Oil Board (MPOB) embarked on analysing research projects and issues in the Malaysian oil palm industry to ensure that it would continue to drive growth and progress towards a lucrative and sustainable future.
In a statement, the board said this matter will be discussed in the four-day Programme Advisory Committee (PAC) Meeting 2024, which began yesterday and will continue until April 26.
“MPOB has implemented a research framework specifically developed to drive the direction of the national oil palm industry through genetic research, sustainable development, processing and mechanisation, development of value-added products as well as digital technology,” it said.
MPOB chairman Helmy Othman Basha said that by prioritising strategic areas, the board is committed to addressing industry issues while strengthening its research and development endeavours. Read more FMT
---------
New EU trade rules ‘green squeeze’ the Global South
New EU rules have noble environmental aims but ultimately threaten to hurt the world’s poorest nations the most
By Jodie Keane
The EU parliament has just approved sweeping new rules that will require companies to avoid and mitigate human rights and environmental abuses in their supply chains.
These are noble aims. They have been a long time coming. But without careful design and more proactive support for business and suppliers in the developing world, there are real risks of well-intentioned policies putting the poorest countries in a “green squeeze.”
The current concerns – voiced by many different types of developing countries – are that the new EU green trade measures are penalizing poorer producers exporting into the bloc, and all to address a climate crisis they didn’t cause.
Without more focused support, the EU risks undermining its existing partnerships with developing nations to support global development and trade goals.
The world’s 45 least developed countries may only account for 1% of global merchandise trade but they are home to a quarter of the world’s population, some of them the world’s poorest people. Read more Asia Times
---------
EU’s Anti-Deforestation Law Sparks Concerns in US, Indonesia Says
Jakarta. The anti-deforestation law launched by the European Union (EU) has sparked concerns not only in Indonesia but also among American lawmakers, according to senior minister Airlangga Hartarto.
The EU’s deforestation-free regulation, also known as the EUDR, mandates operators or traders to prove their products do not come from deforested land. They must include precise geolocation coordinates in their due diligence statements before the goods can enter the EU's market. Commodities that are subject to the EUDR include palm oil, timber, cocoa, soy, rubber, and coffee, as well as their derived products.
The rules, which will start to apply on Dec. 30, have ruffled the feathers of the world’s largest palm oil producers Indonesia and Malaysia. The close neighbors sent a joint mission to the European bloc’s capital Brussels last May. The mission ended with the establishment of an ad hoc task force between Indonesia, Malaysia, and the EU to identify the practical solutions to the policy. Airlangga claimed what Indonesia and Malaysia had done inspired other countries --including the US-- to raise objections to the EUDR.
“A bipartisan group [of lawmakers] in the US have spoken against the EUDR. So [the fight against] EUDR which Indonesia initiated during its joint mission with Malaysia, continues to secure support from like-minded countries,” Airlangga was quoted as saying in a recent press statement.
“Not long ago, [lawmakers] from the American Republican and Democratic parties were questioning the EUDR. So like-minded countries are inspired by what Indonesia and Malaysia have done,” Airlangga said. Read more Jakarta Globe
---------
The colonialist overtones of EU’s green trade crusade
Many middle-income countries show reserves of pragmatic tolerance that Europeans do not necessarily deserve
A quarter of a century later it remains a resonant and notorious image of European arrogance. Michel Camdessus, then the French managing director of the IMF, stands over Suharto with arms imperiously folded as the Indonesian president, head bowed, signs a humiliating and wildly excessive list of conditions in return for an emergency loan during the Asian financial crisis in 1998.
Now Indonesian accusations of oppression by Europeans are being aired again, this time over Brussels’ demands that palm oil producers prove that their exports to the EU do not cause deforestation. Indonesia’s economy minister has accused the EU of “regulatory imperialism”; the Indonesian foreign ministry’s videoed annual address last year contained an image of a jackboot marked with the EU logo stamping on a palm oil plantation.
As Brussels’s attempts to manage its trading partners’ production processes proliferate — from standards on renewable fuels to deforestation to carbon emissions to plastic packaging and employment conditions — so do accusations of condescending heavy-handed coercion from those who have to comply. Financial Times
---------
Not Worried About Indonesian Palm Oil Being Tackled By The European Union, Zulhas: Prabowo Has Prepared For Avtur
JAKARTA - Minister of Trade (Mendag) Zulkifli Hasan admitted that he was not worried if palm oil and Indonesian coffee were prohibited from entering the European Union market.
The prohibition is in the aftermath of the policy of the Anti Deforestation Law (EUDR).
"Don't worry, EUDR is about palm oil. If oil palm doesn't want to be bought by the EU, why are we bothered?", he said at the Ministry of Trade Office (Kemendag), Jakarta, Thursday, April 25.
The man who is familiarly called Zulhas said the supply of oil palm farmers would be used for domestic needs. He also mentioned Prabowo Subianto's presidential program, regarding energy independence.
Furthermore, Zulhas explained that Prabowo will take advantage of domestic palm oil production for fuel.
Mr. Prabowo has prepared to make an Avtur, just be careful, don't get scolded because we won't be able to sell it later. Especially if we increase the B60, it can be reduced. Mr. Prabowo, the program will be independent in the energy sector. So about the results of oil palm farming, don't worry," he explained. Read more at VOI
---------
Palm oil producers urges EU to delay deforestation rules for small businesses
By Bernadette Christina / Reuters
JAKARTA (April 25): The Council of Palm Oil Producing Countries (CPOPC) has called on the European Union to delay the implementation of deforestation rules by at least a year for small businesses, its secretary general said on Thursday.
The Jakarta-based council, whose members include Indonesia, Malaysia and Honduras, has said the EU Deforestation Regulation (EUDR) would burden smallholders with onerous administrative procedures, which if they can't finish, might result in their exclusion from the global supply chain.
The law, aimed at rooting deforestation out of the bloc's supply chains for beef, palm oil and other agricultural products sold in Europe, is set to take effect on Dec 30 for large and medium enterprises. For small and micro businesses, it takes effect on June 30, 2025.
"It takes time for smallholders to meet the certification requirements. That's why we are asking for a delay for smallholders so that they have time to improve," Rizal Affandi Lukman, the council's secretary general, told Reuters.
"If EUDR is implemented, (the supply chain) will be segregated, mills will no longer accept fresh fruit bunches from uncertified smallholders. Smallholders could no longer go to the nearest mills ... This will be a problem for producing countries," Rizal said.
A spokesperson for the EU's Jakarta embassy did not immediately respond to a request for comment. Read more The Edge Malaysia/ Reuters
---------
A fifth of UK businesses still not ready for EU’s strict anti-deforestation laws
A fifth of UK food businesses are still not ready for the EU’s strict new anti-deforestation laws, new research showed.
The bloc’s new Deforestation Regulation (EUDR), which will be fully implemented on 30 December 2024, will affect businesses trading a variety of commodities, including coffee and cocoa, both in and with the EU.
But just over eight months from the monumental rollout – one of Europe’s largest regulatory efforts in the fight against the climate crisis – British companies are still struggling with tracing back their products to farm level, new data from supply chain software specialist Foods Connected shows.
Around 73% of large-scale food businesses are still facing challenges in tracking where their produce and raw materials come from, while a fifth overall said they were not ready for EUDR specifically, according to the research findings.
Foods Connected surveyed 250 food firm bosses of medium and large-scale firms in the UK on what the biggest challenges were in enabling full transparency within their supply chains right now, and whether they felt they would be ready for when the new regulations come into force. Read more The Grocer UK
---------
EU hails Malaysia’s efforts to reduce deforestation
The EU’s commissioner for environment and fisheries also acknowledges Malaysia’s commitment to certified sustainable commodity production.
PETALING JAYA: The EU’s commissioner for environment and fisheries has commended Malaysia’s efforts to bring deforestation levels down to an “unprecedented low”.
Virginijus Sinkevičius, who held a virtual conference with plantation and commodities minister Johari Ghani yesterday, also acknowledged Malaysia’s commitment to certified sustainable commodity production during the meeting, which focused on the EU Deforestation-Free Regulation (EUDR) and the Malaysian Sustainable Palm Oil (MSPO) certification scheme.
“The EU and Malaysia will continue to work closely together on the implementation of the forthcoming EUDR and how the MSPO certification provides readiness and assurances for supply chain partners and regulators in the EU,” they said in a statement.
“The EU remains an important market for sustainably produced Malaysian commodities.” Read more FMT
---------
EU, Malaysia to work closely on forest protection & sustainable commodity production
KUALA LUMPUR: The European Union (EU) and Malaysia will continue to work closely on implementing the forthcoming EU Deforestation-Free Regulation (EUDR).
They agreed to also cooperate on how Malaysia's sustainable certification standard for palm oil (MSPO) provides readiness and assurances under EUDR
for supply chain partners and regulators in the EU.
This commitment was confirmed during the virtual meeting between Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani and EU commissioner for environment, maritimd affairs and fisheries Virginijus Sinkevičius on Tuesday.
"Commissioner Sinkevičius commended Malaysia's efforts to bring deforestation levels down to unprecedented low levels, and acknowledged Malaysia's commitment to certified sustainable commodity production," the ministry said in a statement.
"The EU remains an important market for sustainably-produced Malaysian commodities. The two parties agreed to renew their efforts to ensure the current positive trade flows between Malaysia and the EU will continue uninterrupted."
It added that both parties wished for continued fruitful cooperation to ensure legality and sustainability of key commodities through the joint task force on EUDR that was established in 2023.
"Commissioner Sinkevičius stressed the EU's readiness to continue working jointly with Malaysia towards enhancing deforestation-free supply chains.
"In this context, the EU will support the nationally mandated sustainable production of Malaysian palm oil in compliance with EUDR requirements," the ministry said. Read more New Straits Times
----------
MPOB intensifies oil palm R&D for global demands
The Malaysian Palm Oil Board has implemented a research and development framework specifically to drive the national oil palm industry.
PETALING JAYA: The Malaysian Palm Oil Board (MPOB) embarked on analysing research projects and issues in the Malaysian oil palm industry to ensure that it would continue to drive growth and progress towards a lucrative and sustainable future.
In a statement, the board said this matter will be discussed in the four-day Programme Advisory Committee (PAC) Meeting 2024, which began yesterday and will continue until April 26.
“MPOB has implemented a research framework specifically developed to drive the direction of the national oil palm industry through genetic research, sustainable development, processing and mechanisation, development of value-added products as well as digital technology,” it said.
MPOB chairman Helmy Othman Basha said that by prioritising strategic areas, the board is committed to addressing industry issues while strengthening its research and development endeavours. Read more FMT
---------
|
|
|
April 24, 2024
Green Trade Frontiers and the EU’s Blueprint for Sustainable Agricultural Markets
With a strong commitment to environmental stewardship and sustainable development, the European Union (EU) is taking daring strides to reform global agricultural trade practices. Leveraging its substantial influence in the trade arena, the EU plans to promote sustainability throughout its supply chains, mainly focusing on critical imports such as soybeans, palm oil, coffee, and cocoa.
Recent findings from the Helmholtz Centre for Environmental Research (UFZ) and the University of Rostock illuminate the significant environmental impact of the EU’s agricultural imports and propose a new methodological approach to enhancing sustainability in trade practices. This approach emphasizes the ‘relevance’ and ‘leverage’ of imported agricultural products, both to the EU and the exporting countries, offering a granular analysis that could reshape policy and practice.
Strategic Leverage in Trade Relations
The EU’s influence is notably pronounced in its trade relationships with countries in the Global South, where agricultural practices often lead to deforestation and biodiversity loss. The research identifies key areas where the EU can exert its influence to encourage more sustainable practices. For instance, in nations like Brazil and Indonesia, where soybean and palm oil production dominate, the EU holds considerable leverage due to the economic significance of these trades.
The findings suggest that by focusing on these critical areas, the EU can support sustainable practices that align with the United Nations’ Sustainable Development Goals (SDGs) and promote economic development that transcends traditional agricultural exports. This includes encouraging diversified economies and improving agricultural standards in these regions, which could lead to more resilient local economies and enhanced global environmental outcomes. Read more Environment Energy Leader
---------
Other countries are asking ‘who made you world regulator?’ - EU trade chief
Sabine Weyand said the EU’s attempt to leverage single market power to drive better standards globally was impacting competitiveness
Other countries are increasingly questioning the EU’s use of trade policy to act as a “global regulator”, according to the director general for trade at the European Commission.
Sabine Weyand made the comments during an address to the Institute of International and European Affairs on Tuesday, where she discussed how geopolitical and geo-economic challenges were affecting international trade, and their implications for the EU’s trade policy. Read more Business Post
---------
Deforestation Rules Could Cause European Coffee Shortage
Europeans will know where their toothpicks, tofu, and espresso beans come from—with a higher price tag, and with minimal boon to the environment. By Bridget Ryder
Even as Europeans continue to struggle with inflation, EU bureaucracy may soon make some everyday consumer goods—such as coffee, chocolate, and even wooden picture frames—more expensive.
Part of the Green Deal, the new EU directive on deforestation-free supply chains went into force in June 2023, with an 18-month transition period before its detailed rules fully apply. The binding rule lists cattle, cocoa, coffee, oil palm, rubber, soy, and wood as raw materials that need to come from supply chains that do not contribute to deforestation or damage to forests, whether those trees are inside or outside of the EU. The items listed were chosen because the Commission estimates that these materials account for the largest share of deforestation caused by the European Union. Naturally, the rule also applies to anything made from these materials.
The rule defines deforestation-free raw materials as coming from areas that were not deforested after December 31, 2020. In addition, the products must also come with due diligence certification showing that their producers followed the country of origin’s domestic laws, such as environmental and work-related regulations. Read more European Conservative
---------
Global North Leaders Turn Against EUDR
What do a bipartisan group of Republican and Democrat U.S. Senators, 20 EU Agriculture Ministers, and Europe’s largest farming organisations all have in common?
All are warning of the dangers of the EU Deforestation Regulation (EUDR), if it is not delayed or amended.
Republican Senator Josh Hawley of Missouri described EUDR as “fundamentally unfair” in a letter to US Trade Representative Katherine Tai, and highlighted that “countless farmers will be disqualified from the European market through no fault of their own.”
Twenty-seven other US Senators also wrote to USTR Tai, led by Marsha Blackburn (Republican) and Angus King (Independent). The letter is signed, among many others, by senior Democrats Raphael Warnock, Mark Warner and Amy Klobuchar and their Republican colleagues Marco Rubio, Tom Cotton, and Tim Scott. Their joint letter highlights that “the EUDR traceability requirement will be nearly impossible” and the Regulation as a whole “presents significant compliance issues due to its stringency and ambiguity.”
Reporting about politics in the United States seems to focus on partisan division and strife – and yet the problems caused by EUDR have united Republicans, Democrats and Independents in the understanding that this legislation in its current form, and on its current timetable, is unfair and unworkable. Delayed implementation surely is the only sensible option.
This is a view shared by the EU’s own Ministers for Agriculture. Twenty of the twenty-seven Ministers called for EUDR to be delayed, at a recent meeting of the AGRIFISH Council. Led by Austria’s Agriculture Minister Norbert Totschnig, the Ministers urged the “Commission for a temporary suspension of the regulation allowing for a feasible implementation accompanied by a revision of the regulation.” Read more My Palm Oil Policy
---------
Oil palm industry: No scientific evidence justifying criticism of Malaysia, says Johari
KUALA LUMPUR: Malaysia always adhered to the concept of sustainability to strengthen the country's oil palm industry by ensuring no deforestation activities or forced labour, in compliance with international standards.
Therefore, as the world's second-largest palm oil producer, the Plantation and Commodities Ministry, through the Malaysian Palm Oil Council (MPOC), intensifies efforts to counter allegations from the European Union (EU) and restrictions faced by the industry in terms of its sales.
Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani in an interview on TV3 said there was no evidence justifying accusations against Malaysia for its oil palm practices.
"In fact, if you look at the effectiveness and efficiency of using land and also compare that with all the edible oil in the world, palm oil is the most efficient edible oil as far as land use is concerned. Read more New Straits Times
---------
EU-Malaysia Joint Press Release on EU Deforestation Regulation (EUDR) and the Malaysian Sustainable Palm Oil (MSPO) scheme
The EU and Malaysia will continue to work closely together on the forthcoming EUDR and how Malaysia's sustainable certification scheme for palm oil, MSPO, provides readiness and assurances under EUDR for supply chain partners and regulators in the EU. Download press release
---------
Vice Minister Of Foreign Affairs Of The Republic Of Indonesia Urges The European Union To Enhance Fair, Equal, And Mutually Beneficial Partnership And Cooperation
Jakarta, Indonesia - Vice Minister for Foreign Affairs of the Republic of Indonesia, H.E. Pahala Nugraha Mansury, engaged in a dialogue with representatives of the Council of the European Union's Working Party on Asia-Oceania (COASI), in COASI's working visit to Indonesia. The delegation was accompanied by the European Union (EU) Ambassador to Indonesia, H.E. Denis Chaibi, and to ASEAN, H.E. Sujiro Seam (4/22).
The Vice Minister emphasised Indonesia's strategic role and the potential for collaboration with the EU in navigating economic fragmentation, slowbalisation, and uncertainty. Indonesia is not a proxy of various powers in the region and is open to fostering partnership based on fair, equal, and mutually beneficial principles.
Indonesia and the EU have strong modalities as partners due to their shared principles on multilateralism and commitment to climate crisis mitigation. To achieve the Golden Indonesia 2045 Vision, Indonesia continues to pursue structural reforms through economic transformation focusing on strengthening domestic resilience, diversifying partnerships and forms of cooperation, increasing value-added production through industrial downstreaming, and becoming more integrated to global supply chain.
Since the implementation of Indonesia – EU Partnership Cooperation Agreement (PCA) in 2014, the EU has become Indonesia's 5th largest trading partner, while Indonesia remains the 31st for the EU. The EU's investment in Indonesia, although showing a positive trend, is only about 4.6% of the total foreign direct investment in Indonesia despite both side are having competitive market strengths, Indonesia's population of 277 million and the EU's population of over 448 million. Read more KEMLU
Green Trade Frontiers and the EU’s Blueprint for Sustainable Agricultural Markets
With a strong commitment to environmental stewardship and sustainable development, the European Union (EU) is taking daring strides to reform global agricultural trade practices. Leveraging its substantial influence in the trade arena, the EU plans to promote sustainability throughout its supply chains, mainly focusing on critical imports such as soybeans, palm oil, coffee, and cocoa.
Recent findings from the Helmholtz Centre for Environmental Research (UFZ) and the University of Rostock illuminate the significant environmental impact of the EU’s agricultural imports and propose a new methodological approach to enhancing sustainability in trade practices. This approach emphasizes the ‘relevance’ and ‘leverage’ of imported agricultural products, both to the EU and the exporting countries, offering a granular analysis that could reshape policy and practice.
Strategic Leverage in Trade Relations
The EU’s influence is notably pronounced in its trade relationships with countries in the Global South, where agricultural practices often lead to deforestation and biodiversity loss. The research identifies key areas where the EU can exert its influence to encourage more sustainable practices. For instance, in nations like Brazil and Indonesia, where soybean and palm oil production dominate, the EU holds considerable leverage due to the economic significance of these trades.
The findings suggest that by focusing on these critical areas, the EU can support sustainable practices that align with the United Nations’ Sustainable Development Goals (SDGs) and promote economic development that transcends traditional agricultural exports. This includes encouraging diversified economies and improving agricultural standards in these regions, which could lead to more resilient local economies and enhanced global environmental outcomes. Read more Environment Energy Leader
---------
Other countries are asking ‘who made you world regulator?’ - EU trade chief
Sabine Weyand said the EU’s attempt to leverage single market power to drive better standards globally was impacting competitiveness
Other countries are increasingly questioning the EU’s use of trade policy to act as a “global regulator”, according to the director general for trade at the European Commission.
Sabine Weyand made the comments during an address to the Institute of International and European Affairs on Tuesday, where she discussed how geopolitical and geo-economic challenges were affecting international trade, and their implications for the EU’s trade policy. Read more Business Post
---------
Deforestation Rules Could Cause European Coffee Shortage
Europeans will know where their toothpicks, tofu, and espresso beans come from—with a higher price tag, and with minimal boon to the environment. By Bridget Ryder
Even as Europeans continue to struggle with inflation, EU bureaucracy may soon make some everyday consumer goods—such as coffee, chocolate, and even wooden picture frames—more expensive.
Part of the Green Deal, the new EU directive on deforestation-free supply chains went into force in June 2023, with an 18-month transition period before its detailed rules fully apply. The binding rule lists cattle, cocoa, coffee, oil palm, rubber, soy, and wood as raw materials that need to come from supply chains that do not contribute to deforestation or damage to forests, whether those trees are inside or outside of the EU. The items listed were chosen because the Commission estimates that these materials account for the largest share of deforestation caused by the European Union. Naturally, the rule also applies to anything made from these materials.
The rule defines deforestation-free raw materials as coming from areas that were not deforested after December 31, 2020. In addition, the products must also come with due diligence certification showing that their producers followed the country of origin’s domestic laws, such as environmental and work-related regulations. Read more European Conservative
---------
Global North Leaders Turn Against EUDR
What do a bipartisan group of Republican and Democrat U.S. Senators, 20 EU Agriculture Ministers, and Europe’s largest farming organisations all have in common?
All are warning of the dangers of the EU Deforestation Regulation (EUDR), if it is not delayed or amended.
Republican Senator Josh Hawley of Missouri described EUDR as “fundamentally unfair” in a letter to US Trade Representative Katherine Tai, and highlighted that “countless farmers will be disqualified from the European market through no fault of their own.”
Twenty-seven other US Senators also wrote to USTR Tai, led by Marsha Blackburn (Republican) and Angus King (Independent). The letter is signed, among many others, by senior Democrats Raphael Warnock, Mark Warner and Amy Klobuchar and their Republican colleagues Marco Rubio, Tom Cotton, and Tim Scott. Their joint letter highlights that “the EUDR traceability requirement will be nearly impossible” and the Regulation as a whole “presents significant compliance issues due to its stringency and ambiguity.”
Reporting about politics in the United States seems to focus on partisan division and strife – and yet the problems caused by EUDR have united Republicans, Democrats and Independents in the understanding that this legislation in its current form, and on its current timetable, is unfair and unworkable. Delayed implementation surely is the only sensible option.
This is a view shared by the EU’s own Ministers for Agriculture. Twenty of the twenty-seven Ministers called for EUDR to be delayed, at a recent meeting of the AGRIFISH Council. Led by Austria’s Agriculture Minister Norbert Totschnig, the Ministers urged the “Commission for a temporary suspension of the regulation allowing for a feasible implementation accompanied by a revision of the regulation.” Read more My Palm Oil Policy
---------
Oil palm industry: No scientific evidence justifying criticism of Malaysia, says Johari
KUALA LUMPUR: Malaysia always adhered to the concept of sustainability to strengthen the country's oil palm industry by ensuring no deforestation activities or forced labour, in compliance with international standards.
Therefore, as the world's second-largest palm oil producer, the Plantation and Commodities Ministry, through the Malaysian Palm Oil Council (MPOC), intensifies efforts to counter allegations from the European Union (EU) and restrictions faced by the industry in terms of its sales.
Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani in an interview on TV3 said there was no evidence justifying accusations against Malaysia for its oil palm practices.
"In fact, if you look at the effectiveness and efficiency of using land and also compare that with all the edible oil in the world, palm oil is the most efficient edible oil as far as land use is concerned. Read more New Straits Times
---------
EU-Malaysia Joint Press Release on EU Deforestation Regulation (EUDR) and the Malaysian Sustainable Palm Oil (MSPO) scheme
The EU and Malaysia will continue to work closely together on the forthcoming EUDR and how Malaysia's sustainable certification scheme for palm oil, MSPO, provides readiness and assurances under EUDR for supply chain partners and regulators in the EU. Download press release
---------
Vice Minister Of Foreign Affairs Of The Republic Of Indonesia Urges The European Union To Enhance Fair, Equal, And Mutually Beneficial Partnership And Cooperation
Jakarta, Indonesia - Vice Minister for Foreign Affairs of the Republic of Indonesia, H.E. Pahala Nugraha Mansury, engaged in a dialogue with representatives of the Council of the European Union's Working Party on Asia-Oceania (COASI), in COASI's working visit to Indonesia. The delegation was accompanied by the European Union (EU) Ambassador to Indonesia, H.E. Denis Chaibi, and to ASEAN, H.E. Sujiro Seam (4/22).
The Vice Minister emphasised Indonesia's strategic role and the potential for collaboration with the EU in navigating economic fragmentation, slowbalisation, and uncertainty. Indonesia is not a proxy of various powers in the region and is open to fostering partnership based on fair, equal, and mutually beneficial principles.
Indonesia and the EU have strong modalities as partners due to their shared principles on multilateralism and commitment to climate crisis mitigation. To achieve the Golden Indonesia 2045 Vision, Indonesia continues to pursue structural reforms through economic transformation focusing on strengthening domestic resilience, diversifying partnerships and forms of cooperation, increasing value-added production through industrial downstreaming, and becoming more integrated to global supply chain.
Since the implementation of Indonesia – EU Partnership Cooperation Agreement (PCA) in 2014, the EU has become Indonesia's 5th largest trading partner, while Indonesia remains the 31st for the EU. The EU's investment in Indonesia, although showing a positive trend, is only about 4.6% of the total foreign direct investment in Indonesia despite both side are having competitive market strengths, Indonesia's population of 277 million and the EU's population of over 448 million. Read more KEMLU
|
|
|
April 23, 2024
Joint cross-commodity call to EU Commission and Member States to provide urgent
clarifications and workable solutions for EUDR implementation
We, the undersigned organisations, are active in preparing for the implementation of the EU
Deforestation Regulation (EUDR) with our member companies and across our respective
supply chains.
As part of our commitment to support a successful implementation of this regulation,
considering the significant adjustments that are needed from suppliers, operators and traders,
we would like to express serious concerns regarding the pace of preparation of EUDR-related
legislative acts, the mandatory systems (i.e. Information System), and the guidance and
clarifications required for implementation by operators and traders and enforcement by
competent authorities.
Operators and traders are working hard to prepare their supply chains and adapt their systems
and due diligence processes for compliance with the EUDR. They try to develop workable
solutions, compatible with the EUDR provisions, but implying less administrative burden.
However, these efforts are impeded by large gaps in information, lack of appropriate technical
solutions and by misconceptions as to the functioning of our complex chains. We therefore
call for the following actions:
• Urgently resolve legal uncertainty/lack of clarity of essential provisions - We
appreciate the efforts of the Commission to provide some clarity in its FAQs and
upcoming guidance document; however, many questions are still pending, the pace
with which they are addressed is too slow, and the clarifications insufficient. This
generates further red tape and greater operational challenges, revealing legal
inconsistencies or contradictions, and leading to further confusion. Since the entry into
force of the Regulation, operators have called for practical guidance, but eight months
away from the implementation date, they are still left to wonder about essential parts
of the Regulation. This results in supply and investment risks related to compliance.
We urge the Commission to actively include all stakeholders along value chains in
elaborating the guidance to make the implementation practically feasible.
• Make the Information System quickly up to operational standard – This is central
to the implementation of the EUDR by operators and traders. However, the pilot test
revealed fundamental flaws and gaps that, if unaddressed, will constitute an important...read more FEDIOL
---------
Corporate sustainability due diligence—the time is now says trade unions and civil societies
ISABELLE SCHÖMANN 23rd April 2024
After protracted battles, a directive on corporate sustainability due diligence is finally ready for endorsement.
The world on his shoulders: a boy carries cocoa pods in Mankranso, Ghana (CW Studios Global / shutterstock.com)
Europe’s supply chains are scattered all over the globe: our chocolate comes from Ivory coast and our coffee from Brazil; our clothes have been fabricated in Asia and the spare parts of our mobile phones come from all around the world. Control over such large supply chains is easily lost—possibly even on purpose, as companies tend to take advantage of the humanitarian situation of countries with poor living and working conditions to produce more cheaply.
Chocolate? It is estimated that around 1.6 million children between the ages of five and 17 work in cocoa production in Ghana and the Ivory Coast. Coffee? Together with palm oil, it is one of the biggest drivers of deforestation. Clothes? The collapse of the Rana Plaza building in Dhaka, Bangladesh, in 2013 claimed the lives of 1,134 people, many of whom were women. This disaster stands as a tragic testament to working conditions in the global garment industry, shedding light on its precarity, long working hours, low wages and inadequate safety measures.
Fair and humane
European citizens want to be sure that goods and services have been produced and delivered under fair and humane living and working conditions, without child or forced labour or damage to the environment. Labour should not be a commodity: workers and trade-union rights are human rights, which are not tradeable. Businesses should be accountable for the adverse impacts of their operations on workers, communities and the environment. Read more Social Europe
---------
Products made with forced labour to be banned from EU single market
Suspected use of forced labour to be investigated and, if proven, products to be withdrawn from the market
Attention to products coming from areas with a high risk of state-imposed forced labour
Products may be allowed back on the market if forced labour is eliminated from the supply chain
Parliament has given its final approval to a new regulation enabling the EU to prohibit the sale, import, and export of goods made using forced labour.
Member state authorities and the European Commission will be able to investigate suspicious goods, supply chains, and manufacturers. If a product is deemed to have been made using forced labour, it will no longer be possible to sell it on the EU market (including online) and shipments will be intercepted at the EU’s borders.
Investigations
Decisions to investigate will be based on factual and verifiable information that can be received from, for example, international organisations, cooperating authorities and whistle-blowers. Several risk factors and criteria will be taken into account, including the prevalence of state-imposed forced labour in certain economic sectors and geographic areas.
Consequences for companies using forced labour
Manufacturers of banned goods will have to withdraw their products from the EU single market and donate, recycle or destroy them. Non-compliant companies could be fined. The goods may be allowed back on the EU single market once the company eliminates forced labour from its supply chains.
Quotes Read more Europarl Europa
---------
Indonesia-Malaysia Cooperation is Needed to Face the Palm Oil Crisis in the Future
InfoSAWIT, KUALA LUMPUR – Palm oil producing countries, Malaysia and Indonesia, are urged to unite to overcome the potential crisis hitting the industry. According to industry experts, palm oil could become a scarce commodity in the future due to various factors such as decreased production, declining harvest yields, and decreased purchases from India, one of the largest importers of vegetable oils in the world.
Projections for Indonesia's palm oil production in 2024 show a decline of at least one million tons compared to the previous year, while Malaysia's production is expected to stagnate. Analysts such as Dorab Mistry of Godrej International highlight a number of worrying issues, including the unfeasibility of land expansion, poor tree lifespan profiles, declining yields, and technological decline in the palm oil industry when compared with global developments.
Deputy Secretary General of the Council of Palm Oil Producing Countries (CPOPC), Datuk Nageeb Wahab admitted that production growth in Indonesia was inadequate, while in Malaysia there was no significant movement. "Nevertheless, global demand for palm oil continues to increase by 3.5 percent per year, which has the potential to push prices higher in the future," he said as reported by the New Straits Times , written Tuesday (23/4/2024). Read more Infosawit
---------
Biodiversity poised to be part of international sustainability reporting standards for businesses after ‘milestone’ vote
International Sustainability Standards Board Set To Integrate Biodiversity Reporting
The International Sustainability Standards Board (ISSB) is on the verge of a significant development as it prepares to vote on integrating biodiversity-related disclosures into its work plan. This move is considered a crucial step towards establishing biodiversity as a key component of global sustainability reporting standards, setting a new benchmark for businesses worldwide. The potential inclusion of biodiversity metrics is seen as a milestone that could reshape how companies approach environmental reporting and accountability measures, aligning with the growing emphasis on ESG practices and responsible business operations.
The ISSB, a key player in setting global sustainability reporting standards, is gearing up to introduce biodiversity-related disclosures. This strategic decision underscores the board's commitment to incorporating environmental considerations into corporate reporting, marking a significant milestone in the journey towards more sustainable business practices.
Key Points:
Global Impact: The proposed biodiversity standards are poised to influence businesses worldwide, driving greater transparency and accountability in environmental reporting.
ESG Integration: The move aligns with the increasing focus on ESG factors, emphasizing the role of biodiversity preservation in corporate sustainability strategies. SCMP
---------
Forest Department Sarawak teams up with Netherlands’ university to strengthen forest carbon initiatives in Sarawak
KUCHING (April 23): The Forest Department of Sarawak (FDS) has taken another significant step towards bolstering forest carbon initiatives in Sarawak by signing and exchanging a Letter of Understanding (LOU) with Van Hall Larenstein University of Applied Sciences in Velp, the Netherlands on Monday.
A media statement from FDS said this collaboration was formalised during a Forest Carbon Trading Mechanism Training Programme hosted by the university.
“This collaborative effort signifies a critical step forward in propelling Sarawak’s forest carbon initiatives and solidifying its commitment to sustainable forest management practices,” said the statement.
It also mentioned this knowledge exchange fosters the exchange of technical expertise, scientific data, and evidence-based information.
“This will ultimately support the Sarawak government in making informed decisions and establishing policies that ensure the forest carbon activities in Sarawak are well-positioned within the international market and aligned with carbon standards,” it added. Read more The Borneo Post
Joint cross-commodity call to EU Commission and Member States to provide urgent
clarifications and workable solutions for EUDR implementation
We, the undersigned organisations, are active in preparing for the implementation of the EU
Deforestation Regulation (EUDR) with our member companies and across our respective
supply chains.
As part of our commitment to support a successful implementation of this regulation,
considering the significant adjustments that are needed from suppliers, operators and traders,
we would like to express serious concerns regarding the pace of preparation of EUDR-related
legislative acts, the mandatory systems (i.e. Information System), and the guidance and
clarifications required for implementation by operators and traders and enforcement by
competent authorities.
Operators and traders are working hard to prepare their supply chains and adapt their systems
and due diligence processes for compliance with the EUDR. They try to develop workable
solutions, compatible with the EUDR provisions, but implying less administrative burden.
However, these efforts are impeded by large gaps in information, lack of appropriate technical
solutions and by misconceptions as to the functioning of our complex chains. We therefore
call for the following actions:
• Urgently resolve legal uncertainty/lack of clarity of essential provisions - We
appreciate the efforts of the Commission to provide some clarity in its FAQs and
upcoming guidance document; however, many questions are still pending, the pace
with which they are addressed is too slow, and the clarifications insufficient. This
generates further red tape and greater operational challenges, revealing legal
inconsistencies or contradictions, and leading to further confusion. Since the entry into
force of the Regulation, operators have called for practical guidance, but eight months
away from the implementation date, they are still left to wonder about essential parts
of the Regulation. This results in supply and investment risks related to compliance.
We urge the Commission to actively include all stakeholders along value chains in
elaborating the guidance to make the implementation practically feasible.
• Make the Information System quickly up to operational standard – This is central
to the implementation of the EUDR by operators and traders. However, the pilot test
revealed fundamental flaws and gaps that, if unaddressed, will constitute an important...read more FEDIOL
---------
Corporate sustainability due diligence—the time is now says trade unions and civil societies
ISABELLE SCHÖMANN 23rd April 2024
After protracted battles, a directive on corporate sustainability due diligence is finally ready for endorsement.
The world on his shoulders: a boy carries cocoa pods in Mankranso, Ghana (CW Studios Global / shutterstock.com)
Europe’s supply chains are scattered all over the globe: our chocolate comes from Ivory coast and our coffee from Brazil; our clothes have been fabricated in Asia and the spare parts of our mobile phones come from all around the world. Control over such large supply chains is easily lost—possibly even on purpose, as companies tend to take advantage of the humanitarian situation of countries with poor living and working conditions to produce more cheaply.
Chocolate? It is estimated that around 1.6 million children between the ages of five and 17 work in cocoa production in Ghana and the Ivory Coast. Coffee? Together with palm oil, it is one of the biggest drivers of deforestation. Clothes? The collapse of the Rana Plaza building in Dhaka, Bangladesh, in 2013 claimed the lives of 1,134 people, many of whom were women. This disaster stands as a tragic testament to working conditions in the global garment industry, shedding light on its precarity, long working hours, low wages and inadequate safety measures.
Fair and humane
European citizens want to be sure that goods and services have been produced and delivered under fair and humane living and working conditions, without child or forced labour or damage to the environment. Labour should not be a commodity: workers and trade-union rights are human rights, which are not tradeable. Businesses should be accountable for the adverse impacts of their operations on workers, communities and the environment. Read more Social Europe
---------
Products made with forced labour to be banned from EU single market
Suspected use of forced labour to be investigated and, if proven, products to be withdrawn from the market
Attention to products coming from areas with a high risk of state-imposed forced labour
Products may be allowed back on the market if forced labour is eliminated from the supply chain
Parliament has given its final approval to a new regulation enabling the EU to prohibit the sale, import, and export of goods made using forced labour.
Member state authorities and the European Commission will be able to investigate suspicious goods, supply chains, and manufacturers. If a product is deemed to have been made using forced labour, it will no longer be possible to sell it on the EU market (including online) and shipments will be intercepted at the EU’s borders.
Investigations
Decisions to investigate will be based on factual and verifiable information that can be received from, for example, international organisations, cooperating authorities and whistle-blowers. Several risk factors and criteria will be taken into account, including the prevalence of state-imposed forced labour in certain economic sectors and geographic areas.
Consequences for companies using forced labour
Manufacturers of banned goods will have to withdraw their products from the EU single market and donate, recycle or destroy them. Non-compliant companies could be fined. The goods may be allowed back on the EU single market once the company eliminates forced labour from its supply chains.
Quotes Read more Europarl Europa
---------
Indonesia-Malaysia Cooperation is Needed to Face the Palm Oil Crisis in the Future
InfoSAWIT, KUALA LUMPUR – Palm oil producing countries, Malaysia and Indonesia, are urged to unite to overcome the potential crisis hitting the industry. According to industry experts, palm oil could become a scarce commodity in the future due to various factors such as decreased production, declining harvest yields, and decreased purchases from India, one of the largest importers of vegetable oils in the world.
Projections for Indonesia's palm oil production in 2024 show a decline of at least one million tons compared to the previous year, while Malaysia's production is expected to stagnate. Analysts such as Dorab Mistry of Godrej International highlight a number of worrying issues, including the unfeasibility of land expansion, poor tree lifespan profiles, declining yields, and technological decline in the palm oil industry when compared with global developments.
Deputy Secretary General of the Council of Palm Oil Producing Countries (CPOPC), Datuk Nageeb Wahab admitted that production growth in Indonesia was inadequate, while in Malaysia there was no significant movement. "Nevertheless, global demand for palm oil continues to increase by 3.5 percent per year, which has the potential to push prices higher in the future," he said as reported by the New Straits Times , written Tuesday (23/4/2024). Read more Infosawit
---------
Biodiversity poised to be part of international sustainability reporting standards for businesses after ‘milestone’ vote
International Sustainability Standards Board Set To Integrate Biodiversity Reporting
The International Sustainability Standards Board (ISSB) is on the verge of a significant development as it prepares to vote on integrating biodiversity-related disclosures into its work plan. This move is considered a crucial step towards establishing biodiversity as a key component of global sustainability reporting standards, setting a new benchmark for businesses worldwide. The potential inclusion of biodiversity metrics is seen as a milestone that could reshape how companies approach environmental reporting and accountability measures, aligning with the growing emphasis on ESG practices and responsible business operations.
The ISSB, a key player in setting global sustainability reporting standards, is gearing up to introduce biodiversity-related disclosures. This strategic decision underscores the board's commitment to incorporating environmental considerations into corporate reporting, marking a significant milestone in the journey towards more sustainable business practices.
Key Points:
Global Impact: The proposed biodiversity standards are poised to influence businesses worldwide, driving greater transparency and accountability in environmental reporting.
ESG Integration: The move aligns with the increasing focus on ESG factors, emphasizing the role of biodiversity preservation in corporate sustainability strategies. SCMP
---------
Forest Department Sarawak teams up with Netherlands’ university to strengthen forest carbon initiatives in Sarawak
KUCHING (April 23): The Forest Department of Sarawak (FDS) has taken another significant step towards bolstering forest carbon initiatives in Sarawak by signing and exchanging a Letter of Understanding (LOU) with Van Hall Larenstein University of Applied Sciences in Velp, the Netherlands on Monday.
A media statement from FDS said this collaboration was formalised during a Forest Carbon Trading Mechanism Training Programme hosted by the university.
“This collaborative effort signifies a critical step forward in propelling Sarawak’s forest carbon initiatives and solidifying its commitment to sustainable forest management practices,” said the statement.
It also mentioned this knowledge exchange fosters the exchange of technical expertise, scientific data, and evidence-based information.
“This will ultimately support the Sarawak government in making informed decisions and establishing policies that ensure the forest carbon activities in Sarawak are well-positioned within the international market and aligned with carbon standards,” it added. Read more The Borneo Post
|
|
|
April 22, 2024
Euroviews. 'The Great Disconnect': Why EU trade policy and climate are running into the sand
As it finesses its strategy on trade, the EU needs to think how to moderate its sustainability agenda, which is proving too much for its trading partners to swallow, John Clarke writes.
For decades, the EU was reluctant to use trade agreements as a Trojan Horse for environmental and other “non-trade issues”.
Don’t mix trade with other issues. It's not a means to an end. “Render to Caesar what belongs to Caesar” was how one European Commissioner dubbed it.
That worked until the 1999 WTO Ministerial, where dockers, NGOs and unions conspired — egged on by the US — to destroy the Ministerial (as well as the window of Starbucks where I was sheltering from teargas) due to WTO’s apparent lack of care for environment, human rights or development.
The “Battle of Seattle” led to serious navel-gazing in Europe and elsewhere. Clearly, trade agreements, whether WTO or bilateral, could only pass muster with the European Council and Parliament if they supported sustainability, a term that crept into the EU trade lexicon in the late 1990s.
What happened next?
After the 2008 collapse of the WTO Doha Round, the EU went hell-for-leather for bilateral free trade agreements (FTAs), now totalling 40, covering 80 countries and half its trade.
More and more, these agreements include sustainability commitments. First, it was about soft cooperation on human rights, animal welfare, and environment. Increasingly, they involve harder obligations to respect COP21 climate commitments, implement key UN and ILO treaties, and after the UN 2021 Summit, coordinate on sustainable food systems. Read more John Clarke/ Euronews
---------
Biofuels refiner Ecoceres expects Malaysia unit to start up in second half 2025
SINGAPORE, April 22 (Reuters) - Biofuels refiner Ecoceres is aiming to start up its Malaysia-based biofuels production unit in the second half of 2025, a company executive said on Monday.
The unit will have a total capacity of 350,000 metric tons per year of biofuels, which consists of 220,000 tpy of sustainable aviation fuel and 130,000 tpy of hydrotreated vegetable oil, its chief commercial officer Jeremy Baines said at an Argus biofuels conference in Singapore.
Used cooking oil and palm oil mill effluent will be among the key feedstocks for the plant, located in Malaysia's Johor region, he added, without elaborating where they will source the products from.
The Bain-backed biofuels producer, which currently operates a 260,000-tpy biofuels unit in Jiangsu, China, earlier signed an agreement with a waste management firm backed by the Chinese city of Shenzhen to source for biofuel feedstocks. (Reporting by Trixie Yap; additional reporting by Chen Aizhu, Editing by Louise Heavens) Market Screener
---------
Tests show reusing deep-fry seed oils from sesame and sunflower could be a serious health risk
But evidence is piling up that eating processed food and snacks - which invariably are made using such seed oils - is almost certainly unhealthy, as is reusing oil that has already deep-fried food, a common practice in homes and restaurants.
A team of scientists in India and the US carried out tests on rats and found that animals given food cooked in reheated sesame or sunflower oil "showed increased oxidative stress and inflammation in the liver" as well as "significant damage in the colon."
They said the findings suggest long-term consumption of reused oils could be a cause of "increased neurodegeneration." Read more Yahoo
Euroviews. 'The Great Disconnect': Why EU trade policy and climate are running into the sand
As it finesses its strategy on trade, the EU needs to think how to moderate its sustainability agenda, which is proving too much for its trading partners to swallow, John Clarke writes.
For decades, the EU was reluctant to use trade agreements as a Trojan Horse for environmental and other “non-trade issues”.
Don’t mix trade with other issues. It's not a means to an end. “Render to Caesar what belongs to Caesar” was how one European Commissioner dubbed it.
That worked until the 1999 WTO Ministerial, where dockers, NGOs and unions conspired — egged on by the US — to destroy the Ministerial (as well as the window of Starbucks where I was sheltering from teargas) due to WTO’s apparent lack of care for environment, human rights or development.
The “Battle of Seattle” led to serious navel-gazing in Europe and elsewhere. Clearly, trade agreements, whether WTO or bilateral, could only pass muster with the European Council and Parliament if they supported sustainability, a term that crept into the EU trade lexicon in the late 1990s.
What happened next?
After the 2008 collapse of the WTO Doha Round, the EU went hell-for-leather for bilateral free trade agreements (FTAs), now totalling 40, covering 80 countries and half its trade.
More and more, these agreements include sustainability commitments. First, it was about soft cooperation on human rights, animal welfare, and environment. Increasingly, they involve harder obligations to respect COP21 climate commitments, implement key UN and ILO treaties, and after the UN 2021 Summit, coordinate on sustainable food systems. Read more John Clarke/ Euronews
---------
Biofuels refiner Ecoceres expects Malaysia unit to start up in second half 2025
SINGAPORE, April 22 (Reuters) - Biofuels refiner Ecoceres is aiming to start up its Malaysia-based biofuels production unit in the second half of 2025, a company executive said on Monday.
The unit will have a total capacity of 350,000 metric tons per year of biofuels, which consists of 220,000 tpy of sustainable aviation fuel and 130,000 tpy of hydrotreated vegetable oil, its chief commercial officer Jeremy Baines said at an Argus biofuels conference in Singapore.
Used cooking oil and palm oil mill effluent will be among the key feedstocks for the plant, located in Malaysia's Johor region, he added, without elaborating where they will source the products from.
The Bain-backed biofuels producer, which currently operates a 260,000-tpy biofuels unit in Jiangsu, China, earlier signed an agreement with a waste management firm backed by the Chinese city of Shenzhen to source for biofuel feedstocks. (Reporting by Trixie Yap; additional reporting by Chen Aizhu, Editing by Louise Heavens) Market Screener
---------
Tests show reusing deep-fry seed oils from sesame and sunflower could be a serious health risk
- Reusing seed oils for deep frying can lead to liver and colon damage, as well as potential neurodegeneration in rats.
- Consuming processed food and snacks made with seed oils, especially when deep-fried and reused, can cause oxidative stress, inflammation, and disruption of the liver-gut-brain axis.
- Studies have shown that eating too much seed oil-laden processed food is linked to obesity, diabetes, negative impact on facial attractiveness, and diminished mental health.
But evidence is piling up that eating processed food and snacks - which invariably are made using such seed oils - is almost certainly unhealthy, as is reusing oil that has already deep-fried food, a common practice in homes and restaurants.
A team of scientists in India and the US carried out tests on rats and found that animals given food cooked in reheated sesame or sunflower oil "showed increased oxidative stress and inflammation in the liver" as well as "significant damage in the colon."
They said the findings suggest long-term consumption of reused oils could be a cause of "increased neurodegeneration." Read more Yahoo
|
|
|
April 20, 2024
Is Indonesia’s Prabowo solidifying legitimacy with China, Japan and Malaysia visits?
Prabowo’s visits may indicate that influential countries recognise him as the next Indonesian president and lend him more legitimacy
The visits could also be a strong signal that Prabowo still has a good relationship with Widodo and smooth his path to office
A defence minister’s courtesy calls take on a different significance, albeit only slightly, when he will take over as Indonesia’s president in a matter of months.
Even as president-elect Prabowo Subianto’s opponents are still challenging his electoral victory, many international leaders have already congratulated him. Chinese President Xi Jinping invited Prabowo as president-elect to visit Beijing; Prabowo also visited Japan and Malaysia after that. What was the significance of Prabowo’s visits to these countries for his legitimacy as president-elect and his future foreign policy?
There were several possible explanations. First, Prabowo – who is still President Joko Widodo’s defence minister – might have wanted to show the Indonesian people that, despite the ongoing constitutional court challenge against his election win, countries that are influential nevertheless recognise him as the next president.
China is a rising superpower in economy and technology, Japan is an American ally which is also economically influential in Indonesia, while Malaysia is Indonesia’s “blood brother” (saudara serumpun) that shares common interests, including strong support for Palestinians and their stance on the EU Deforestation Regulation that affects palm oil exports. Read more SCMP
---------
Is the EU's image failing in Southeast Asia?
David Hutt
A new survey shows the EU is losing face with business and government "elites" of Southeast Asia. Respondents showed less confidence in Brussels on issues like upholding free trade and global order.
The European Union's reputation appears to have taken a hit in Southeast Asia, according to a region-wide survey of "elites" conducted by the ISEAS-Yusof Ishak Institute in Singapore.
The researchers gathered the data by questioning some 2,000 representatives of academia, business, government and civil society in January and February this year. The respondents come from Singapore, Indonesia, Malaysia, the Philippines, Thailand, Vietnam, Cambodia, Myanmar, Laos and Brunei.
The results show that there is now less trust in the EU to uphold free trade or the rules-based order compared with last year.
Less than 14% of the respondents see the EU as the leading champion of the global free trade agenda, down from almost 22% in last year's survey.
Last year, the EU ranked second as the country or bloc Southeast Asians trusted the most to uphold the international rules-based order and international law.
However, in this year's survey, the EU slipped into third place with its percentage score dipping to nearly 17% from 23%. The bloc was behind the United Sates and the Association of Southeast Asian Nations (ASEAN).
What was the response from Brussels? Read more DW
---------
Sustainable food systems should be established through new agricultural standards
Helmholtz Centre for Environmental Research has found that EU agricultural trade policies should be renegotiated globally to establish sustainable food systems.
The cultivation of soya, palm oil, coffee, cocoa, sugar, or hazelnuts in their countries of origin outside Europe is sustainable in only a minority of instances.
For example, rainforests are cleared, and valuable grasslands are used for palm oil and cocoa plantations. As well as this, harmful pesticides are used in the cultivation of cocoa and hazelnuts.
The EU has expressed its share of responsibility for preventing negative consequences for biodiversity and the climate.
It is committed to the principle of Policy Coherence for Development. Accordingly, the EU wants to achieve the UN Sustainable Development Goals within the EU and support developing countries in implementing them.
In the EU Green Deal and the Farm to Fork Strategy, the EU Commission has committed to promoting the transformation towards sustainable food systems.
Now, the research team is proposing a new approach to navigating the complex agricultural trade policies between the EU and exporting countries. The approach analyses the relevance and leverage effect of individual imported foods for the EU and country of origin.
Establishing the importance of trade for each agricultural product Read more Innovation News Network
---------
Argo Living Soils to Conduct Meetings with Putra University and Connective Global in Malaysia
Vancouver, British Columbia--(Newsfile Corp. - April 19, 2024) - Argo Living Soils Corp. (CSE: ARGO) (FSE: 94Y) (OTC Pink: ARLSF) ("Argo") is pleased to provide an update to the recently signed Memorandum of Understanding (MOU) with Connective Global SDN BHD ("Connective Global"), a Malaysian-based company.
Pursuant to the MOU, Argo and Connective Global have agreed to jointly conduct research and development of biochar for agricultural and industrial applications. The research and development program will be initiated at University Putra Malaysia.
Senior Argo representatives will be attending meetings in Malaysia in the upcoming weeks with Connective Global at University Putra Malaysia to further define the research and development program and objectives. The University Putra Malaysia has its origins and historical roots in agricultural education and research, being established initially as the School of Agriculture in 1931. It maintains a strong focus on agricultural sciences like agronomy, horticulture, animal sciences, food science and technology, forestry, biotechnology related to agriculture. The University is ranked #36 globally for Agricultural Sciences by U.S. News & World Report, maintaining strong programs and research focus in agricultural sciences like agronomy, horticulture, animal sciences, food science and technology, forestry, and agricultural biotechnology.
Upon the successful completion of the 12-month research phase, Argo and Connective Global intend to formalize a commercial production agreement, signaling the transition from research to practical application.
While in Malaysia, in addition to meeting with University Putra Malaysia, Argo and Connective Global will conduct site surveys of agricultural facilities to engage with farmers and processors, exploring potential collaborations in converting waste biomass into commercially viable biochar products.
Argo envisions implementing a circular economy model by utilizing waste biomaterials from palm oil and coconut oil production to produce biochar-based agricultural products. This approach promotes resource efficiency, reduces waste generation, and supports sustainable agricultural practices. Read more Globe and Mail
---------
Is Indonesia’s Prabowo solidifying legitimacy with China, Japan and Malaysia visits?
Prabowo’s visits may indicate that influential countries recognise him as the next Indonesian president and lend him more legitimacy
The visits could also be a strong signal that Prabowo still has a good relationship with Widodo and smooth his path to office
A defence minister’s courtesy calls take on a different significance, albeit only slightly, when he will take over as Indonesia’s president in a matter of months.
Even as president-elect Prabowo Subianto’s opponents are still challenging his electoral victory, many international leaders have already congratulated him. Chinese President Xi Jinping invited Prabowo as president-elect to visit Beijing; Prabowo also visited Japan and Malaysia after that. What was the significance of Prabowo’s visits to these countries for his legitimacy as president-elect and his future foreign policy?
There were several possible explanations. First, Prabowo – who is still President Joko Widodo’s defence minister – might have wanted to show the Indonesian people that, despite the ongoing constitutional court challenge against his election win, countries that are influential nevertheless recognise him as the next president.
China is a rising superpower in economy and technology, Japan is an American ally which is also economically influential in Indonesia, while Malaysia is Indonesia’s “blood brother” (saudara serumpun) that shares common interests, including strong support for Palestinians and their stance on the EU Deforestation Regulation that affects palm oil exports. Read more SCMP
---------
Is the EU's image failing in Southeast Asia?
David Hutt
A new survey shows the EU is losing face with business and government "elites" of Southeast Asia. Respondents showed less confidence in Brussels on issues like upholding free trade and global order.
The European Union's reputation appears to have taken a hit in Southeast Asia, according to a region-wide survey of "elites" conducted by the ISEAS-Yusof Ishak Institute in Singapore.
The researchers gathered the data by questioning some 2,000 representatives of academia, business, government and civil society in January and February this year. The respondents come from Singapore, Indonesia, Malaysia, the Philippines, Thailand, Vietnam, Cambodia, Myanmar, Laos and Brunei.
The results show that there is now less trust in the EU to uphold free trade or the rules-based order compared with last year.
Less than 14% of the respondents see the EU as the leading champion of the global free trade agenda, down from almost 22% in last year's survey.
Last year, the EU ranked second as the country or bloc Southeast Asians trusted the most to uphold the international rules-based order and international law.
However, in this year's survey, the EU slipped into third place with its percentage score dipping to nearly 17% from 23%. The bloc was behind the United Sates and the Association of Southeast Asian Nations (ASEAN).
What was the response from Brussels? Read more DW
---------
Sustainable food systems should be established through new agricultural standards
Helmholtz Centre for Environmental Research has found that EU agricultural trade policies should be renegotiated globally to establish sustainable food systems.
The cultivation of soya, palm oil, coffee, cocoa, sugar, or hazelnuts in their countries of origin outside Europe is sustainable in only a minority of instances.
For example, rainforests are cleared, and valuable grasslands are used for palm oil and cocoa plantations. As well as this, harmful pesticides are used in the cultivation of cocoa and hazelnuts.
The EU has expressed its share of responsibility for preventing negative consequences for biodiversity and the climate.
It is committed to the principle of Policy Coherence for Development. Accordingly, the EU wants to achieve the UN Sustainable Development Goals within the EU and support developing countries in implementing them.
In the EU Green Deal and the Farm to Fork Strategy, the EU Commission has committed to promoting the transformation towards sustainable food systems.
Now, the research team is proposing a new approach to navigating the complex agricultural trade policies between the EU and exporting countries. The approach analyses the relevance and leverage effect of individual imported foods for the EU and country of origin.
Establishing the importance of trade for each agricultural product Read more Innovation News Network
---------
Argo Living Soils to Conduct Meetings with Putra University and Connective Global in Malaysia
Vancouver, British Columbia--(Newsfile Corp. - April 19, 2024) - Argo Living Soils Corp. (CSE: ARGO) (FSE: 94Y) (OTC Pink: ARLSF) ("Argo") is pleased to provide an update to the recently signed Memorandum of Understanding (MOU) with Connective Global SDN BHD ("Connective Global"), a Malaysian-based company.
Pursuant to the MOU, Argo and Connective Global have agreed to jointly conduct research and development of biochar for agricultural and industrial applications. The research and development program will be initiated at University Putra Malaysia.
Senior Argo representatives will be attending meetings in Malaysia in the upcoming weeks with Connective Global at University Putra Malaysia to further define the research and development program and objectives. The University Putra Malaysia has its origins and historical roots in agricultural education and research, being established initially as the School of Agriculture in 1931. It maintains a strong focus on agricultural sciences like agronomy, horticulture, animal sciences, food science and technology, forestry, biotechnology related to agriculture. The University is ranked #36 globally for Agricultural Sciences by U.S. News & World Report, maintaining strong programs and research focus in agricultural sciences like agronomy, horticulture, animal sciences, food science and technology, forestry, and agricultural biotechnology.
Upon the successful completion of the 12-month research phase, Argo and Connective Global intend to formalize a commercial production agreement, signaling the transition from research to practical application.
While in Malaysia, in addition to meeting with University Putra Malaysia, Argo and Connective Global will conduct site surveys of agricultural facilities to engage with farmers and processors, exploring potential collaborations in converting waste biomass into commercially viable biochar products.
Argo envisions implementing a circular economy model by utilizing waste biomaterials from palm oil and coconut oil production to produce biochar-based agricultural products. This approach promotes resource efficiency, reduces waste generation, and supports sustainable agricultural practices. Read more Globe and Mail
---------
|
|
|
April 19, 2024
The EU needs to get its trade mojo back, say Sweden and Finland
Nordic nations urge Brussels to get on and do trade deals — and not to tie them to its environmental agenda.
The European Union should be using trade policy to reassert its status as an economic heavyweight — not to save the planet.
That’s what two of the bloc’s most ardent free traders — Sweden and Finland — think. Frustrated by a lack of progress on trade deals and what they see as a protectionist mindset increasingly taking hold in Brussels, they want the EU to get its trade mojo back or risk sliding further into international irrelevance.
Europe's deal-making has indeed slumped from the heyday of striking a landmark accords with Canada in 2016 and finalizing talks with Japan in 2017. The complaint from free-trading countries is that more protectionist nations such as France now want to use trade policy more as a weapon to restrict cheap imports, ranging from food to green technology from China.
In a discussion document, seen by POLITICO, the two Nordic nations lamented the EU’s “more defensive and restrictive” trade policy and complained that, as a result, the bloc’s economic weight is declining in relation to other trading powers.
“The EU runs the risk of being seen as an economically less relevant and more defensive actor by our trading partners,” reads the paper, which is due to be discussed informally by trade diplomats on Friday.
“To reverse this trend and to maintain the EU’s position as one of the leading players in international trade and regulatory policy, we must find a new balance and level of ambition in our trade policy.”
Stockholm and Helsinki delivered their message just as EU leaders, meeting for a summit in Brussels Thursday, reviewed an in-depth report by former Italian Prime Minister Enrico Letta on how to boost competitiveness in the EU single market. Letta’s 147-page report only addressed external trade issues tangentially.
Carrot and stick
As the term of Ursula von der Leyen’s Commission draws to a close, its legacy on trade deals is shaping up to be a story of the ones that got away.
Trading partners such as the Latin American Mercosur bloc, Indonesia or India have all balked at green conditions that the EU wants to attach to deals — like its carbon tax or deforestation regulation — at the behest of more protectionist member countries led by France. Politico
---------
Phase III of Green Commodities Programme in Malaysia launched to drive sustainable agricultural production
UNDP and the Swiss State Secretariat for Economic Affairs (SECO) have launched the third phase of the Green Commodities Programme (GCP), building on the efforts started in 2010 to catalyse changes in the sustainability of agricultural production for society, the economy, and the environment.
Leveraging Swiss citizens’ interest in sustainable food, UNDP and SECO renewed their working partnership – first formed in 2015 – to further strengthen their joint engagement in sustainable agricultural commodities productions, which started with palm oil in Indonesia, as well as coffee and cocoa in Peru.
The continuation of the GCP project will extend the expertise gained in the previous two phases to three additional countries: Malaysia (palm oil), Ghana (cocoa), and Brazil (beef and soy). GCP Phase III builds on successes achieved since 2015, notably the Indonesia Sustainable Palm Oil Platform and the National Action Plan on Sustainable Palm Oil.
In Malaysia, the state of Sabah launched the Jurisdictional Approach to Sustainable Palm Oil (JASPO) Initiative in 2015, with commitment to the Roundtable on Sustainable Palm Oil (RSPO) Jurisdictional Approach to Certification standards by 2025. This strategic approach focuses on sustainability for the state-wide landscape under its jurisdiction, rather than certifying individual palm oil estates.
GCP Phase III will support the goal by working directly with the JASPO Secretariat to accelerate the processes under the initiative, delivering capacity building for the Secretariat team and operation, and facilitating improved collaboration among the existing multi-stakeholder structures of the Initiative, as well as facilitating wider and deeper engagement with the oil palm production sector to promote uptake in the JASPO Initiative including uptake by smallholder farmers. UNDP
---------
Korea’s Hyundai starts operations at biodiesel plant
South Korean refiner Hyundai Oilbank has started commercial operations at its 130,000 t/yr biodiesel plant at Daesan as of 17 April, according to a source from the company.
The plant is currently being fed with palm oil fatty acid distillates (Pfad). Most of the produced biodiesel will likely be kept to meet domestic demand, said other South Korea-based market sources.
Hyundai had been trialing feedstocks at the plant since last December, which include Pfad, used cooking oil (UCO) and soybean oil. It previously entered an agreement with food manufacturer Lotte Confectionery in 2022, which involved Lotte supplying UCO as feedstock to the plant.
The refiner said earlier this year that it is also considering co-processing biofuels at its 520,000 b/d Daesan refinery. It has plans for another 500,000 t/yr plant that can produce renewable diesel, sustainable aviation fuel and bio-naphtha, initially scheduled to come on line in the middle of the decade. But a final investment decision has yet to be reached for this plant. Argus Media
---------
Opinion: Ben & Jerry’s woke chickens are coming home to roost
The ice cream maker's parent company has signalled that it has had enough of its progressive politics
Ice cream maker Ben & Jerry’s is perhaps the world’s most aggressively “woke” brand. By running campaigns on international geopolitics, immigration policy and culture war issues, Ben & Jerry’s has made a name for itself as a taboo-smasher willing to serve dessert with a side of aggressive virtue-signalling.
But now Ben & Jerry’s chickens have come home to roost. Unilever, the British food giant that is Ben & Jerry’s parent company, is disowning its rebellious child — announcing it is carving off its ice cream business from the rest of the company and signalling it is open to a sale. Naturally, some commentary claims this is a business-only decision and that Ben & Jerry’s relentless progressive campaigning played no part in it. That’s hard to believe given the way Ben & Jerry’s seems willing to prioritize its politics over its bottom line. Read more Financial Post
---------
Snack giant PepsiCo sourced palm oil from razed Indigenous land
Peruvian palm oil linked to environmental and human rights violations ended up in the supply chain for the makers of Gatorade and Cheetos
The US food and drink giant PepsiCo has been linked through its supply chain to Amazon deforestation and the invasion of Indigenous lands in Peru, the Bureau of Investigative Journalism (TBIJ), Mongabay and Peruvian outlet Ojo Público can reveal.
For at least three years, PepsiCo’s Peruvian suppliers have been sourcing palm oil from deforested territory claimed by the Shipibo-Konibo people in Ucayali, eastern Peru.
The company, which manufactures snacks including Cheetos and Gatorade, runs a factory in Mexico that buys Peruvian palm oil after it has been processed at a Mexican refinery. That refinery buys from a Peruvian consortium, Sol de Palma, that shares storage facilities with Ocho Sur, a notorious US-funded business accused of repeated environmental and human rights violations.
The storage facilities mix the various batches of palm oil, meaning PepsiCo products likely contain Ocho Sur oil despite no longer buying directly from the company.
Ocho Sur is linked to 170 sq km of forest loss in the past decade – both within its own property and through its direct suppliers. While some of the forest loss took place under other companies, satellite analyses by the Center for Climate Crime Analysis (CCCA) and TBIJ show clear deforestation on Ocho Sur’s land in the past three years.
This investigation was produced with support from the Pulitzer Center's Rainforest Investigations Network
Palm oil production in Peru has more than doubled in the past decade and Ucayali, a hotspot for cultivation on the border with Brazil, now has the country’s second-highest rate of forest loss. It’s estimated that about 30% of the country’s palm plantations are on illegally deforested land. Half of the oil is sent to international markets. The Bureau Investigates
The EU needs to get its trade mojo back, say Sweden and Finland
Nordic nations urge Brussels to get on and do trade deals — and not to tie them to its environmental agenda.
The European Union should be using trade policy to reassert its status as an economic heavyweight — not to save the planet.
That’s what two of the bloc’s most ardent free traders — Sweden and Finland — think. Frustrated by a lack of progress on trade deals and what they see as a protectionist mindset increasingly taking hold in Brussels, they want the EU to get its trade mojo back or risk sliding further into international irrelevance.
Europe's deal-making has indeed slumped from the heyday of striking a landmark accords with Canada in 2016 and finalizing talks with Japan in 2017. The complaint from free-trading countries is that more protectionist nations such as France now want to use trade policy more as a weapon to restrict cheap imports, ranging from food to green technology from China.
In a discussion document, seen by POLITICO, the two Nordic nations lamented the EU’s “more defensive and restrictive” trade policy and complained that, as a result, the bloc’s economic weight is declining in relation to other trading powers.
“The EU runs the risk of being seen as an economically less relevant and more defensive actor by our trading partners,” reads the paper, which is due to be discussed informally by trade diplomats on Friday.
“To reverse this trend and to maintain the EU’s position as one of the leading players in international trade and regulatory policy, we must find a new balance and level of ambition in our trade policy.”
Stockholm and Helsinki delivered their message just as EU leaders, meeting for a summit in Brussels Thursday, reviewed an in-depth report by former Italian Prime Minister Enrico Letta on how to boost competitiveness in the EU single market. Letta’s 147-page report only addressed external trade issues tangentially.
Carrot and stick
As the term of Ursula von der Leyen’s Commission draws to a close, its legacy on trade deals is shaping up to be a story of the ones that got away.
Trading partners such as the Latin American Mercosur bloc, Indonesia or India have all balked at green conditions that the EU wants to attach to deals — like its carbon tax or deforestation regulation — at the behest of more protectionist member countries led by France. Politico
---------
Phase III of Green Commodities Programme in Malaysia launched to drive sustainable agricultural production
UNDP and the Swiss State Secretariat for Economic Affairs (SECO) have launched the third phase of the Green Commodities Programme (GCP), building on the efforts started in 2010 to catalyse changes in the sustainability of agricultural production for society, the economy, and the environment.
Leveraging Swiss citizens’ interest in sustainable food, UNDP and SECO renewed their working partnership – first formed in 2015 – to further strengthen their joint engagement in sustainable agricultural commodities productions, which started with palm oil in Indonesia, as well as coffee and cocoa in Peru.
The continuation of the GCP project will extend the expertise gained in the previous two phases to three additional countries: Malaysia (palm oil), Ghana (cocoa), and Brazil (beef and soy). GCP Phase III builds on successes achieved since 2015, notably the Indonesia Sustainable Palm Oil Platform and the National Action Plan on Sustainable Palm Oil.
In Malaysia, the state of Sabah launched the Jurisdictional Approach to Sustainable Palm Oil (JASPO) Initiative in 2015, with commitment to the Roundtable on Sustainable Palm Oil (RSPO) Jurisdictional Approach to Certification standards by 2025. This strategic approach focuses on sustainability for the state-wide landscape under its jurisdiction, rather than certifying individual palm oil estates.
GCP Phase III will support the goal by working directly with the JASPO Secretariat to accelerate the processes under the initiative, delivering capacity building for the Secretariat team and operation, and facilitating improved collaboration among the existing multi-stakeholder structures of the Initiative, as well as facilitating wider and deeper engagement with the oil palm production sector to promote uptake in the JASPO Initiative including uptake by smallholder farmers. UNDP
---------
Korea’s Hyundai starts operations at biodiesel plant
South Korean refiner Hyundai Oilbank has started commercial operations at its 130,000 t/yr biodiesel plant at Daesan as of 17 April, according to a source from the company.
The plant is currently being fed with palm oil fatty acid distillates (Pfad). Most of the produced biodiesel will likely be kept to meet domestic demand, said other South Korea-based market sources.
Hyundai had been trialing feedstocks at the plant since last December, which include Pfad, used cooking oil (UCO) and soybean oil. It previously entered an agreement with food manufacturer Lotte Confectionery in 2022, which involved Lotte supplying UCO as feedstock to the plant.
The refiner said earlier this year that it is also considering co-processing biofuels at its 520,000 b/d Daesan refinery. It has plans for another 500,000 t/yr plant that can produce renewable diesel, sustainable aviation fuel and bio-naphtha, initially scheduled to come on line in the middle of the decade. But a final investment decision has yet to be reached for this plant. Argus Media
---------
Opinion: Ben & Jerry’s woke chickens are coming home to roost
The ice cream maker's parent company has signalled that it has had enough of its progressive politics
Ice cream maker Ben & Jerry’s is perhaps the world’s most aggressively “woke” brand. By running campaigns on international geopolitics, immigration policy and culture war issues, Ben & Jerry’s has made a name for itself as a taboo-smasher willing to serve dessert with a side of aggressive virtue-signalling.
But now Ben & Jerry’s chickens have come home to roost. Unilever, the British food giant that is Ben & Jerry’s parent company, is disowning its rebellious child — announcing it is carving off its ice cream business from the rest of the company and signalling it is open to a sale. Naturally, some commentary claims this is a business-only decision and that Ben & Jerry’s relentless progressive campaigning played no part in it. That’s hard to believe given the way Ben & Jerry’s seems willing to prioritize its politics over its bottom line. Read more Financial Post
---------
Snack giant PepsiCo sourced palm oil from razed Indigenous land
Peruvian palm oil linked to environmental and human rights violations ended up in the supply chain for the makers of Gatorade and Cheetos
The US food and drink giant PepsiCo has been linked through its supply chain to Amazon deforestation and the invasion of Indigenous lands in Peru, the Bureau of Investigative Journalism (TBIJ), Mongabay and Peruvian outlet Ojo Público can reveal.
For at least three years, PepsiCo’s Peruvian suppliers have been sourcing palm oil from deforested territory claimed by the Shipibo-Konibo people in Ucayali, eastern Peru.
The company, which manufactures snacks including Cheetos and Gatorade, runs a factory in Mexico that buys Peruvian palm oil after it has been processed at a Mexican refinery. That refinery buys from a Peruvian consortium, Sol de Palma, that shares storage facilities with Ocho Sur, a notorious US-funded business accused of repeated environmental and human rights violations.
The storage facilities mix the various batches of palm oil, meaning PepsiCo products likely contain Ocho Sur oil despite no longer buying directly from the company.
Ocho Sur is linked to 170 sq km of forest loss in the past decade – both within its own property and through its direct suppliers. While some of the forest loss took place under other companies, satellite analyses by the Center for Climate Crime Analysis (CCCA) and TBIJ show clear deforestation on Ocho Sur’s land in the past three years.
This investigation was produced with support from the Pulitzer Center's Rainforest Investigations Network
Palm oil production in Peru has more than doubled in the past decade and Ucayali, a hotspot for cultivation on the border with Brazil, now has the country’s second-highest rate of forest loss. It’s estimated that about 30% of the country’s palm plantations are on illegally deforested land. Half of the oil is sent to international markets. The Bureau Investigates
|
|
|
April 18, 2024
Half a million hectares of Indonesian forest under threat from nickel mining, study finds
The race to electrify transport is causing extensive deforestation in Indonesia, a Mighty Earth report finds. Will the destructive practices continue under incoming president Prabowo Subianto, who has pledged to ramp up nickel trade?
An area larger than Singapore has already been deforested to make way for nickel mines in Indonesia with a further half a million hectares of forest under threat as the Southeast Asian country pursues its ambition to be the world’s hub for electric vehicle (EV) battery minerals.
An investigative report of 329 Indonesian nickel concessions by United States-based non-government organisation Mighty Earth and Indonesian partner organisation Satya Bumi found that the rate of forests lost to nickel mining is accelerating, with the number of deforestation alerts in mining concessions doubling between 2020 and 2023.
Indonesia is the world’s largest nickel producer – the country has one fifth of global nickel reserves, which are mostly located in the eastern provinces of Sulawesi and Maluku. The country is aiming to be one of the world’s top three producers of EV batteries by 2027, an ambition that has worried environmentalists and human rights campaigners.
Mining has overtaken palm oil as Indonesia’s biggest source of deforestation while nickel mining has prompted protests over worker safety after miners were killed at an extraction site in Sulawesi last year. Read more Eco Business
---------
Renewable Diesel Boom Sets Off Aftershocks In Soybean Oil, Used Cooking Oil Markets
The boom in renewable diesel (RD) production has triggered a race to secure the dozen different bio-feedstocks suitable for refining into diesel fuel. It’s an interesting story that impacts both the oil and agriculture industries, with twists and turns that will take years to play out. In today's RBN blog, we describe the current state of the market and highlight recent happenings in supply chains for two of those increasingly important bio-feedstocks — soybean oil and used cooking oil.
There are two types of biomass-based diesel, commonly called fatty acid methyl ester (FAME) biodiesel and hydrogenated RD. Both are derived from oxygen-containing organic compounds called triglycerides that make up bio-feedstocks like vegetable oils and animal fats. The triglyceride molecule resembles a three-legged barstool. If you detach the legs from the stool, you get three very good diesel fuel molecules, which is why these bio-feedstocks are good raw materials. Read more RBN Energy
---------
Boeing makes its largest purchase of blended Neste MY Sustainable Aviation Fuel to be supplied by EPIC Fuels and Avfuel
Boeing has agreed to purchase 7.5 million gallons (over 22,700 tons) of blended Neste MY Sustainable Aviation Fuel in 2024 to support its US Commercial Airplanes business operations in reducing its greenhouse gas (GHG) emissions.
The volume of Neste’s sustainable aviation fuel (SAF) is part of Boeing’s total purchase of 9.4 million gallons of blended SAF, representing Boeing’s largest annual SAF purchase to date, 60% more than in 2023.
The fuel blend consisting of 30% SAF, made from renewable waste and residue raw materials such as used cooking oil, and 70% conventional jet fuel, will be supplied to Boeing by EPIC Fuels and Avfuel to support the Boeing ecoDemonstrator program and Boeing’s US commercial operational flights through 2024. Read more Green Car Congress
---------
HD Hyundai Oilbank starts operation of new biodiesel plant
HD Hyundai Oilbank has started production at its biodiesel plant with an annual capacity of 130,000 tons, as part of the oil refiner's efforts to expand into the eco-friendly energy business, HD Hyundai Group affiliate said Thursday.
Biodiesel is a fuel produced from animal and vegetable oils, and its properties are similar to those of petroleum-based fuels. This fuel source has been increasingly recognized for its effectiveness to significantly reduce greenhouse gases.
Biodiesel is one of the first to be commercialized worldwide among bio-based fuels such as aviation biofuel and marine biofuel. The advantage of biodiesel is that it can be blended with diesel fuel without requiring changes to the structure of internal combustion engines.
To expand the use of biodiesel, the government decided to increase the current mandatory blending ratio of 4 percent to 8 percent by 2030 under its renewable fuel standard policy.
HD Hyundai Oilbank said the newly built biodiesel plant in Daesan, South Chungcheong Province, is the first in the country to introduce a supercritical process. The supercritical process differs from traditional biodiesel plants as it allows for the production of products under high temperature and pressure conditions without a catalyst. Read more The Korea Times
---------
First Resources denies allegations of links to firms clearing forests in Indonesia
This is in response to allegations accusing the palm oil producer of operating so-called ‘shadow companies
PALM oil producer First Resources : EB5 +2.92% has denied allegations that it is linked to a network of companies accused of clearing rainforests in Indonesia.
The Singapore-listed firm was responding to allegations made by The Gecko Project, which published two articles that accused First Resources of operating so-called “shadow companies”.
The companies – FAP Agri, Ciliandry Anky Abadi and New Borneo Agri – and their subsidiaries have allegedly cleared tens of thousands of hectares of Indonesian rainforests since 2008, The Gecko Project wrote.
The first article was published in November 2023, with a follow-up story released in March this year.
The Gecko Project, which describes itself as a nonprofit newsroom, is registered in the United Kingdom.
In response, First Resources said in a bourse filing on Wednesday (Apr 17) that it “does not have any ownership stake or hold any management roles” in Ciliandry Anky Abadi or New Borneo Agri. Read more Business TimesSG
Half a million hectares of Indonesian forest under threat from nickel mining, study finds
The race to electrify transport is causing extensive deforestation in Indonesia, a Mighty Earth report finds. Will the destructive practices continue under incoming president Prabowo Subianto, who has pledged to ramp up nickel trade?
An area larger than Singapore has already been deforested to make way for nickel mines in Indonesia with a further half a million hectares of forest under threat as the Southeast Asian country pursues its ambition to be the world’s hub for electric vehicle (EV) battery minerals.
An investigative report of 329 Indonesian nickel concessions by United States-based non-government organisation Mighty Earth and Indonesian partner organisation Satya Bumi found that the rate of forests lost to nickel mining is accelerating, with the number of deforestation alerts in mining concessions doubling between 2020 and 2023.
Indonesia is the world’s largest nickel producer – the country has one fifth of global nickel reserves, which are mostly located in the eastern provinces of Sulawesi and Maluku. The country is aiming to be one of the world’s top three producers of EV batteries by 2027, an ambition that has worried environmentalists and human rights campaigners.
Mining has overtaken palm oil as Indonesia’s biggest source of deforestation while nickel mining has prompted protests over worker safety after miners were killed at an extraction site in Sulawesi last year. Read more Eco Business
---------
Renewable Diesel Boom Sets Off Aftershocks In Soybean Oil, Used Cooking Oil Markets
The boom in renewable diesel (RD) production has triggered a race to secure the dozen different bio-feedstocks suitable for refining into diesel fuel. It’s an interesting story that impacts both the oil and agriculture industries, with twists and turns that will take years to play out. In today's RBN blog, we describe the current state of the market and highlight recent happenings in supply chains for two of those increasingly important bio-feedstocks — soybean oil and used cooking oil.
There are two types of biomass-based diesel, commonly called fatty acid methyl ester (FAME) biodiesel and hydrogenated RD. Both are derived from oxygen-containing organic compounds called triglycerides that make up bio-feedstocks like vegetable oils and animal fats. The triglyceride molecule resembles a three-legged barstool. If you detach the legs from the stool, you get three very good diesel fuel molecules, which is why these bio-feedstocks are good raw materials. Read more RBN Energy
---------
Boeing makes its largest purchase of blended Neste MY Sustainable Aviation Fuel to be supplied by EPIC Fuels and Avfuel
Boeing has agreed to purchase 7.5 million gallons (over 22,700 tons) of blended Neste MY Sustainable Aviation Fuel in 2024 to support its US Commercial Airplanes business operations in reducing its greenhouse gas (GHG) emissions.
The volume of Neste’s sustainable aviation fuel (SAF) is part of Boeing’s total purchase of 9.4 million gallons of blended SAF, representing Boeing’s largest annual SAF purchase to date, 60% more than in 2023.
The fuel blend consisting of 30% SAF, made from renewable waste and residue raw materials such as used cooking oil, and 70% conventional jet fuel, will be supplied to Boeing by EPIC Fuels and Avfuel to support the Boeing ecoDemonstrator program and Boeing’s US commercial operational flights through 2024. Read more Green Car Congress
---------
HD Hyundai Oilbank starts operation of new biodiesel plant
HD Hyundai Oilbank has started production at its biodiesel plant with an annual capacity of 130,000 tons, as part of the oil refiner's efforts to expand into the eco-friendly energy business, HD Hyundai Group affiliate said Thursday.
Biodiesel is a fuel produced from animal and vegetable oils, and its properties are similar to those of petroleum-based fuels. This fuel source has been increasingly recognized for its effectiveness to significantly reduce greenhouse gases.
Biodiesel is one of the first to be commercialized worldwide among bio-based fuels such as aviation biofuel and marine biofuel. The advantage of biodiesel is that it can be blended with diesel fuel without requiring changes to the structure of internal combustion engines.
To expand the use of biodiesel, the government decided to increase the current mandatory blending ratio of 4 percent to 8 percent by 2030 under its renewable fuel standard policy.
HD Hyundai Oilbank said the newly built biodiesel plant in Daesan, South Chungcheong Province, is the first in the country to introduce a supercritical process. The supercritical process differs from traditional biodiesel plants as it allows for the production of products under high temperature and pressure conditions without a catalyst. Read more The Korea Times
---------
First Resources denies allegations of links to firms clearing forests in Indonesia
This is in response to allegations accusing the palm oil producer of operating so-called ‘shadow companies
PALM oil producer First Resources : EB5 +2.92% has denied allegations that it is linked to a network of companies accused of clearing rainforests in Indonesia.
The Singapore-listed firm was responding to allegations made by The Gecko Project, which published two articles that accused First Resources of operating so-called “shadow companies”.
The companies – FAP Agri, Ciliandry Anky Abadi and New Borneo Agri – and their subsidiaries have allegedly cleared tens of thousands of hectares of Indonesian rainforests since 2008, The Gecko Project wrote.
The first article was published in November 2023, with a follow-up story released in March this year.
The Gecko Project, which describes itself as a nonprofit newsroom, is registered in the United Kingdom.
In response, First Resources said in a bourse filing on Wednesday (Apr 17) that it “does not have any ownership stake or hold any management roles” in Ciliandry Anky Abadi or New Borneo Agri. Read more Business TimesSG
|
|
|
April 17, 2024
Indonesia: New model a “game-changer” for palm oil traceability
Concerns about the sustainability of palm oil have prompted widespread demand from consumers and governments across the globe for enhanced transparency and traceability. In Indonesia, which is the world’s largest palm oil producer and exporter, a new model called Simulation of Indonesian Palm Oil Sustainability (SIPOS) promises to serve this cause.
The Center for International Forestry Research and World Agroforestry (CIFOR-ICRAF) led the development of the model, which was built on the Jurisdictional Approach for Palm Oil Sustainability (JAPOS) framework – a similar model developed at the regional level.
“This system dynamic model is built through the palm oil supply chain approach starting from the plantation, then the mill, the refinery, and so on,” said Benny Okarda, a senior research officer at CIFOR-ICRAF, during the Third National Workshop on “Strengthening Sustainable Palm Oil for Community Welfare and Climate Crisis Mitigation” in Jakarta, 11 January 2024.
The model incorporates data from the Ministry of Agriculture’s Directorate General of Plantations and utilizes a 2022 baseline for more accurate projections. “At the national level, there are several interventions we are trying to measure, such as increasing productivity, forest protection, and peat areas,” said Okarda. “The indicators we use are production, forest cover, emissions and volume and trade value.” Read more CIFOR
---------
Indonesia's biodiesel industry contributing to deforestation
By:
William DE TAMARIS Constantin SIMON Aruna POPURI Matthew HUNT
Indonesia is aiming to reduce its dependence on fossil fuels, with 30 percent of the country's energy slated to come from biodiesel by 2030. But the plan has caused alarm among environmental groups. Palm oil, a key component of biodiesel, is the primary driver of deforestation in Indonesia. To meet Indonesia's energy transition goals, more palm trees are needed – and that means clearing the country's primary forests. Our team reports from South Sumatra. France 24
---------
The future of Europe’s Southeast Asia engagement
Relations between Southeast Asia and Europe have evolved on many fronts, and will likely keep developing despite geopolitical tensions.
Ties between Europe and Southeast Asia have seen an uptick in recent years due to several converging interests. The European Union and key European states recognize the opportunities Southeast Asia presents as part of the wider Indo-Pacific growth story. They are also partially aligned in facing challenges to the rules-based international order.
For Southeast Asian countries and the Association of Southeast Asian Nations (ASEAN) as a bloc, Europe is one of many partners to engage as part of a multi-aligned approach that extends beyond the narrow bipolar lens of United States-China competition. This common ground has manifested itself through bilateral agreements, as well EU-ASEAN cooperation. In 2020, the two agreed to become strategic partners. Collaboration then intensified with a blueprint to further operationalize cooperation in December 2022.
The EU has pledged 10 billion euros for connectivity projects in Southeast Asia. It has also made inroads with key countries in the region, including a new digital agreement with Singapore as well as an energy transition partnership with Vietnam.
Individual European countries have been pursuing closer ties to Southeast Asia as well. Some, such as France, Germany and the Netherlands, have done so as part of broader, formal Indo-Pacific strategies. Others, like the United Kingdom, have been in the spotlight for deployments to the South China Sea and cross-continental initiatives like the AUKUS security pact to counter China’s rise in the Indo-Pacific region. Read more GIS Reports
---------
Total US canola acreage to increase in 2024
he canola market continued to move in a sideways range in early April, with price action exhibiting stronger markets according to several market watchers. Recent record palm oil prices have supported the overall vegetable oil market. With expected North American production of canola remaining steady in 2024, the industry will be aggressively looking for supplies to crush.
Canola oil use for biofuels shows no slowdown as the Energy Information Administration reported that a record 376 million pounds of canola oil was consumed in January. For biodiesel, 153 million pounds was consumed, and 224 million pounds was consumed for renewable diesel. If this pace continues, the USDA will have to revise its annual forecast from 3.6 billion pounds to 3.8 billion pounds. This is based on trends from September of last year. It appears that approximately 40 percent of canola production will be for biofuels this year and 60 percent will be for food production. Read more AG Update
---------
Nigeria-Busoga farmers abandon sugarcane, opt for oil palm
What you need to know:
The fluctuation of sugarcane prices in the Busoga Sub-region has compelled farmers to abandon the crop for oil palm growing.
Currently, a tonne of sugarcane costs Shs150,000 down from Shs240,000 in December 2023.
The focal person of the National Oil Palm Project for Mayuge District Hub, Mr Thomas Aram, said currently 4,000 farmers have resorted to oil palm farming.
Mr Aram said so far, 7,000 acres have been allocated by farmers for the oil palm project.
“Of the 7,000 acres which have been pledged, we have so far surveyed 3,500 acres in all the sub-counties of Mayuge District,’’ he said.
The chairperson of Mayuge District Oil Palm Growing Cooperative Society Limited, Mr Moses Mabanda, said oil palm is harvested twice a month compared to sugarcane which is done once a year.
“You grow it once and spend 30 years without growing it again and you harvest twice a month, it has a ready market compared to sugarcane,’’ he said.
Ms Loy Nakaziba, another oil palm farmer said, the crop allows intercropping compared to sugarcane.
“I have abandoned sugarcane growing because it has left us without food. You cannot mix sugarcane with another food crop but with oil palm growing, you can grow food crops on the same piece of land,’’ he said. Read more Monitor UG
Indonesia: New model a “game-changer” for palm oil traceability
Concerns about the sustainability of palm oil have prompted widespread demand from consumers and governments across the globe for enhanced transparency and traceability. In Indonesia, which is the world’s largest palm oil producer and exporter, a new model called Simulation of Indonesian Palm Oil Sustainability (SIPOS) promises to serve this cause.
The Center for International Forestry Research and World Agroforestry (CIFOR-ICRAF) led the development of the model, which was built on the Jurisdictional Approach for Palm Oil Sustainability (JAPOS) framework – a similar model developed at the regional level.
“This system dynamic model is built through the palm oil supply chain approach starting from the plantation, then the mill, the refinery, and so on,” said Benny Okarda, a senior research officer at CIFOR-ICRAF, during the Third National Workshop on “Strengthening Sustainable Palm Oil for Community Welfare and Climate Crisis Mitigation” in Jakarta, 11 January 2024.
The model incorporates data from the Ministry of Agriculture’s Directorate General of Plantations and utilizes a 2022 baseline for more accurate projections. “At the national level, there are several interventions we are trying to measure, such as increasing productivity, forest protection, and peat areas,” said Okarda. “The indicators we use are production, forest cover, emissions and volume and trade value.” Read more CIFOR
---------
Indonesia's biodiesel industry contributing to deforestation
By:
William DE TAMARIS Constantin SIMON Aruna POPURI Matthew HUNT
Indonesia is aiming to reduce its dependence on fossil fuels, with 30 percent of the country's energy slated to come from biodiesel by 2030. But the plan has caused alarm among environmental groups. Palm oil, a key component of biodiesel, is the primary driver of deforestation in Indonesia. To meet Indonesia's energy transition goals, more palm trees are needed – and that means clearing the country's primary forests. Our team reports from South Sumatra. France 24
---------
The future of Europe’s Southeast Asia engagement
Relations between Southeast Asia and Europe have evolved on many fronts, and will likely keep developing despite geopolitical tensions.
- Shared challenges mean Europe’s and Southeast Asia’s strategic interests are aligning
- The European Union is trying to grow its security footprint in the region
- This rapprochement remains vulnerable to major geopolitical events
Ties between Europe and Southeast Asia have seen an uptick in recent years due to several converging interests. The European Union and key European states recognize the opportunities Southeast Asia presents as part of the wider Indo-Pacific growth story. They are also partially aligned in facing challenges to the rules-based international order.
For Southeast Asian countries and the Association of Southeast Asian Nations (ASEAN) as a bloc, Europe is one of many partners to engage as part of a multi-aligned approach that extends beyond the narrow bipolar lens of United States-China competition. This common ground has manifested itself through bilateral agreements, as well EU-ASEAN cooperation. In 2020, the two agreed to become strategic partners. Collaboration then intensified with a blueprint to further operationalize cooperation in December 2022.
The EU has pledged 10 billion euros for connectivity projects in Southeast Asia. It has also made inroads with key countries in the region, including a new digital agreement with Singapore as well as an energy transition partnership with Vietnam.
Individual European countries have been pursuing closer ties to Southeast Asia as well. Some, such as France, Germany and the Netherlands, have done so as part of broader, formal Indo-Pacific strategies. Others, like the United Kingdom, have been in the spotlight for deployments to the South China Sea and cross-continental initiatives like the AUKUS security pact to counter China’s rise in the Indo-Pacific region. Read more GIS Reports
---------
Total US canola acreage to increase in 2024
he canola market continued to move in a sideways range in early April, with price action exhibiting stronger markets according to several market watchers. Recent record palm oil prices have supported the overall vegetable oil market. With expected North American production of canola remaining steady in 2024, the industry will be aggressively looking for supplies to crush.
Canola oil use for biofuels shows no slowdown as the Energy Information Administration reported that a record 376 million pounds of canola oil was consumed in January. For biodiesel, 153 million pounds was consumed, and 224 million pounds was consumed for renewable diesel. If this pace continues, the USDA will have to revise its annual forecast from 3.6 billion pounds to 3.8 billion pounds. This is based on trends from September of last year. It appears that approximately 40 percent of canola production will be for biofuels this year and 60 percent will be for food production. Read more AG Update
---------
Nigeria-Busoga farmers abandon sugarcane, opt for oil palm
What you need to know:
- Oil palm is harvested twice a month compared to sugarcane which is done once a year.
The fluctuation of sugarcane prices in the Busoga Sub-region has compelled farmers to abandon the crop for oil palm growing.
Currently, a tonne of sugarcane costs Shs150,000 down from Shs240,000 in December 2023.
The focal person of the National Oil Palm Project for Mayuge District Hub, Mr Thomas Aram, said currently 4,000 farmers have resorted to oil palm farming.
Mr Aram said so far, 7,000 acres have been allocated by farmers for the oil palm project.
“Of the 7,000 acres which have been pledged, we have so far surveyed 3,500 acres in all the sub-counties of Mayuge District,’’ he said.
The chairperson of Mayuge District Oil Palm Growing Cooperative Society Limited, Mr Moses Mabanda, said oil palm is harvested twice a month compared to sugarcane which is done once a year.
“You grow it once and spend 30 years without growing it again and you harvest twice a month, it has a ready market compared to sugarcane,’’ he said.
Ms Loy Nakaziba, another oil palm farmer said, the crop allows intercropping compared to sugarcane.
“I have abandoned sugarcane growing because it has left us without food. You cannot mix sugarcane with another food crop but with oil palm growing, you can grow food crops on the same piece of land,’’ he said. Read more Monitor UG
|
|
|
|
|
Can sustainability and palm oil go hand in hand? MPOC's CEO Belvinder Sron explains The palm oil industry, often vilified by Western lobbyists, has made great strides in the environmental, social, and corporate governance (ESG) arena. Malaysian Palm Oil Council (MPOC) chief executive officer Belvinder Kaur Sron explains how sustainability and palm oil are intertwined. |
Air NZ calls for Govt mandates to help drive sustainable aviation fuel use
As the Climate Commission prepares advice on whether international aviation should be brought into the net zero 2050 commitment, Air NZ calls for mandates for sustainable aviation fuel
New Zealand’s national carrier has taken a leap towards its net zero 2050 goal, with its biggest ever purchase of sustainable aviation fuel.
But Air NZ chair Dame Therese Walsh said it was now time for the Government to step in with policies that would help level the playing field for airlines, as airlines faced the high cost and low supply of sustainable aviation fuel.
Air New Zealand has secured nine million litres of neat sustainable aviation fuel (SAF) from the world’s largest producer, Neste.
The Finnish company’s fuel was made from used cooking oil, and could reduce carbon emissions by up to 80 percent over the fuel’s lifecycle. Air NZ would blend up to 40 percent SAF with fossil fuel, achieving proportionate emissions reductions.
And while there was some concern over the use of palm oil to create bio fuel, Neste’s renewable aviation vice president Alexander Kueper said the company did not use palm oil and had robust supply chain checks to ensure the SAF was genuinely sustainable, rather than a “tick box” exercise. Read more NewsroomNZ
---------
Nigeria-Oil Palm growing finally starts in Busoga after 13 year wait
Mayuge, Uganda | THE INDEPENDENT | The Government, through the National Oil Palm Project (NOPP), officially commenced planting oil palm crops in the Busoga sub-region on Friday. The project, introduced in the area thirteen years ago, finally began with the planting of a four-acre garden at Buwolya Village in Mpungwe Sub County, Mayuge District, on land belonging to Muhammad Gweru, 72, an outgrower.
Suzan Lakwonero, NOPP Project Manager, who oversaw the planting, noted that after years of anticipation by farmers in Mayuge, every registered farmer would now have the opportunity to plant oil palm gardens to improve their livelihoods. “The crops we are giving farmers have been nurtured in our beds for two years, our team will be here and monitor them closely for better results. We have trained enough extension workers to support Mayuge hub,” Lakwonero reveals.
Unlike in other districts such as Kalangala and Buvuma, where oil palm has been planted after establishing nursery beds for seedlings, the Busoga sub-region hub will depend on the already established beds in Buvuma. “We have been challenged to get land near the lake to establish a bed in Mayuge and still failing but that cannot stop us from planting. We have dedicated enough vehicles to transport seedlings from Buvuma until all farmers are catered for.”Lakwonero says.
The government’s objective is to establish an estate of 3,500 acres of palm oil trees in the hub, covering three districts of Mayuge, Bugiri, and Namayingo, to support oil production in the country. Each acre will accommodate 67 oil palm trees. The hub will solely consist of outgrower’s gardens, unlike in Buvuma and Kalangala, where nucleus estates for investors are also established. IndependentNG
---------
Greenpeace-Stop EU companies from bankrolling nature destruction
Europe is complicit in the destruction of ecosystems and should regulate its funding of companies associated with deforestation.
Sandra Hieke is a project co-lead with Greenpeace International and is based in Hamburg, Germany.
The European Commission frequently highlights its determination to help save the planet from climate change and environmental destruction. And in February, it announced its new goals for curbing greenhouse gas emissions.
However, according to a new report from a coalition of NGOs — including Greenpeace International — beyond the Continent’s borders, EU banks and financial institutions continue to fund deforestation and the destruction of other critical habitats. And only the Commission has the power to turn off this destructive cash flow. Read more Politico
----------
When the European Union asks about sustainability, can sustainable palm oil certification be the answer?
InfoSAWIT, JAKARTA – The existence of palm oil, which is still widely questioned by world consumers, is part of the progress of the global palm oil business. Most recently, the European Union has tightened the distribution of palm oil through the European Union Deforestation Regulation (EUDR), which is increasingly hindering the growth of the world palm oil business.
In general, the European Union parliament rejects crude palm oil (CPO) and its derivative products because the palm oil industry is considered to create deforestation, degradation of animal habitats, corruption, child labor and human rights violations. This rejection by the European Union parliament has been going on for several months, so that various regulations have been issued to hinder the growth of the European Union market.
Even though the European Union regulates the global circulation of palm oil through increasingly strict regulations, the presence of palm oil is increasingly popular with European Union people who increasingly need healthy and cheap palm oil. The movement of European Union consumers who are increasingly consuming palm oil has become a benchmark for the growing global palm oil market.
The increasing global market consumption of palm oil, which requires sustainability, is certainly a benchmark for the success of improving the best and most sustainable cultivation practices carried out by palm oil planters, including palm oil farmers in Indonesia. It is natural, then, that many plantation companies and palm oil farmers have succeeded in obtaining sustainable certification. Read more Infosawit
|
|
|
April 15, 2024
Lack of catalysts forecast for palm oil sector
PETALING JAYA: Hong Leong Investment Bank Bhd Research (HLIB Research) has maintained its “neutral” call on the plantation sector as the absence of a notable demand catalysts has indicated that current high palm oil price will not be sustainable in the long term.
In a report, HLIB Research said palm oil’s narrower price discount against soy oil is due to impending seasonal output recovery and the lack of demand, among other factors.
The research firm noted the US Department of Agriculture’s National Agricultural Statistics Service’s prospective planting report revealed that US farmers plan to plant 90 million acres of corn and 86.5 million acres of soybean in the planting season.
The projected corn planted area came in slightly below the average trade estimates of 91.8 million acres, while the projected planted area for soybean came in within the average trade estimate.
HLIB Research’s top sector picks are IOI Corp Bhd with a “buy” rating and target price (TP) of RM4.66 a share and Hap Seng Plantations Holdings Bhd with a “buy” rating and a TP of RM2.06. The StarMY
----------
Latin American palm oil exports on the rise
KUALA LUMPUR: The world is facing a growing shortage of its most versatile edible oil. The solution may lie with emerging producers half a world away from South-East Asia’s vast palm oil plantations.
In Malaysia and Indonesia, which today account for the lion’s share of output, the ageing trees carpeting much of the region are becoming less productive.
Meanwhile, labourers are increasingly scarce and controls on land clearing have tightened, making it harder to replant.
It’s a different picture thousands of miles away for new planters in Colombia and Guatemala.
Here, some farmers churn out almost double the amount of oil per hectare compared with their South-East Asian peers.
In addition, to comply with looming European rules to ban imports of crops from newly deforested land, growers are already intensely focused on satellite and geo-location technology to ensure supply chains are fully traceable.
With elevated yields and the capacity to appeal to a wide customer base, free from deforestation concerns, Latin America is emerging as a new frontier for palm oil, increasing competition particularly in Europe.
Farmers in Latin America “have learned from mistakes made by Indonesia and Malaysia when it comes to deforestation,” said Khor Yu Leng, an economist at Segi Enam Advisors, a consultancy in Singapore.
“Short, simple, visible and low-emission supply chains should win in the long game.”
Palm oil exports from Central and South America are climbing. They jumped about 70% in the past decade, compared with an increase of just 14% in global shipments, according to US Department of Agriculture data.
This is a sharp rise even if exports from those regions still make up only 5% of the world total, compared with almost 90% from Indonesia and Malaysia. Read more The StarMY
---------
Palm oil prices expected to be firmer this year - MPOB
KUALA LUMPUR: Crude palm oil (MSM) prices in 2024 are expected to be firmer compared to the previous year with the average price of MSM for one ton being between RM3,900 to RM4,200.
This year, the price of the country's main commodity recorded its highest level of RM4,443 per ton in daily trading on April 3 before dropping to the current level of RM4,300.
Chairman of the Malaysian Palm Oil Board (MPOB), Datuk Dr Ahmad Parveez Ghulam Kadir, said that one of the factors influencing the confirmation of the average MSM price this year is the prospect of limited global palm oil supplies following the implementation of the B35 biodiesel mandate in Indonesia.
Apart from that, he said, it is predicted that the current hot weather conditions will also have an impact on the production of fresh fruit bunches and in turn have an impact on world palm oil supplies. Read more BharianMY
---------
Indonesian Palm Oil Industry Between Economic Contribution and Environmental Damage Issues
InfoSAWIT, SINGAPORE – The palm oil industry plays a strategic role in the Indonesian economy, being the backbone of the country's foreign exchange contributor and providing a significant boost to rural economic development. However, its existence cannot be separated from serious environmental challenges that demand sustainable action.
As quoted by InfoSAWIT from Palm Oil Analytic , the contribution of Indonesian palm oil to the economy is quite significant, as the largest export commodity, palm oil strengthens Indonesia's trade balance with revenues reaching an average of US$ 20 billion per year. High global demand confirms Indonesia's role as a major player in the world palm oil market.
Not to mention that the palm oil industry provides employment opportunities for millions of Indonesians, including small farmers and plantation workers. In addition, through the development of infrastructure in rural areas, such as roads and schools, this industry helps encourage rural development and reduce poverty levels.
However, there are still pressing environmental challenges, such as the issue of deforestation to clear land for oil palm plantations which has caused habitat loss for endemic species, such as orangutans, tigers and elephants. Biodiversity conservation is an urgent necessity to maintain a balanced ecosystem.
“Conversion of land into monoculture plantations threatens biodiversity and ecosystem stability. This affects not only local flora and fauna but also the sustainability of the ecosystem as a whole,” notes Palm Oil Analytic. Read more Infosawit
Lack of catalysts forecast for palm oil sector
PETALING JAYA: Hong Leong Investment Bank Bhd Research (HLIB Research) has maintained its “neutral” call on the plantation sector as the absence of a notable demand catalysts has indicated that current high palm oil price will not be sustainable in the long term.
In a report, HLIB Research said palm oil’s narrower price discount against soy oil is due to impending seasonal output recovery and the lack of demand, among other factors.
The research firm noted the US Department of Agriculture’s National Agricultural Statistics Service’s prospective planting report revealed that US farmers plan to plant 90 million acres of corn and 86.5 million acres of soybean in the planting season.
The projected corn planted area came in slightly below the average trade estimates of 91.8 million acres, while the projected planted area for soybean came in within the average trade estimate.
HLIB Research’s top sector picks are IOI Corp Bhd with a “buy” rating and target price (TP) of RM4.66 a share and Hap Seng Plantations Holdings Bhd with a “buy” rating and a TP of RM2.06. The StarMY
----------
Latin American palm oil exports on the rise
KUALA LUMPUR: The world is facing a growing shortage of its most versatile edible oil. The solution may lie with emerging producers half a world away from South-East Asia’s vast palm oil plantations.
In Malaysia and Indonesia, which today account for the lion’s share of output, the ageing trees carpeting much of the region are becoming less productive.
Meanwhile, labourers are increasingly scarce and controls on land clearing have tightened, making it harder to replant.
It’s a different picture thousands of miles away for new planters in Colombia and Guatemala.
Here, some farmers churn out almost double the amount of oil per hectare compared with their South-East Asian peers.
In addition, to comply with looming European rules to ban imports of crops from newly deforested land, growers are already intensely focused on satellite and geo-location technology to ensure supply chains are fully traceable.
With elevated yields and the capacity to appeal to a wide customer base, free from deforestation concerns, Latin America is emerging as a new frontier for palm oil, increasing competition particularly in Europe.
Farmers in Latin America “have learned from mistakes made by Indonesia and Malaysia when it comes to deforestation,” said Khor Yu Leng, an economist at Segi Enam Advisors, a consultancy in Singapore.
“Short, simple, visible and low-emission supply chains should win in the long game.”
Palm oil exports from Central and South America are climbing. They jumped about 70% in the past decade, compared with an increase of just 14% in global shipments, according to US Department of Agriculture data.
This is a sharp rise even if exports from those regions still make up only 5% of the world total, compared with almost 90% from Indonesia and Malaysia. Read more The StarMY
---------
Palm oil prices expected to be firmer this year - MPOB
KUALA LUMPUR: Crude palm oil (MSM) prices in 2024 are expected to be firmer compared to the previous year with the average price of MSM for one ton being between RM3,900 to RM4,200.
This year, the price of the country's main commodity recorded its highest level of RM4,443 per ton in daily trading on April 3 before dropping to the current level of RM4,300.
Chairman of the Malaysian Palm Oil Board (MPOB), Datuk Dr Ahmad Parveez Ghulam Kadir, said that one of the factors influencing the confirmation of the average MSM price this year is the prospect of limited global palm oil supplies following the implementation of the B35 biodiesel mandate in Indonesia.
Apart from that, he said, it is predicted that the current hot weather conditions will also have an impact on the production of fresh fruit bunches and in turn have an impact on world palm oil supplies. Read more BharianMY
---------
Indonesian Palm Oil Industry Between Economic Contribution and Environmental Damage Issues
InfoSAWIT, SINGAPORE – The palm oil industry plays a strategic role in the Indonesian economy, being the backbone of the country's foreign exchange contributor and providing a significant boost to rural economic development. However, its existence cannot be separated from serious environmental challenges that demand sustainable action.
As quoted by InfoSAWIT from Palm Oil Analytic , the contribution of Indonesian palm oil to the economy is quite significant, as the largest export commodity, palm oil strengthens Indonesia's trade balance with revenues reaching an average of US$ 20 billion per year. High global demand confirms Indonesia's role as a major player in the world palm oil market.
Not to mention that the palm oil industry provides employment opportunities for millions of Indonesians, including small farmers and plantation workers. In addition, through the development of infrastructure in rural areas, such as roads and schools, this industry helps encourage rural development and reduce poverty levels.
However, there are still pressing environmental challenges, such as the issue of deforestation to clear land for oil palm plantations which has caused habitat loss for endemic species, such as orangutans, tigers and elephants. Biodiversity conservation is an urgent necessity to maintain a balanced ecosystem.
“Conversion of land into monoculture plantations threatens biodiversity and ecosystem stability. This affects not only local flora and fauna but also the sustainability of the ecosystem as a whole,” notes Palm Oil Analytic. Read more Infosawit
|
|
|
April 14, 2024
Future of the Most Versatile Food Oil May Lie in Latin America
Anuradha Raghu, Bloomberg News
(Bloomberg) -- The world is facing a growing shortage of its most versatile edible oil. The solution may lie with emerging producers half a world away from Southeast Asia’s vast palm oil plantations.
In Malaysia and Indonesia, which today account for the lion’s share of output, the aging trees carpeting much of the region are becoming less productive. Meanwhile, laborers are increasingly scarce and controls on land clearing have tightened, making it harder to replant.
Read More: Aging Trees Show a Crisis Looms for the World’s Everything Oil
It’s a different picture thousands of miles away for new planters in Colombia and Guatemala. Here, some farmers churn out almost double the amount of oil per hectare compared with their Southeast Asian peers. In addition, to comply with looming European rules to ban imports of crops from newly deforested land, growers are already intensely focused on satellite and geo-location technology to ensure supply chains are fully traceable.
With elevated yields and the capacity to appeal to a wide customer base, free from deforestation concerns, Latin America is emerging as a new frontier for palm oil, increasing competition particularly in Europe.
Farmers in Latin America “have learned from mistakes made by Indonesia and Malaysia when it comes to deforestation,” said Khor Yu Leng, an economist at Segi Enam Advisors, a consultancy in Singapore. “Short, simple, visible and low-emission supply chains should win in the long game.”Read more BNN Bloomberg
----------
The Amazon Rainforest Can Only Be Saved by Harnessing Its Wealth for Local Communities
Over the last few years in particular, there has been large-scale destruction of the Amazon rainforest. The massive scale of destruction has led to questions about what can be done to save and preserve the remaining Amazon rainforest and best ensure that such steps have the backing of the public at large.
BY RICARDO GUSTAV NEUDING
he news is that according to space agency data, the rate of deforestation in the Brazilian Amazon has slowed sharply, falling nearly 50% in 2023 compared to the previous year, is certainly encouraging — yet this is hardly the time to rest on laurels. The steep drop for 2023 is less encouraging when one considers that 2022 saw near-record deforestation. Research published by the World Resources Institute (WRI) revealed that over 4 million hectares of tropical rainforest were lost in 2022 — an area the size of Switzerland.
Deforestation in the Amazon alone accounts for nearly half of global losses. My country, Brazil, is by far the biggest culprit, responsible for 1.4 million of the roughly 2 million hectares razed in the Amazon in 2022– the most significant amount since 2004, which saw the highest rate of deforestation on record. Meanwhile, a recent study has found that in the Amazon and other vital ecosystems, biodiversity and regular rain cycles face an unexpectedly imminent tipping point, with Professor Simon Willock warning that “we could realistically be the last generation to see the Amazon.”
These ecosystems have impacts far beyond their immediate environment. Since they sequester atmospheric carbon dioxide as they grow, these ecosystems are vital for combating climate change.
Reversing this alarming trajectory will require rapid, widespread implementation of conservation-based projects, striking the right balance between socioeconomic benefit and ecological protection that other models cannot provide.
Learning from the failures of the past Read more Fair Observer
---------
Nigeria-Enugu Int’l Trade Fair: Ebonyi Woos Investors With Enabling Business Environment
ENUGU – The Ebonyi State Government has wooed investors to the state with an enticing enabling business environment that guarantees profitability and business growth.
THE state Commissioner for Commerce, Industry and Business Development, Chief Oguzorkanu Offia-Nwali, highlighted what the state was offering would-be investors during the Ebonyi State Special Day at the ongoing 35th Enugu International Trade Fair.
HE said that the serene business environment, which had been luring investors into the state, included the government commitment to providing access good road, electricity and even water to production sites of genuine investors.
According to him “The business environment in the state is so serene that investors troop in to discuss establishment of multinational industries in various economic sectors.
“As a government we do not joke with genuine and serious investors as we provide virtually everything to make them comfortable and kick-off production of goods and services without hitches.”
Offia-Nwali said that the state government had made an impact in trade, investment, human capital development, health, water and sanitation, energy and others through public reforms.
He noted a conducive environment has been created for businesses and Ebonyi State building material market is undergoing total revitalisation. Read more Independent NG
---------
654 Oil Palm Stakeholders Equipped On Sustainable Production Principles
Over 654 stakeholders in the oil palm sub-sector of the agricultural sector have benefitted from the Roundtable on Sustainable Palm Oil (RSPO) training in the South- South geopolitical zone and Abuja.
The training was facilitated by Foremost Development Services Limited (FDS), an intermediary organization for the Roundtable on Sustainable Palm Oil in the nation’s oil palm industry.
The managing consultant and chief executive officer (FDS), Fatai Afolabi, disclosed this at a one-day Community Outreach and Engagement Programme (COEP) for palm oil stakeholders from Cross River, Rivers, Bayelsa, Delta, Edo states, among others.
He said a total of 407 stakeholders were trained during the first engagement programme, which focused on RSPO principles and Criteria 2018, held between February 2023 and July 2023.
“The community outreach programme was designed by RSPO to serve as an interface between the oil palm communities and oil palm companies and growers.”
He said the beneficiaries drawn from local communities include elders, women, youths, community-based organizations and oil palm smallholder farmers, government agencies and oil palm growers.
“Others beneficiaries are NGOs into environmental and social advocacy, civil society organizations, media and financial institutions.” Read more Daily Trust
Future of the Most Versatile Food Oil May Lie in Latin America
Anuradha Raghu, Bloomberg News
(Bloomberg) -- The world is facing a growing shortage of its most versatile edible oil. The solution may lie with emerging producers half a world away from Southeast Asia’s vast palm oil plantations.
In Malaysia and Indonesia, which today account for the lion’s share of output, the aging trees carpeting much of the region are becoming less productive. Meanwhile, laborers are increasingly scarce and controls on land clearing have tightened, making it harder to replant.
Read More: Aging Trees Show a Crisis Looms for the World’s Everything Oil
It’s a different picture thousands of miles away for new planters in Colombia and Guatemala. Here, some farmers churn out almost double the amount of oil per hectare compared with their Southeast Asian peers. In addition, to comply with looming European rules to ban imports of crops from newly deforested land, growers are already intensely focused on satellite and geo-location technology to ensure supply chains are fully traceable.
With elevated yields and the capacity to appeal to a wide customer base, free from deforestation concerns, Latin America is emerging as a new frontier for palm oil, increasing competition particularly in Europe.
Farmers in Latin America “have learned from mistakes made by Indonesia and Malaysia when it comes to deforestation,” said Khor Yu Leng, an economist at Segi Enam Advisors, a consultancy in Singapore. “Short, simple, visible and low-emission supply chains should win in the long game.”Read more BNN Bloomberg
----------
The Amazon Rainforest Can Only Be Saved by Harnessing Its Wealth for Local Communities
Over the last few years in particular, there has been large-scale destruction of the Amazon rainforest. The massive scale of destruction has led to questions about what can be done to save and preserve the remaining Amazon rainforest and best ensure that such steps have the backing of the public at large.
BY RICARDO GUSTAV NEUDING
he news is that according to space agency data, the rate of deforestation in the Brazilian Amazon has slowed sharply, falling nearly 50% in 2023 compared to the previous year, is certainly encouraging — yet this is hardly the time to rest on laurels. The steep drop for 2023 is less encouraging when one considers that 2022 saw near-record deforestation. Research published by the World Resources Institute (WRI) revealed that over 4 million hectares of tropical rainforest were lost in 2022 — an area the size of Switzerland.
Deforestation in the Amazon alone accounts for nearly half of global losses. My country, Brazil, is by far the biggest culprit, responsible for 1.4 million of the roughly 2 million hectares razed in the Amazon in 2022– the most significant amount since 2004, which saw the highest rate of deforestation on record. Meanwhile, a recent study has found that in the Amazon and other vital ecosystems, biodiversity and regular rain cycles face an unexpectedly imminent tipping point, with Professor Simon Willock warning that “we could realistically be the last generation to see the Amazon.”
These ecosystems have impacts far beyond their immediate environment. Since they sequester atmospheric carbon dioxide as they grow, these ecosystems are vital for combating climate change.
Reversing this alarming trajectory will require rapid, widespread implementation of conservation-based projects, striking the right balance between socioeconomic benefit and ecological protection that other models cannot provide.
Learning from the failures of the past Read more Fair Observer
---------
Nigeria-Enugu Int’l Trade Fair: Ebonyi Woos Investors With Enabling Business Environment
ENUGU – The Ebonyi State Government has wooed investors to the state with an enticing enabling business environment that guarantees profitability and business growth.
THE state Commissioner for Commerce, Industry and Business Development, Chief Oguzorkanu Offia-Nwali, highlighted what the state was offering would-be investors during the Ebonyi State Special Day at the ongoing 35th Enugu International Trade Fair.
HE said that the serene business environment, which had been luring investors into the state, included the government commitment to providing access good road, electricity and even water to production sites of genuine investors.
According to him “The business environment in the state is so serene that investors troop in to discuss establishment of multinational industries in various economic sectors.
“As a government we do not joke with genuine and serious investors as we provide virtually everything to make them comfortable and kick-off production of goods and services without hitches.”
Offia-Nwali said that the state government had made an impact in trade, investment, human capital development, health, water and sanitation, energy and others through public reforms.
He noted a conducive environment has been created for businesses and Ebonyi State building material market is undergoing total revitalisation. Read more Independent NG
---------
654 Oil Palm Stakeholders Equipped On Sustainable Production Principles
Over 654 stakeholders in the oil palm sub-sector of the agricultural sector have benefitted from the Roundtable on Sustainable Palm Oil (RSPO) training in the South- South geopolitical zone and Abuja.
The training was facilitated by Foremost Development Services Limited (FDS), an intermediary organization for the Roundtable on Sustainable Palm Oil in the nation’s oil palm industry.
The managing consultant and chief executive officer (FDS), Fatai Afolabi, disclosed this at a one-day Community Outreach and Engagement Programme (COEP) for palm oil stakeholders from Cross River, Rivers, Bayelsa, Delta, Edo states, among others.
He said a total of 407 stakeholders were trained during the first engagement programme, which focused on RSPO principles and Criteria 2018, held between February 2023 and July 2023.
“The community outreach programme was designed by RSPO to serve as an interface between the oil palm communities and oil palm companies and growers.”
He said the beneficiaries drawn from local communities include elders, women, youths, community-based organizations and oil palm smallholder farmers, government agencies and oil palm growers.
“Others beneficiaries are NGOs into environmental and social advocacy, civil society organizations, media and financial institutions.” Read more Daily Trust
|
|
|
April 13, 2024
China's Commerce Minister Chides 'Protectionist' Europe
China's commerce minister on Friday accused the European Commission of pursuing "protectionist" actions at the expense of green initiatives by launching investigations into Chinese subsidies.
"We can't understand how the European Commission on the one hand carries the flag for green sustainable development and on the other hand undertakes protectionist operations," Wang Wentao said at an Italy-China economic forum in Verona.
Brussels this week opened an inquiry into Chinese wind turbine suppliers, looking into the development of wind parks in Spain, Greece, France, Romania and Bulgaria.
The European Union and United States have accused China of flooding the global market with low-cost products from various industries which hurt domestic growth.
The Chinese minister said he found it "perplexing" that the EU commission on sectors like electric cars, solar panels or wind turbine had "taken some actions that are going to block them".
The commission "creates subsidies for European companies while on the other hand opens investigations into subsidies given by China", Wang said, according to an Italian interpreter at the meeting. Read more AFP/ Barrons
---------
Japan’s Idemitsu, Zen-noh tie up on SAF feedstock
Japanese refiner Idemitsu has agreed to collaborate with Zen-noh Grain, a US subsidiary of Japan's national federation of agricultural co-operative associations (Zen-noh), to secure feedstock to produce sustainable aviation fuel (SAF).
Idemitsu will work together with Louisiana-based Zen-noh Grain to establish an SAF supply chain, by developing various types of its feedstocks in North America and bringing some of them to Japan to produce SAF, Idemitsu announced on 11 April.
Under the deal, the companies plan to extract oil from soybeans, which Zen-noh handles in Japan and the US, and process it to SAF by using hydrotreated esters and fatty acids (Hefa) technology. The firms are also aiming to develop other non-edible oilseed feedstocks, such as camelina sativa, carinata and winter rapeseed, as off-season soybean crops in North America, while studying possible uses for the leftover residue after extraction of oil from pongamia in Japan. Read more Argus Media
---------
Cameroon exported 657.3 tons of palm oil in 2022, despite production shortfall
(Business in Cameroon) - Cameroon, grappling with a chronic shortage of palm oil production, exported 657.3 tons of the commodity in 2022. This export generated about 713.6 million, marking a significant decline from 2021 when exports reached 4,073.7 tons and brought in revenues of CFA3.6 billion, data from the National Institute of Statistics (INS) shows.
The decrease in exports reflects a worsening production deficit, compounded by the increasing number of palm oil refineries and soap factories within the country. The Association of Oilseed Refiners of Cameroon (Asroc) has noted that the structural production deficit escalated from 130,000 tons in 2020 to 160,000 tons in 2022.
Emmanuel Koulou Ada, President of the Oilseed Sector Regulatory Committee, frequently addresses misconceptions about this deficit. "The structural deficit we often refer to is nominal, differing from the actual deficit. It is calculated based on 50% of the processing companies' capacities. When considering the real capacities of processors, the deficit is substantially larger," Ada explained.
To mitigate this structural shortfall and ensure the availability of crude palm oil for household use, Cameroon has resorted to importing palm oil under reduced tariff rates to satisfy industrial needs. Business In Cameroon
---------
RSPO Initiative in Indonesia, Accelerating Sustainable Palm Oil Practices Involving Farmers and a Number of Regional Governments
InfoSAWIT, JAKARTA – In an effort to encourage sustainable palm oil practices in Indonesia, it seems that the multi-stakeholder non-profit organization Roundtable on Sustainable Palm Oil (RSPO) is not only working alone, but also collaborating with various parties in Indonesia. In fact, cooperation to encourage sustainable palm oil practices also involves several regional governments (Pemda).
For example, several initiatives that have been carried out include collaboration between the RSPO and the Jambi Provincial and Regency Governments to increase the inclusion of oil palm farmers through ISPO certification to certify more than 1,100 small oil palm farmers.
It is noted that the RSPO also collaborates with the Ministry of Cooperatives and SMEs (Small and Medium Enterprises) in several programs aimed at strengthening and developing independent small farmer cooperatives. Read more Infosawit
China's Commerce Minister Chides 'Protectionist' Europe
China's commerce minister on Friday accused the European Commission of pursuing "protectionist" actions at the expense of green initiatives by launching investigations into Chinese subsidies.
"We can't understand how the European Commission on the one hand carries the flag for green sustainable development and on the other hand undertakes protectionist operations," Wang Wentao said at an Italy-China economic forum in Verona.
Brussels this week opened an inquiry into Chinese wind turbine suppliers, looking into the development of wind parks in Spain, Greece, France, Romania and Bulgaria.
The European Union and United States have accused China of flooding the global market with low-cost products from various industries which hurt domestic growth.
The Chinese minister said he found it "perplexing" that the EU commission on sectors like electric cars, solar panels or wind turbine had "taken some actions that are going to block them".
The commission "creates subsidies for European companies while on the other hand opens investigations into subsidies given by China", Wang said, according to an Italian interpreter at the meeting. Read more AFP/ Barrons
---------
Japan’s Idemitsu, Zen-noh tie up on SAF feedstock
Japanese refiner Idemitsu has agreed to collaborate with Zen-noh Grain, a US subsidiary of Japan's national federation of agricultural co-operative associations (Zen-noh), to secure feedstock to produce sustainable aviation fuel (SAF).
Idemitsu will work together with Louisiana-based Zen-noh Grain to establish an SAF supply chain, by developing various types of its feedstocks in North America and bringing some of them to Japan to produce SAF, Idemitsu announced on 11 April.
Under the deal, the companies plan to extract oil from soybeans, which Zen-noh handles in Japan and the US, and process it to SAF by using hydrotreated esters and fatty acids (Hefa) technology. The firms are also aiming to develop other non-edible oilseed feedstocks, such as camelina sativa, carinata and winter rapeseed, as off-season soybean crops in North America, while studying possible uses for the leftover residue after extraction of oil from pongamia in Japan. Read more Argus Media
---------
Cameroon exported 657.3 tons of palm oil in 2022, despite production shortfall
(Business in Cameroon) - Cameroon, grappling with a chronic shortage of palm oil production, exported 657.3 tons of the commodity in 2022. This export generated about 713.6 million, marking a significant decline from 2021 when exports reached 4,073.7 tons and brought in revenues of CFA3.6 billion, data from the National Institute of Statistics (INS) shows.
The decrease in exports reflects a worsening production deficit, compounded by the increasing number of palm oil refineries and soap factories within the country. The Association of Oilseed Refiners of Cameroon (Asroc) has noted that the structural production deficit escalated from 130,000 tons in 2020 to 160,000 tons in 2022.
Emmanuel Koulou Ada, President of the Oilseed Sector Regulatory Committee, frequently addresses misconceptions about this deficit. "The structural deficit we often refer to is nominal, differing from the actual deficit. It is calculated based on 50% of the processing companies' capacities. When considering the real capacities of processors, the deficit is substantially larger," Ada explained.
To mitigate this structural shortfall and ensure the availability of crude palm oil for household use, Cameroon has resorted to importing palm oil under reduced tariff rates to satisfy industrial needs. Business In Cameroon
---------
RSPO Initiative in Indonesia, Accelerating Sustainable Palm Oil Practices Involving Farmers and a Number of Regional Governments
InfoSAWIT, JAKARTA – In an effort to encourage sustainable palm oil practices in Indonesia, it seems that the multi-stakeholder non-profit organization Roundtable on Sustainable Palm Oil (RSPO) is not only working alone, but also collaborating with various parties in Indonesia. In fact, cooperation to encourage sustainable palm oil practices also involves several regional governments (Pemda).
For example, several initiatives that have been carried out include collaboration between the RSPO and the Jambi Provincial and Regency Governments to increase the inclusion of oil palm farmers through ISPO certification to certify more than 1,100 small oil palm farmers.
It is noted that the RSPO also collaborates with the Ministry of Cooperatives and SMEs (Small and Medium Enterprises) in several programs aimed at strengthening and developing independent small farmer cooperatives. Read more Infosawit
|
|
|
April 12, 2024
Indonesia’s growth momentum hinges on export recovery
Indonesia is expected to post robust growth this year, but much still hinges on the export sector’s recovery
Recent growth pace has returned to pre-Covid norm
Indonesia's economy grew by 5.05% in 2023, with growth returning to the pre-Covid norm of roughly 5% of expansion. Household consumption remained a key support for overall economic activity, delivering a healthy 4.5% year-on-year gain, while government spending also managed to contribute to the rise in economic activity. Meanwhile, capital formation was a modest surprise as it managed to expand despite elevated borrowing costs. On the other hand, net exports delivered a less potent push with global demand for the country’s exports waning.
We predict that growth will remain positive this year, slightly above average at 5.2% YoY. The recent intensification of global headwinds, however, could pare this estimate closer to the pre-Covid average of roughly 5% YoY should threats prove persistent. Read more ING Think
---------
Graphjet Technology to build new facility in Nevada
The Malaysia-based company converts palm kernel material into battery-grade artificial graphite.
Graphjet Technology, a developer of patented technologies to produce graphite and graphene directly from palm kernel material, says it plans to build a commercial artificial graphite production facility in Nevada.
The company currently is evaluating a specific location for the facility and says it will sit on approximately 21 acres and create about 500 jobs. It says it expects to commission and begin production at the new facility in 2026.
Graphjet, headquartered in Kuala Lumpur, Malaysia, says the Nevada plant is expected to be capable of recycling up to 30,000 tons of palm kernel material equivalent to produce up to 10,000 metric tons of battery-grade artificial graphite per year, adding that this level of production is expected to be able to support the production of enough batteries to power more than 100,000 electric vehicles (EVs) per year. The company notes that the palm kernel material it uses is widely abundant in Malaysia and Indonesia and is typically landfilled, turned into fertilizer or burned to generate electricity for power plants.
For now, Graphjet co-founder and CEO Aiden Lee tells Recycling Today the plan is to focus on sourcing this material from Malaysia for its feedstock given its cost-effectiveness and ability to reduce the company’s carbon footprint, though it has experimented with other types of feedstock. Read more Recycling Today
----------
Import duties for Russian food commodities fueling de-industrialisation of EU
The Commission proposal on import levies for agricultural products exported from Russia will
deliver a serious blow to the viability of the EU companies that process linseeds.
Extensively grown, linseed production is unprofitable for EU farmers. The EU hence only
produces an utmost 15% of it needs of more than 700.000 tons per year, for this versatile
oilseed. After the Triffid GMO contamination of Canadian linseeds and the subsequent
import stop of Canadian linseeds in the EU in 2009, over the last decade Russia has become
the world-leading producer of linseeds. In 2023, its exports accounted for more than 60% of
EU linseed imports. The proposed 50% import levy on linseeds exported from Russia will
deprive the EU linseed processors of their competitivity on the global linseed oil market.
Linseed processors in Russia, Kazakhstan and China will benefit from this and take over the
global world market for linseed oil, including a part of the EU market for that oil.
As opposed to other agricultural commodities, for linseed in particular there are not
sufficient alternative sources the European linseed processing industry can rely on.
Canada has been facing a record low sowing of linseeds. The Canadian linseed crop of in
2023 (272,000 ton) was the lowest in last decades, almost half of which is destinated for the
USA and based on a survey of StatsCan, the expectations for the Canadian linseed crop in
2024 are similar. Canadian supply will hence not be able to alleviate the cost-price
disadvantage of the EU linseed processors compared to their eastern competitors.
Should the proposal become reality, a business of family-owned companies mainly located in
Belgium, industrial linseed processing in the EU will most likely severely diminish and its
business strategy will be forced to switch to survival mode. Read more FEDIOL
---------
HGK Shipping welcomes the approval for HVO100
HGK Shipping is supporting the German government’s decision to approve the alternative fuel - HVO100.
Europe’s largest inland waterway shipping company believes that this provides an opportunity to press ahead with decarbonising this mode of transport in the medium term.
European inland waterway shipping companies face high investment costs for new drive systems for vessels
The sector with approximately 13,000 vessels is not large enough for the manufacturers to be able to initiate or call for appropriate developments in this field.
HGK Shipping believes that fuelling vessels with HVO can represent a sensible interim solution for inland waterway shipping.
However, the company is calling for subsidies for the increased costs of the fuel until market mechanisms have regulated the price for HVO100 to match the level of traditional diesel. Steffen Bauer, CEO of HGK Shipping, said: “The go-ahead provided by the government in Berlin for its use is an important incentive for mobility in Germany – and this also applies to inland waterway shipping, which is very climate-friendly anyway. That’s why we’re going to use HVO100 straightaway.”
HGK Shipping has already purchased quotas of the biofuel to be able to exclusively operate parts of its fleet with HVO100 in future. No technical modification is necessary to use the fuel, which is obtained from non-fossil sources, even for fairly old drive systems. Read more Biofuels News
Indonesia’s growth momentum hinges on export recovery
Indonesia is expected to post robust growth this year, but much still hinges on the export sector’s recovery
Recent growth pace has returned to pre-Covid norm
Indonesia's economy grew by 5.05% in 2023, with growth returning to the pre-Covid norm of roughly 5% of expansion. Household consumption remained a key support for overall economic activity, delivering a healthy 4.5% year-on-year gain, while government spending also managed to contribute to the rise in economic activity. Meanwhile, capital formation was a modest surprise as it managed to expand despite elevated borrowing costs. On the other hand, net exports delivered a less potent push with global demand for the country’s exports waning.
We predict that growth will remain positive this year, slightly above average at 5.2% YoY. The recent intensification of global headwinds, however, could pare this estimate closer to the pre-Covid average of roughly 5% YoY should threats prove persistent. Read more ING Think
---------
Graphjet Technology to build new facility in Nevada
The Malaysia-based company converts palm kernel material into battery-grade artificial graphite.
Graphjet Technology, a developer of patented technologies to produce graphite and graphene directly from palm kernel material, says it plans to build a commercial artificial graphite production facility in Nevada.
The company currently is evaluating a specific location for the facility and says it will sit on approximately 21 acres and create about 500 jobs. It says it expects to commission and begin production at the new facility in 2026.
Graphjet, headquartered in Kuala Lumpur, Malaysia, says the Nevada plant is expected to be capable of recycling up to 30,000 tons of palm kernel material equivalent to produce up to 10,000 metric tons of battery-grade artificial graphite per year, adding that this level of production is expected to be able to support the production of enough batteries to power more than 100,000 electric vehicles (EVs) per year. The company notes that the palm kernel material it uses is widely abundant in Malaysia and Indonesia and is typically landfilled, turned into fertilizer or burned to generate electricity for power plants.
For now, Graphjet co-founder and CEO Aiden Lee tells Recycling Today the plan is to focus on sourcing this material from Malaysia for its feedstock given its cost-effectiveness and ability to reduce the company’s carbon footprint, though it has experimented with other types of feedstock. Read more Recycling Today
----------
Import duties for Russian food commodities fueling de-industrialisation of EU
The Commission proposal on import levies for agricultural products exported from Russia will
deliver a serious blow to the viability of the EU companies that process linseeds.
Extensively grown, linseed production is unprofitable for EU farmers. The EU hence only
produces an utmost 15% of it needs of more than 700.000 tons per year, for this versatile
oilseed. After the Triffid GMO contamination of Canadian linseeds and the subsequent
import stop of Canadian linseeds in the EU in 2009, over the last decade Russia has become
the world-leading producer of linseeds. In 2023, its exports accounted for more than 60% of
EU linseed imports. The proposed 50% import levy on linseeds exported from Russia will
deprive the EU linseed processors of their competitivity on the global linseed oil market.
Linseed processors in Russia, Kazakhstan and China will benefit from this and take over the
global world market for linseed oil, including a part of the EU market for that oil.
As opposed to other agricultural commodities, for linseed in particular there are not
sufficient alternative sources the European linseed processing industry can rely on.
Canada has been facing a record low sowing of linseeds. The Canadian linseed crop of in
2023 (272,000 ton) was the lowest in last decades, almost half of which is destinated for the
USA and based on a survey of StatsCan, the expectations for the Canadian linseed crop in
2024 are similar. Canadian supply will hence not be able to alleviate the cost-price
disadvantage of the EU linseed processors compared to their eastern competitors.
Should the proposal become reality, a business of family-owned companies mainly located in
Belgium, industrial linseed processing in the EU will most likely severely diminish and its
business strategy will be forced to switch to survival mode. Read more FEDIOL
---------
HGK Shipping welcomes the approval for HVO100
HGK Shipping is supporting the German government’s decision to approve the alternative fuel - HVO100.
Europe’s largest inland waterway shipping company believes that this provides an opportunity to press ahead with decarbonising this mode of transport in the medium term.
European inland waterway shipping companies face high investment costs for new drive systems for vessels
The sector with approximately 13,000 vessels is not large enough for the manufacturers to be able to initiate or call for appropriate developments in this field.
HGK Shipping believes that fuelling vessels with HVO can represent a sensible interim solution for inland waterway shipping.
However, the company is calling for subsidies for the increased costs of the fuel until market mechanisms have regulated the price for HVO100 to match the level of traditional diesel. Steffen Bauer, CEO of HGK Shipping, said: “The go-ahead provided by the government in Berlin for its use is an important incentive for mobility in Germany – and this also applies to inland waterway shipping, which is very climate-friendly anyway. That’s why we’re going to use HVO100 straightaway.”
HGK Shipping has already purchased quotas of the biofuel to be able to exclusively operate parts of its fleet with HVO100 in future. No technical modification is necessary to use the fuel, which is obtained from non-fossil sources, even for fairly old drive systems. Read more Biofuels News
|
|
|
April 10, 2024
Deforestation unrest: EU policy implementation hangs in the balance after industry pushback
The European Union Deforestation Regulation (EUDR) is facing major pushback from ministers and trade organisations within Europe, alongside continued pressure from palm oil producer nations in Asia, casting doubt on hopes for a smooth implementation.
The EUDR has long been facing major opposition and protests from producer nations of commodities such as palm oil and cocoa.
And now EU Commission (EC) is facing mounting challenges from within Europe itself.
On March 28 this year, an industry-wide cross-commodity letter was addressed to EC President of the Council for Environment and Minister for the Climate, the Environment, Sustainable Development and the Green Deal of Belgium Zakia Khattabi, calling for ‘urgent clarifications and workable solutions’ on EUDR implementation.
This was signed by a coalition of more than 20 European industry organisations spanning many areas of trade, including representatives on food trade in cereals, oils, rice, livestock, meat and more – all highlighting concerns over the upcoming enforcement in December 2024. Read more Food Navigator Asia
---------
Malaysia Expands Palm Oil Research Institute to China
InfoSAWIT, SHANGHAI – General manager of the Palm Oil Research and Technical Service Institute of Malaysian Palm Oil Board (Portsim), Yoong Jun Hao said that the research institute has received accreditation from the Chinese government, namely China National Accreditation Services (CNAS) and the China Inspection Body and Laboratory Mandatory Approval (CMA).
For your information, Portsim, founded in 2005, is the representative of the Malaysian Palm Oil Board (MPOB) in China which aims to develop, expand and advance the Malaysian palm oil market in China as well as providing technical support and consulting services for related companies.
"This is an acknowledgment to our laboratory that we have also fulfilled all the requirements for both standards and quality according to Chinese government regulations," he said as reported by Bernama.
Yoong Jun Hao further said, Portsim is here to help serve the industry by expanding their market to segments with higher added value in China by selling more downstream products made with Malaysian palm oil products through research and development and commercialization activities.
“Through this, we can help our industry shift to the downstream segment to produce more value-added products, and this will help gain loyal customers in China and, at the same time, help our country to further expand the palm oil market us,” he said. (T2) Infosawit
----------
European Fatty Alcohol Prices Witness Buoyancy Amid Bullish Raw Materials Prices in Early Q2 2024
Hamburg, (Germany): Throughout March 2024, the prices of Fatty Alcohol have remained high in the European market. The increasing prices of upstream Palm Oil amid constrained production in key manufacturing nations, Indonesia and Malaysia, have led to higher manufacturing costs for downstream derivatives, including Fatty Alcohol. Additionally, elevated interest rates, labor disputes, and growth concerns in Germany's industrial landscape have been raising questions about the nation's economic future. Strikes and economic uncertainty are casting a shadow over the outlook, with broader implications for Germany's economy, pressuring market sentiments for Fatty Alcohol.
The ChemAnalyst database has shown that the prices of Fatty Alcohol increased by USD 20 per ton in the week ending April 5th, 2024 as compared to the previous week. Along with rising upstream Palm Oil prices, the reduced operating rates of Fatty Alcohol manufacturing firms have also exerted supply-side pressure on the market fundamentals of Fatty Alcohol, which has led to bullish market sentiments. Considering the input energy material required for Fatty Alcohol production, European gas prices have dropped to levels last seen before February 2022, hitting a three-year low in February 2024. This decline is attributed to mild weather and increased renewable power output, which has lowered gas demand and reduced the need to withdraw gas from storage. According to the data from Gas Infrastructure Europe, Europe's gas reserves are also currently 59% full, marking a record high for this time of year.
Furthermore, The Malaysian Palm Oil Council (MPOC) expects Crude Palm Oil (CPO) prices to decline to the RM 3,800 to RM 4,000 per tonne range in April 2024, down from the current RM 4,250 per tonne level. This forecast is based on the gradual seasonal recovery of palm oil production in Malaysia. With the end of the low season for production in March, palm oil prices could start to reflect the increased production and inventory levels in April and May, which might limit further price increases, easing the manufacturing costs of downstream Fatty Alcohol. Read more ChemAnalyst
Deforestation unrest: EU policy implementation hangs in the balance after industry pushback
The European Union Deforestation Regulation (EUDR) is facing major pushback from ministers and trade organisations within Europe, alongside continued pressure from palm oil producer nations in Asia, casting doubt on hopes for a smooth implementation.
The EUDR has long been facing major opposition and protests from producer nations of commodities such as palm oil and cocoa.
And now EU Commission (EC) is facing mounting challenges from within Europe itself.
On March 28 this year, an industry-wide cross-commodity letter was addressed to EC President of the Council for Environment and Minister for the Climate, the Environment, Sustainable Development and the Green Deal of Belgium Zakia Khattabi, calling for ‘urgent clarifications and workable solutions’ on EUDR implementation.
This was signed by a coalition of more than 20 European industry organisations spanning many areas of trade, including representatives on food trade in cereals, oils, rice, livestock, meat and more – all highlighting concerns over the upcoming enforcement in December 2024. Read more Food Navigator Asia
---------
Malaysia Expands Palm Oil Research Institute to China
InfoSAWIT, SHANGHAI – General manager of the Palm Oil Research and Technical Service Institute of Malaysian Palm Oil Board (Portsim), Yoong Jun Hao said that the research institute has received accreditation from the Chinese government, namely China National Accreditation Services (CNAS) and the China Inspection Body and Laboratory Mandatory Approval (CMA).
For your information, Portsim, founded in 2005, is the representative of the Malaysian Palm Oil Board (MPOB) in China which aims to develop, expand and advance the Malaysian palm oil market in China as well as providing technical support and consulting services for related companies.
"This is an acknowledgment to our laboratory that we have also fulfilled all the requirements for both standards and quality according to Chinese government regulations," he said as reported by Bernama.
Yoong Jun Hao further said, Portsim is here to help serve the industry by expanding their market to segments with higher added value in China by selling more downstream products made with Malaysian palm oil products through research and development and commercialization activities.
“Through this, we can help our industry shift to the downstream segment to produce more value-added products, and this will help gain loyal customers in China and, at the same time, help our country to further expand the palm oil market us,” he said. (T2) Infosawit
----------
European Fatty Alcohol Prices Witness Buoyancy Amid Bullish Raw Materials Prices in Early Q2 2024
Hamburg, (Germany): Throughout March 2024, the prices of Fatty Alcohol have remained high in the European market. The increasing prices of upstream Palm Oil amid constrained production in key manufacturing nations, Indonesia and Malaysia, have led to higher manufacturing costs for downstream derivatives, including Fatty Alcohol. Additionally, elevated interest rates, labor disputes, and growth concerns in Germany's industrial landscape have been raising questions about the nation's economic future. Strikes and economic uncertainty are casting a shadow over the outlook, with broader implications for Germany's economy, pressuring market sentiments for Fatty Alcohol.
The ChemAnalyst database has shown that the prices of Fatty Alcohol increased by USD 20 per ton in the week ending April 5th, 2024 as compared to the previous week. Along with rising upstream Palm Oil prices, the reduced operating rates of Fatty Alcohol manufacturing firms have also exerted supply-side pressure on the market fundamentals of Fatty Alcohol, which has led to bullish market sentiments. Considering the input energy material required for Fatty Alcohol production, European gas prices have dropped to levels last seen before February 2022, hitting a three-year low in February 2024. This decline is attributed to mild weather and increased renewable power output, which has lowered gas demand and reduced the need to withdraw gas from storage. According to the data from Gas Infrastructure Europe, Europe's gas reserves are also currently 59% full, marking a record high for this time of year.
Furthermore, The Malaysian Palm Oil Council (MPOC) expects Crude Palm Oil (CPO) prices to decline to the RM 3,800 to RM 4,000 per tonne range in April 2024, down from the current RM 4,250 per tonne level. This forecast is based on the gradual seasonal recovery of palm oil production in Malaysia. With the end of the low season for production in March, palm oil prices could start to reflect the increased production and inventory levels in April and May, which might limit further price increases, easing the manufacturing costs of downstream Fatty Alcohol. Read more ChemAnalyst
|
|
|
April 09, 2024
NEARLY TWO DECADES ON, EUROPE CONTINUES TO DRIVE GLOBAL DEMAND FOR RSPO CERTIFIED PALM OIL
KUALA LUMPUR, Malaysia, April 8, 2024 /PRNewswire/ -- Nearly two decades ago, the European market marked a milestone in the global trade of palm oil when a shipment of barrels bearing the Roundtable on Sustainable Palm Oil (RSPO) trademark arrived in Rotterdam, the Netherlands on 11 November 2008. The shipment, originating from Malaysia, contained the world's first cargo of certified sustainable palm oil (CSPO).
Encouraged by a strong sentiment across the European market in the early 2000s advocating for more sustainably sourced palm products, several actors came together to strategically set the parameters for the sustainable production of palm oil.
As the first palm oil grower to have all of its operations certified in 2008, United Plantations (UP) in Malaysia produced the first shipment of RSPO CSPO, which was imported by AarhusKarlhamn (AAK), United Kingdom. Among the first buyers of CSPO were Sainsbury's Supermarkets Ltd. and Unilever NV.
Since then, RSPO has seen membership increase from 500 members in 2010 to nearly 6,000 in 2024, with Europe accounting for 2,854. In 2022, a total of 2,788,061 MT of RSPO CSPO entered the European market. Europe remains the largest buyer (45%) of CSPO and has been a catalyst in leading the global market transformation. Read more PR Newswire
---------
It’s the 20th anniversary of palm oil watchdog RSPO – but 20 years of failure is nothing to celebrate
Today (8 April), the Roundtable on Sustainable Palm Oil (RPSO) – the main voluntary certification scheme for palm oil – will be 20-years-old.
The industry watchdog is meant to assure consumers that palm oil bearing its stamp of approval is free from environmental or social violations.
These include forests not being cleared, workers not being abused and indigenous peoples’ lands not being taken over – problems which nevertheless continue to happen.
In the UK, all the major supermarkets use the RSPO to ensure the palm oil that they sell is sustainable.
But 20 years on from when it started, the RSPO is still failing to ensure the palm oil it certifies is actually sustainable and adheres to the standards consumers would expect, such as being free from forced labour or not endangering the habitats of threatened species such as orangutans through deforestation.
In the meantime, the EU has adopted a new law – the EU Deforestation Regulation (EUDR) – which will come into effect at the end of 2024 and for which EIA has long campaigned. The Regulation requires companies placing palm oil (and other commodities) on the EU market to ensure they have not been produced illegally or caused deforestation post-2020. Read more EIA
---------
POSCO INTERNATIONAL’s Palm Business, Growing as a Core Business after 13 Years of Continuous Growth
Produced 208,000 tons of palm oil in 2023, the largest amount in its history since entering the business in 2011
Now striving to expand the value chain by jointly entering the palm oil refining business
Producing palm oil in accordance with environmental standards required by the international community
POSCO INTERNATIONAL announced that its palm business has become a major source of revenue for the company, with sales of USD 163.6 million (approximately KRW 213.8 billion) and operating profit of USD 52.56 million (approximately KRW 68.6 billion) last year.
Since beginning its farm plantation development in Papua, Indonesia, in 2011, the company started commercial production in 2016 and is on the right track, achieving its largest production volume of 208,000 tons in 2023.
Its PT.BIA corporation, the locally established company to run the farm business, turned profitable in 2018 and recorded sales of USD 44.82 million and operating profit of USD 6.35 million in 2019. In particular, in 2022, the company achieved record sales of KRW 219.6 billion and operating profit of KRW 102.2 billion for the year due to higher selling prices caused by rising oil prices and supply chain disruptions from the war in Ukraine. Until last year, the average annual profit margin of the palm business was 33%, contributing significantly to the improvement of
the company’s operating profit margin. Read more POSCO
---------
Malaysia-VDR deadline extension insufficient, say bosses
PETALING JAYA: Despite a three-week extension for Visa with Reference (VDR) applications for employers to use up existing quotas, stakeholders say a fresh quota is needed to address the shortage of workers.
Malaysian Palm Oil Association chief executive officer Joseph Tek Choon Yee said the plantation industry needs about 40,000 foreign workers.
“Almost all players in the plantation industry have fully utilised their quota and applied for a Calling Visa, and the deadline to bring them in is May 31.
“We are facing zero quota availability issues and need urgent replenishment. Thus, the additional time to apply for VDR is not applicable to us. The key issue is the dire requirement of new quotas to bring in new workers to replace those who have left,” he said when contacted. Read more The StarMY
---------
Nextgreen partners IOI Corp for RM600m paper pulp project, expects RM300m revenue by 2026
KUALA LUMPUR (April 8): Nextgreen Global Bhd on Monday signed a shareholders' agreement with IOI Corp Bhd to develop a paper pulp plant in Pahang which may contribute over RM300 million in revenue by 2026.
The RM600 million paper pulp production facility will be developed and operated by a new joint venture company to be incorporated following the shareholders' agreement. Nextgreen will hold a 55% stake in the joint venture Nextgreen IOI Pulp Sdn Bhd, and IOI Corp will hold the remaining 45%.
The plant will have an initial annual capacity of 100,000 tonnes of chemical bleached pulp made from oil palm empty fruit bunches (EFB). The EFB, which will be supplied by IOI Corp, is a byproduct waste from oil palm industries that is typically unutilised.
The venture will transform the agricultural waste into green and sustainable products such as wood-free paper, tissue paper, packaging paper and pulp-moulded packaging.
Nextgreen managing director Datuk Lim Thiam Huat said the company has secured a buyer, Japan-based paper pulp trader Marubeni Corp, for its first 100,000 tonnes to be produced by the joint venture when the plant starts production in 2026.
"We have actually gotten the letter of intent from Marubeni for the paper pulp offtaker,” he said at a press conference following the signing ceremony. “But at the same time, this will not limit us from going further to [engage with] customers from China as well.” Read more IOI Group
NEARLY TWO DECADES ON, EUROPE CONTINUES TO DRIVE GLOBAL DEMAND FOR RSPO CERTIFIED PALM OIL
KUALA LUMPUR, Malaysia, April 8, 2024 /PRNewswire/ -- Nearly two decades ago, the European market marked a milestone in the global trade of palm oil when a shipment of barrels bearing the Roundtable on Sustainable Palm Oil (RSPO) trademark arrived in Rotterdam, the Netherlands on 11 November 2008. The shipment, originating from Malaysia, contained the world's first cargo of certified sustainable palm oil (CSPO).
Encouraged by a strong sentiment across the European market in the early 2000s advocating for more sustainably sourced palm products, several actors came together to strategically set the parameters for the sustainable production of palm oil.
As the first palm oil grower to have all of its operations certified in 2008, United Plantations (UP) in Malaysia produced the first shipment of RSPO CSPO, which was imported by AarhusKarlhamn (AAK), United Kingdom. Among the first buyers of CSPO were Sainsbury's Supermarkets Ltd. and Unilever NV.
Since then, RSPO has seen membership increase from 500 members in 2010 to nearly 6,000 in 2024, with Europe accounting for 2,854. In 2022, a total of 2,788,061 MT of RSPO CSPO entered the European market. Europe remains the largest buyer (45%) of CSPO and has been a catalyst in leading the global market transformation. Read more PR Newswire
---------
It’s the 20th anniversary of palm oil watchdog RSPO – but 20 years of failure is nothing to celebrate
Today (8 April), the Roundtable on Sustainable Palm Oil (RPSO) – the main voluntary certification scheme for palm oil – will be 20-years-old.
The industry watchdog is meant to assure consumers that palm oil bearing its stamp of approval is free from environmental or social violations.
These include forests not being cleared, workers not being abused and indigenous peoples’ lands not being taken over – problems which nevertheless continue to happen.
In the UK, all the major supermarkets use the RSPO to ensure the palm oil that they sell is sustainable.
But 20 years on from when it started, the RSPO is still failing to ensure the palm oil it certifies is actually sustainable and adheres to the standards consumers would expect, such as being free from forced labour or not endangering the habitats of threatened species such as orangutans through deforestation.
In the meantime, the EU has adopted a new law – the EU Deforestation Regulation (EUDR) – which will come into effect at the end of 2024 and for which EIA has long campaigned. The Regulation requires companies placing palm oil (and other commodities) on the EU market to ensure they have not been produced illegally or caused deforestation post-2020. Read more EIA
---------
POSCO INTERNATIONAL’s Palm Business, Growing as a Core Business after 13 Years of Continuous Growth
Produced 208,000 tons of palm oil in 2023, the largest amount in its history since entering the business in 2011
Now striving to expand the value chain by jointly entering the palm oil refining business
Producing palm oil in accordance with environmental standards required by the international community
POSCO INTERNATIONAL announced that its palm business has become a major source of revenue for the company, with sales of USD 163.6 million (approximately KRW 213.8 billion) and operating profit of USD 52.56 million (approximately KRW 68.6 billion) last year.
Since beginning its farm plantation development in Papua, Indonesia, in 2011, the company started commercial production in 2016 and is on the right track, achieving its largest production volume of 208,000 tons in 2023.
Its PT.BIA corporation, the locally established company to run the farm business, turned profitable in 2018 and recorded sales of USD 44.82 million and operating profit of USD 6.35 million in 2019. In particular, in 2022, the company achieved record sales of KRW 219.6 billion and operating profit of KRW 102.2 billion for the year due to higher selling prices caused by rising oil prices and supply chain disruptions from the war in Ukraine. Until last year, the average annual profit margin of the palm business was 33%, contributing significantly to the improvement of
the company’s operating profit margin. Read more POSCO
---------
Malaysia-VDR deadline extension insufficient, say bosses
PETALING JAYA: Despite a three-week extension for Visa with Reference (VDR) applications for employers to use up existing quotas, stakeholders say a fresh quota is needed to address the shortage of workers.
Malaysian Palm Oil Association chief executive officer Joseph Tek Choon Yee said the plantation industry needs about 40,000 foreign workers.
“Almost all players in the plantation industry have fully utilised their quota and applied for a Calling Visa, and the deadline to bring them in is May 31.
“We are facing zero quota availability issues and need urgent replenishment. Thus, the additional time to apply for VDR is not applicable to us. The key issue is the dire requirement of new quotas to bring in new workers to replace those who have left,” he said when contacted. Read more The StarMY
---------
Nextgreen partners IOI Corp for RM600m paper pulp project, expects RM300m revenue by 2026
KUALA LUMPUR (April 8): Nextgreen Global Bhd on Monday signed a shareholders' agreement with IOI Corp Bhd to develop a paper pulp plant in Pahang which may contribute over RM300 million in revenue by 2026.
The RM600 million paper pulp production facility will be developed and operated by a new joint venture company to be incorporated following the shareholders' agreement. Nextgreen will hold a 55% stake in the joint venture Nextgreen IOI Pulp Sdn Bhd, and IOI Corp will hold the remaining 45%.
The plant will have an initial annual capacity of 100,000 tonnes of chemical bleached pulp made from oil palm empty fruit bunches (EFB). The EFB, which will be supplied by IOI Corp, is a byproduct waste from oil palm industries that is typically unutilised.
The venture will transform the agricultural waste into green and sustainable products such as wood-free paper, tissue paper, packaging paper and pulp-moulded packaging.
Nextgreen managing director Datuk Lim Thiam Huat said the company has secured a buyer, Japan-based paper pulp trader Marubeni Corp, for its first 100,000 tonnes to be produced by the joint venture when the plant starts production in 2026.
"We have actually gotten the letter of intent from Marubeni for the paper pulp offtaker,” he said at a press conference following the signing ceremony. “But at the same time, this will not limit us from going further to [engage with] customers from China as well.” Read more IOI Group
|
|
|
April 07, 2024
Following Asian Countries’ Leads, Climate Action Opportunity for Developing Nations
OSLO, Norway, Apr 06 (IPS) - In the deserts of Gujarat, something remarkable is happening. On my recent visit i saw hundreds of trucks moving under the warm Indian sun. Thousands of hardworking young people from all corners of Bharat, as Indians now often call their nation, are turning around the previously empty and harsh landscape.
This is where the world’s largest combined solar and wind plant is coming up.
When completed, it will produce 30 gigawatt of wonderful clean and green energy. That is as much as the total hydropower production of my home country Norway. We are 100% fueled by hydro in our net, a rich nation in a cold climate, consuming far too much energy.
The Gujarat miracle is the work of the Adani Group. Gautam Adani told me his moving personal story. They were eight siblings living with parents in one room in Ahmedabad. There was no electricity so if he wished to study after dark he had to go outdoors, reading under the street lamps. At the age of 14, he left home and started business. Now he is one of the richest in India and very high on the global list also.
Gautam Adani made a lot of money in coal. Now he has enormous ambitions for renewables, supporting the policies of his friend prime minister Narendra Modi, turning the world’s largest nation - from grey to green. Adani is about delivery, not just talk.
Move on to Indonesia.
Last year, the second largest rain forest nation saw close to zero deforestation, an enormous service to Mother Earth. It happened because the Indonesian government put in place all the right policies for forest conservation and because Indonesian big business realized they can do fine without deforestation. Read more Global Issues
----------
ASEAN must have own economic forum to break Western stranglehold on narratives
ASEAN, with a population approaching 700 million, is an emerging economic bloc that can rival the likes of the European Union (EU).
Asean members have many things in common. We dominate the world in the export of many tropical commodities. One example is palm oil: Malaysia and Indonesia together account for more than 80 per cent of world production.
Now Thailand and the Philippines are joining the game. A recent visit to Thailand suggests oil palm cultivation is expanding in the south. It is now possible to achieve a yield of 30 tonnes per hectare there.
Has climate change pushed the boundary for oil palm cultivation northwards?
The region produces most of what its population consumes, but it is also a major destination for global food exports. Malaysia's annual food imports have reached a staggering RM70 billion. Inter-Asean trade is healthy, but many believe there is scope for more.
In a world rushing to embrace NetZero, our products have been misjudged because of competition. At the top of the list is palm oil, which has been unfairly criticised on the grounds of carbon emission.
Lately, natural rubber has also been targeted by Western critics. Some even say that the rubber tree should not be treated as a forest species. How low can discriminatory ways go?
There is no denying that global competition is growing. The rise of Asia in the global economic equation worries the West. It is unhealthy that most of the narratives on the world economy come from the West.
Take, for example, the recent World Trade Organisation ruling supporting Malaysia's claim of discrimination by the EU on palm oil. The narrative from the West was the opposite. Read more New Straits Times
----------
Peru's exports to China increased 18-fold between 2009 and 2023
In 2023, Peru shipped 47 agro-industrial products worth US$369 million to China, among which blueberries, grapes, and avocados stood out, the Peruvian Exporters Association (Adex) has reported.
"It is a huge market that offers us great opportunities. Therefore, we must make progress on the pending agenda," said Adex Exports Central Manager Diego Llosa.
Llosa participated in the conference titled "Peru-China agro-exports, new trade opportunities thanks to the Chancay Megaport." The event was organized by the Ministry of Agrarian Development and Irrigation (Midagri) .
Within this framework, he said that —according to Trademap data— the Asian nation imported agricultural sector goods worth US$207 billion from all over the world in 2023.
Agro-exporting potential
We grow food that we export to other markets, but not to China. According to a report by the Ministry of Foreign Trade and Tourism (Mincetur) , one of them is palm oil, which in 2023 was imported by the Asian country for a value of US$5.1 billion, mainly from Indonesia; others are sugar and bananas," he mentioned.
In Peru's agro-industrial supply, blueberries stood out, which in 2023 accounted for 35.4% of the total agro-industrial goods exported to China, followed by grapes (21%), avocados (18%), fresh and chilled seaweed (11.4% ), plus tare powder (7.5%).
Its population is enormous, relies on great economic power, as well as a growing willingness to consume new and natural products. Read more Andina
----------
Bad actors are weaponising health misinformation in India
The power of messages like these should not be underestimated. Almost half a billion Indians use WhatsApp, a platform where eye-catching claims about medical matters can spread like wildfire as friends and relatives forward viral messages to each other.
By Jason Reed
In the post-Covid world, we are all more conscious than ever before about our health and the importance of accurate information on important medical matters. Unfortunately, though, that has not stopped a small number of bad actors from shamelessly weaponising health misinformation for selfish reasons, even when it puts people’s well-being at risk.
Recently, renowned and well-respected Indian cardiologist Dr Tejas Patel fell victim to a malicious impersonation. Dr Patel, who is the chairman of the Apex Heart Institute in Gujarat, contacted the cybercrime police after he learned that a viral WhatsApp message containing fake health warnings had been circulating using his name and claiming to be written by him, despite his not know the message or its contents.
The power of messages like these should not be underestimated. Almost half a billion Indians use WhatsApp, a platform where eye-catching claims about medical matters can spread like wildfire as friends and relatives forward viral messages to each other. When the content of those messages is incorrect, it can do a great deal of harm, leading people to false beliefs about their health and impacting their well-being. Read more Financial Express
Following Asian Countries’ Leads, Climate Action Opportunity for Developing Nations
OSLO, Norway, Apr 06 (IPS) - In the deserts of Gujarat, something remarkable is happening. On my recent visit i saw hundreds of trucks moving under the warm Indian sun. Thousands of hardworking young people from all corners of Bharat, as Indians now often call their nation, are turning around the previously empty and harsh landscape.
This is where the world’s largest combined solar and wind plant is coming up.
When completed, it will produce 30 gigawatt of wonderful clean and green energy. That is as much as the total hydropower production of my home country Norway. We are 100% fueled by hydro in our net, a rich nation in a cold climate, consuming far too much energy.
The Gujarat miracle is the work of the Adani Group. Gautam Adani told me his moving personal story. They were eight siblings living with parents in one room in Ahmedabad. There was no electricity so if he wished to study after dark he had to go outdoors, reading under the street lamps. At the age of 14, he left home and started business. Now he is one of the richest in India and very high on the global list also.
Gautam Adani made a lot of money in coal. Now he has enormous ambitions for renewables, supporting the policies of his friend prime minister Narendra Modi, turning the world’s largest nation - from grey to green. Adani is about delivery, not just talk.
Move on to Indonesia.
Last year, the second largest rain forest nation saw close to zero deforestation, an enormous service to Mother Earth. It happened because the Indonesian government put in place all the right policies for forest conservation and because Indonesian big business realized they can do fine without deforestation. Read more Global Issues
----------
ASEAN must have own economic forum to break Western stranglehold on narratives
ASEAN, with a population approaching 700 million, is an emerging economic bloc that can rival the likes of the European Union (EU).
Asean members have many things in common. We dominate the world in the export of many tropical commodities. One example is palm oil: Malaysia and Indonesia together account for more than 80 per cent of world production.
Now Thailand and the Philippines are joining the game. A recent visit to Thailand suggests oil palm cultivation is expanding in the south. It is now possible to achieve a yield of 30 tonnes per hectare there.
Has climate change pushed the boundary for oil palm cultivation northwards?
The region produces most of what its population consumes, but it is also a major destination for global food exports. Malaysia's annual food imports have reached a staggering RM70 billion. Inter-Asean trade is healthy, but many believe there is scope for more.
In a world rushing to embrace NetZero, our products have been misjudged because of competition. At the top of the list is palm oil, which has been unfairly criticised on the grounds of carbon emission.
Lately, natural rubber has also been targeted by Western critics. Some even say that the rubber tree should not be treated as a forest species. How low can discriminatory ways go?
There is no denying that global competition is growing. The rise of Asia in the global economic equation worries the West. It is unhealthy that most of the narratives on the world economy come from the West.
Take, for example, the recent World Trade Organisation ruling supporting Malaysia's claim of discrimination by the EU on palm oil. The narrative from the West was the opposite. Read more New Straits Times
----------
Peru's exports to China increased 18-fold between 2009 and 2023
In 2023, Peru shipped 47 agro-industrial products worth US$369 million to China, among which blueberries, grapes, and avocados stood out, the Peruvian Exporters Association (Adex) has reported.
"It is a huge market that offers us great opportunities. Therefore, we must make progress on the pending agenda," said Adex Exports Central Manager Diego Llosa.
Llosa participated in the conference titled "Peru-China agro-exports, new trade opportunities thanks to the Chancay Megaport." The event was organized by the Ministry of Agrarian Development and Irrigation (Midagri) .
Within this framework, he said that —according to Trademap data— the Asian nation imported agricultural sector goods worth US$207 billion from all over the world in 2023.
Agro-exporting potential
We grow food that we export to other markets, but not to China. According to a report by the Ministry of Foreign Trade and Tourism (Mincetur) , one of them is palm oil, which in 2023 was imported by the Asian country for a value of US$5.1 billion, mainly from Indonesia; others are sugar and bananas," he mentioned.
In Peru's agro-industrial supply, blueberries stood out, which in 2023 accounted for 35.4% of the total agro-industrial goods exported to China, followed by grapes (21%), avocados (18%), fresh and chilled seaweed (11.4% ), plus tare powder (7.5%).
Its population is enormous, relies on great economic power, as well as a growing willingness to consume new and natural products. Read more Andina
----------
Bad actors are weaponising health misinformation in India
The power of messages like these should not be underestimated. Almost half a billion Indians use WhatsApp, a platform where eye-catching claims about medical matters can spread like wildfire as friends and relatives forward viral messages to each other.
By Jason Reed
In the post-Covid world, we are all more conscious than ever before about our health and the importance of accurate information on important medical matters. Unfortunately, though, that has not stopped a small number of bad actors from shamelessly weaponising health misinformation for selfish reasons, even when it puts people’s well-being at risk.
Recently, renowned and well-respected Indian cardiologist Dr Tejas Patel fell victim to a malicious impersonation. Dr Patel, who is the chairman of the Apex Heart Institute in Gujarat, contacted the cybercrime police after he learned that a viral WhatsApp message containing fake health warnings had been circulating using his name and claiming to be written by him, despite his not know the message or its contents.
The power of messages like these should not be underestimated. Almost half a billion Indians use WhatsApp, a platform where eye-catching claims about medical matters can spread like wildfire as friends and relatives forward viral messages to each other. When the content of those messages is incorrect, it can do a great deal of harm, leading people to false beliefs about their health and impacting their well-being. Read more Financial Express
|
|
|
April 06, 2024
Indonesia to present data on forest coverage to deal with EUDR
Jakarta (ANTARA) - Indonesia will conduct diplomacy efforts to deal with the European Union Deforestation Regulation (EUDR) by presenting complete data on forest coverage area.
"We have a forest (coverage) database using the Simontana, or the National Forest Monitoring System, which is quite detailed," Minister of Environment and Forestry Siti Nurbaya Bakar noted in the ministry’s statement here on Friday.
The EUDR passed by the European Union Parliament on May 31, 2023, will include cattle commodities, cocoa, coffee, palm oil, soybeans, and wood, including derivative products, comprising leather, chocolate, and furniture.
With the regulation, these commodities must pass due diligence to ensure they do not come from forest degradation or deforestation land.
The percentage of products that must pass due diligence depends on the risk assessment of the country of origin, and it can be low, medium, or high risk.
The EU also published the European Union Forest Observatory (EUFO) in December 2023. The final version of the EUFO map will be released in December 2024.
"From now on until the end of this year, it is important to correct the EUFO map, so that Indonesia's country risk assessment claim can be in the low category, and the origin of commodities will not be included in the category of deforestation and land degradation areas," Bakar remarked.
During the focus group discussion titled "Deepening Sectoral Legality and Sustainability in Forest Areas in the Context of Deforestation-Free Supply Chain," Minister Bakar emphasized the importance of utilizing positive data and real facts about Indonesian forests to deal with deforestation issues at the global level.
She said the ministry also corrected deforestation data released by the World Resources Institute (WRI), so the institution finally recognized Indonesia's success in reducing the rate of deforestation. Antara News
---------
Malaysian Palm Oil Board MPOB urges palm oil industry players to export tocotrienol products to China
The Malaysian Palm Oil Board (MPOB) has urged palm oil industry players to grasp the golden opportunity to export palm tocotrienol products to China after obtaining the approval to register the product in the republic recently.
Following the approval received on March 13, palm tocotrienol (Vitamin E) is now authorised for export and use in food applications within China.
MPOB director-general Datuk Dr Ahmad Parveez Ghulam Kadir said the approval also gave the opportunity to industry players to capitalise the potential to significantly strengthen their market presence and revenue in one of the world’s largest markets.
“This approval is one of the best gifts awarded by the Chinese Government to the Malaysian oil palm industry in conjunction with the 50th anniversary celebration of the diplomatic ties between Malaysia and China, symbolising a strong and enduring friendship as well as mutual respect and cooperation,” he said in a statement.
Additionally, the approval underscores the commitment and relentless pursuit of excellence by the Malaysian palm oil sector in adhering to international health and safety standards. Read more UKAGROCONSULT
---------
Biodiesel Market to Reach $70.9 billion, Globally, by 2032 at 3.4% CAGR: Allied Market Research
Energy security concerns, environmental regulations, and development in renewable fuel standards are the factors that drive the growth of the biodiesel market.
Wilmington, Delaware, April 05, 2024 (GLOBE NEWSWIRE) -- Allied Market Research published a report, titled, "Biodiesel Market by Feedstock (Recycled Cooking Oil, Animal Fats, Cashew Nutshell Liquid (CNSL), Distillation Residues, Fatty Acids, Palm Oil Mill Effluent (POME), Spent Bleaching Earth Oil (SBEO), and Others) and Application (Automotive, Aviation, Marine, Power Generation, and Others): Global Opportunity Analysis and Industry Forecast, 2023-2032". According to the report, the "biodiesel market" was valued at $50.9 billion in 2022, and is estimated to reach $70.9 billion by 2032, growing at a CAGR of 3.4% from 2023 to 2032.
The global biodiesel market has experienced growth due to several factors such as the rise in energy security concerns, environmental regulation, and developments in renewable fuel standards. However, engine and fuel efficiency, and initial infrastructure costs hinder the market growth to some extent. Moreover, a surge in government support and incentives offers remunerative opportunities for expanding the Biodiesel market. Globe Newswire
Indonesia to present data on forest coverage to deal with EUDR
Jakarta (ANTARA) - Indonesia will conduct diplomacy efforts to deal with the European Union Deforestation Regulation (EUDR) by presenting complete data on forest coverage area.
"We have a forest (coverage) database using the Simontana, or the National Forest Monitoring System, which is quite detailed," Minister of Environment and Forestry Siti Nurbaya Bakar noted in the ministry’s statement here on Friday.
The EUDR passed by the European Union Parliament on May 31, 2023, will include cattle commodities, cocoa, coffee, palm oil, soybeans, and wood, including derivative products, comprising leather, chocolate, and furniture.
With the regulation, these commodities must pass due diligence to ensure they do not come from forest degradation or deforestation land.
The percentage of products that must pass due diligence depends on the risk assessment of the country of origin, and it can be low, medium, or high risk.
The EU also published the European Union Forest Observatory (EUFO) in December 2023. The final version of the EUFO map will be released in December 2024.
"From now on until the end of this year, it is important to correct the EUFO map, so that Indonesia's country risk assessment claim can be in the low category, and the origin of commodities will not be included in the category of deforestation and land degradation areas," Bakar remarked.
During the focus group discussion titled "Deepening Sectoral Legality and Sustainability in Forest Areas in the Context of Deforestation-Free Supply Chain," Minister Bakar emphasized the importance of utilizing positive data and real facts about Indonesian forests to deal with deforestation issues at the global level.
She said the ministry also corrected deforestation data released by the World Resources Institute (WRI), so the institution finally recognized Indonesia's success in reducing the rate of deforestation. Antara News
---------
Malaysian Palm Oil Board MPOB urges palm oil industry players to export tocotrienol products to China
The Malaysian Palm Oil Board (MPOB) has urged palm oil industry players to grasp the golden opportunity to export palm tocotrienol products to China after obtaining the approval to register the product in the republic recently.
Following the approval received on March 13, palm tocotrienol (Vitamin E) is now authorised for export and use in food applications within China.
MPOB director-general Datuk Dr Ahmad Parveez Ghulam Kadir said the approval also gave the opportunity to industry players to capitalise the potential to significantly strengthen their market presence and revenue in one of the world’s largest markets.
“This approval is one of the best gifts awarded by the Chinese Government to the Malaysian oil palm industry in conjunction with the 50th anniversary celebration of the diplomatic ties between Malaysia and China, symbolising a strong and enduring friendship as well as mutual respect and cooperation,” he said in a statement.
Additionally, the approval underscores the commitment and relentless pursuit of excellence by the Malaysian palm oil sector in adhering to international health and safety standards. Read more UKAGROCONSULT
---------
Biodiesel Market to Reach $70.9 billion, Globally, by 2032 at 3.4% CAGR: Allied Market Research
Energy security concerns, environmental regulations, and development in renewable fuel standards are the factors that drive the growth of the biodiesel market.
Wilmington, Delaware, April 05, 2024 (GLOBE NEWSWIRE) -- Allied Market Research published a report, titled, "Biodiesel Market by Feedstock (Recycled Cooking Oil, Animal Fats, Cashew Nutshell Liquid (CNSL), Distillation Residues, Fatty Acids, Palm Oil Mill Effluent (POME), Spent Bleaching Earth Oil (SBEO), and Others) and Application (Automotive, Aviation, Marine, Power Generation, and Others): Global Opportunity Analysis and Industry Forecast, 2023-2032". According to the report, the "biodiesel market" was valued at $50.9 billion in 2022, and is estimated to reach $70.9 billion by 2032, growing at a CAGR of 3.4% from 2023 to 2032.
The global biodiesel market has experienced growth due to several factors such as the rise in energy security concerns, environmental regulation, and developments in renewable fuel standards. However, engine and fuel efficiency, and initial infrastructure costs hinder the market growth to some extent. Moreover, a surge in government support and incentives offers remunerative opportunities for expanding the Biodiesel market. Globe Newswire
|
|
|
April 05, 2024
Korea's S-Oil to produce sustainable aviation fuel after acquiring 3 green certifications that meet EU requirements
By Lee Min-hyung
S-Oil will be able to produce sustainable aviation fuel (SAF) for international aviation for the first time in Korea, after the refiner acquired three green certifications on sustainable and low-carbon products, the company said Thursday.
The certifications include the International Sustainability & Carbon Certification (ISCC) Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), the ISCC EU and the ISCC PLUS.
The achievement allows the refiner to expand its eco-friendly fuel product supplies in line with the global trend for carbon neutrality.
“As S-Oil acquired the international certification to produce SAF that meets CORSIA requirements for the first time in Korea, it can contribute substantially to protecting land through the use of bio-based raw materials and conserving biodiversity, not to mention cutting greenhouse gas emissions in the aviation area,” Ryu Yul, president for corporate strategy and services at S-Oil, said.
“The latest acquisition of the certification is the first step toward S-Oil’s pivot to a clean energy supplier to achieve sustainable growth, and we will further strive to distribute biofuels and circular products that can contribute to building a resource circulation structure in order to align ourselves with the global decarbonization trend.”
In particular, The ISCC CORSIA certification is expected to enable S-Oil to produce CORSIA-certified SAF for the first time here. Since January, the refiner has incorporated bio-based raw materials — such as waste cooking oil and palm byproducts into its refining processes to produce fuel products, according to the company.
The latest achievement will set the stage for S-Oil to produce SAF which can slash greenhouse gas emissions by roughly 90 percent, compared with conventional jet fuels, it said. Read more The Korea Times
---------
British Company M.P. Evans Earns IDR 4.6 Trillion From Palm Oil Business
Jakarta, SAWIT INDONESIA – Although palm oil products face non-tariff barriers in the UK. However, the palm oil business provides multiple profits for British entrepreneurs. It was MP Evans who earned US$307.4 million or the equivalent of IDR 4.6 trillion (at a rupiah exchange rate equivalent to IDR 15,000 per US dollar) in 2023.
“MP Evans has made significant progress in delivering on its 2023 strategy. We are increasing the amount of crop processed and, importantly, almost all of that crop is processed by MP Evans once the sixth plant is operational,” said Peter Hadsley-Chaplin, Chairman of MP Evans as quoted from the company website.
The impact of CPO prices, MP Evans' revenue fell 6.3% to US$307.4 million throughout 2023 compared to the previous year of US$326.9 million. In addition, the company achieved gross profit of US$78.5 million with a gross profit margin of 26%. Read more Sawit Indonesia
---------
Indonesia-Jurisdictional Approach is Key to Implementing ISPO Audits for Smallholders
AGRICOM, JAKARTA - Aspects of capacity building, mapping, organizational formation and legality are crucial steps in maintaining the sustainability of the palm oil industry. These aspects can be supported by the government and coordinated by local authorities, this was conveyed by Bernadinus Steni Sugiarto from Kaleka at the Public Discussion and Press Conference held by SPKS on Wednesday (3/4/2024) in Jakarta which was attended by Agricom.id .
Steni continued, funding constraints in the certification process can be overcome if large numbers of oil palm farmers take part in ISPO certification. Based on the experience that has been carried out, if 500 farmers have certified ISPO with 500 farmers, the costs required reach US$ 170 per ha. It's different if you certify 2000 oil palm farmers, the costs will only be around US$ 50 per ha.
Implementing the ISPO process on a large scale is necessary to ensure maximum efficiency. Therefore, a regional (jurisdictional) approach is key in carrying out the audit. Local governments play a major role in leading this process, involving various stakeholders such as government, NGOs, industry players and farmers. This collaboration enables mutual support between stakeholders and ensures holistic and sustainable policy implementation.
Furthermore, said Steni, incentives are an important part in encouraging active participation and involvement from various parties. One of the significant beneficiaries is independent oil palm farmers.
“With a regional scale approach, companies in the region can collaborate and provide support to each other. "Therefore, it is the responsibility of the Regional Government to facilitate this collaboration by providing the necessary facilities," he stressed.
Read more AgricomID
---------
SPKS: The Issue of Access to ISPO Funding for Independent Palm Oil Farmers Needs a Solution
InfoSAWIT, JAKARTA – The Indonesian Sustainable Palm Oil (ISPO) certification system is currently considered unable to answer the challenges at the oil palm farmer level, especially for farmers who are not yet in groups, which is a very large number of around 70% of the total 6.9 million ha of farmers' plantation area.
For this reason, the Palm Oil Farmers Union (SPKS) considers that to resolve this it is institutions at the regional level such as the regional government. Local governments that have access to manage profit sharing funds as well as funds from the Palm Oil Plantation Fund Management Agency (BPDP-KS), have access to the central government and have complete bureaucratic and political infrastructure are considered suitable to drive ISPO certification at the small farmer level. Using a regional approach/jurisdictional approach will produce a larger number of farmers.
Whether we admit it or not, implementing certification is currently still very complicated for small farmers spread across 16,500 villages in Indonesia. Such as, building groups first in each village, data collection, training, mentoring, managing the legality of plantations as well as institutions and socialization. This is a very long and complicated process. Regulations must simplify this, accommodate large-scale certification approaches with regional approaches so that farmers can easily obtain ISPO certification. Read more Infosawit
Korea's S-Oil to produce sustainable aviation fuel after acquiring 3 green certifications that meet EU requirements
By Lee Min-hyung
S-Oil will be able to produce sustainable aviation fuel (SAF) for international aviation for the first time in Korea, after the refiner acquired three green certifications on sustainable and low-carbon products, the company said Thursday.
The certifications include the International Sustainability & Carbon Certification (ISCC) Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), the ISCC EU and the ISCC PLUS.
The achievement allows the refiner to expand its eco-friendly fuel product supplies in line with the global trend for carbon neutrality.
“As S-Oil acquired the international certification to produce SAF that meets CORSIA requirements for the first time in Korea, it can contribute substantially to protecting land through the use of bio-based raw materials and conserving biodiversity, not to mention cutting greenhouse gas emissions in the aviation area,” Ryu Yul, president for corporate strategy and services at S-Oil, said.
“The latest acquisition of the certification is the first step toward S-Oil’s pivot to a clean energy supplier to achieve sustainable growth, and we will further strive to distribute biofuels and circular products that can contribute to building a resource circulation structure in order to align ourselves with the global decarbonization trend.”
In particular, The ISCC CORSIA certification is expected to enable S-Oil to produce CORSIA-certified SAF for the first time here. Since January, the refiner has incorporated bio-based raw materials — such as waste cooking oil and palm byproducts into its refining processes to produce fuel products, according to the company.
The latest achievement will set the stage for S-Oil to produce SAF which can slash greenhouse gas emissions by roughly 90 percent, compared with conventional jet fuels, it said. Read more The Korea Times
---------
British Company M.P. Evans Earns IDR 4.6 Trillion From Palm Oil Business
Jakarta, SAWIT INDONESIA – Although palm oil products face non-tariff barriers in the UK. However, the palm oil business provides multiple profits for British entrepreneurs. It was MP Evans who earned US$307.4 million or the equivalent of IDR 4.6 trillion (at a rupiah exchange rate equivalent to IDR 15,000 per US dollar) in 2023.
“MP Evans has made significant progress in delivering on its 2023 strategy. We are increasing the amount of crop processed and, importantly, almost all of that crop is processed by MP Evans once the sixth plant is operational,” said Peter Hadsley-Chaplin, Chairman of MP Evans as quoted from the company website.
The impact of CPO prices, MP Evans' revenue fell 6.3% to US$307.4 million throughout 2023 compared to the previous year of US$326.9 million. In addition, the company achieved gross profit of US$78.5 million with a gross profit margin of 26%. Read more Sawit Indonesia
---------
Indonesia-Jurisdictional Approach is Key to Implementing ISPO Audits for Smallholders
AGRICOM, JAKARTA - Aspects of capacity building, mapping, organizational formation and legality are crucial steps in maintaining the sustainability of the palm oil industry. These aspects can be supported by the government and coordinated by local authorities, this was conveyed by Bernadinus Steni Sugiarto from Kaleka at the Public Discussion and Press Conference held by SPKS on Wednesday (3/4/2024) in Jakarta which was attended by Agricom.id .
Steni continued, funding constraints in the certification process can be overcome if large numbers of oil palm farmers take part in ISPO certification. Based on the experience that has been carried out, if 500 farmers have certified ISPO with 500 farmers, the costs required reach US$ 170 per ha. It's different if you certify 2000 oil palm farmers, the costs will only be around US$ 50 per ha.
Implementing the ISPO process on a large scale is necessary to ensure maximum efficiency. Therefore, a regional (jurisdictional) approach is key in carrying out the audit. Local governments play a major role in leading this process, involving various stakeholders such as government, NGOs, industry players and farmers. This collaboration enables mutual support between stakeholders and ensures holistic and sustainable policy implementation.
Furthermore, said Steni, incentives are an important part in encouraging active participation and involvement from various parties. One of the significant beneficiaries is independent oil palm farmers.
“With a regional scale approach, companies in the region can collaborate and provide support to each other. "Therefore, it is the responsibility of the Regional Government to facilitate this collaboration by providing the necessary facilities," he stressed.
Read more AgricomID
---------
SPKS: The Issue of Access to ISPO Funding for Independent Palm Oil Farmers Needs a Solution
InfoSAWIT, JAKARTA – The Indonesian Sustainable Palm Oil (ISPO) certification system is currently considered unable to answer the challenges at the oil palm farmer level, especially for farmers who are not yet in groups, which is a very large number of around 70% of the total 6.9 million ha of farmers' plantation area.
For this reason, the Palm Oil Farmers Union (SPKS) considers that to resolve this it is institutions at the regional level such as the regional government. Local governments that have access to manage profit sharing funds as well as funds from the Palm Oil Plantation Fund Management Agency (BPDP-KS), have access to the central government and have complete bureaucratic and political infrastructure are considered suitable to drive ISPO certification at the small farmer level. Using a regional approach/jurisdictional approach will produce a larger number of farmers.
Whether we admit it or not, implementing certification is currently still very complicated for small farmers spread across 16,500 villages in Indonesia. Such as, building groups first in each village, data collection, training, mentoring, managing the legality of plantations as well as institutions and socialization. This is a very long and complicated process. Regulations must simplify this, accommodate large-scale certification approaches with regional approaches so that farmers can easily obtain ISPO certification. Read more Infosawit
|
|
|
April 04, 2024
How to ensure due diligence policies actually tackle deforestation
Mairon G. Baston Lima writes that to ensure that products linked to deforestation are not redirected elsewhere, governments need to build synergies with other policies for sustainable land use.
Human rights and environmental due diligence can clean-up specific commodity supply chains, but to ensure that products linked to deforestation are not redirected elsewhere, governments need to build synergies with other policies for sustainable land use.
Mandatory human rights and environmental due diligence has emerged as a new standard for companies and countries purchasing forest-risk commodities such as soy, cocoa or palm oil. The European Union (EU) has led such efforts, approving a deforestation regulation (EUDR) which requires businesses to prove that agricultural commodities do not come from recently deforested land. Moreover, the proposed corporate sustainability due diligence directive (CSDDD) aims to require companies to identify and address environmental and social impacts in their supply chains.
These policies are expected to reduce the EU’s role in contributing to tropical deforestation. However, to help ensure that this translates into actual reductions in deforestation on the ground, additional measures are needed. For while commodities linked to deforestation may be removed from the EU’s supply chain, it is of little benefit if they are sent to countries without these environmental regulations or consumed domestically.
New research using Trase data shows that supply chain divergence to meet different consumer requirements already is a reality. Brazil’s exporters, for example, sell soy to Denmark and Norway that is four-times less exposed to deforestation than soy sent to China or used domestically (see table). Read more at SEI
---------
Retailers’ Historic And Growing Role In Transforming The Palm Oil Supply Chain
In 2023, private labels accounted for 38.5% of the European grocery market and continued to remain responsive to consumer demand for quality products.
Working closely with their suppliers, retailers define which characteristics their branded products should have, in terms of quality, the ability to stay abreast of consumer trends, and sustainability requirements.
Not surprisingly, the palm oil supply chain worldwide has been directly influenced by the resolve of retailers who have committed to using certified sustainable palm oil in their private-label products, ranging from biscuits to margarine, frozen food, ice cream, instant noodles and many more in the food aisle, as well as soap bars and liquid detergents.
Since its establishment 20 years ago, the Roundtable on Sustainable Palm Oil (RSPO) has identified retailers as one of the key partners to stimulate the demand for certified sustainable palm oil products.
Retailers are equally represented among RSPO Members, with two seats on the RSPO’s Board of Governors, and bring valuable contributions to the organisation in working groups, committees and several initiatives.
Sainsbury's, the second largest supermarket chain in the UK, was the first retailer to purchase from the world’s first shipment of RSPO Certified Sustainable Palm Oil (CSPO), in 2008. Read more ESM
---------
MPOB urges palm oil industry players to export tocotrienol products to China
KUALA LUMPUR: The Malaysian Palm Oil Board (MPOB) has urged palm oil industry players to grasp the golden opportunity to export palm tocotrienol products to China after obtaining the approval to register the product in the republic recently.
Following the approval received on March 13, palm tocotrienol (Vitamin E) is now authorised for export and use in food applications within China.
MPOB director-general Datuk Dr Ahmad Parveez Ghulam Kadir said the approval also gave the opportunity to industry players to capitalise the potential to significantly strengthen their market presence and revenue in one of the world’s largest markets.
"This approval is one of the best gifts awarded by the Chinese Government to the Malaysian oil palm industry in conjunction with the 50th anniversary celebration of the diplomatic ties between Malaysia and China, symbolising a strong and enduring friendship as well as mutual respect and cooperation," he said in a statement.
Additionally, the approval underscores the commitment and relentless pursuit of excellence by the Malaysian palm oil sector in adhering to international health and safety standards. Read more The StarMY.
---------
India’s Rapeseed Output Likely To Hit Record High In 2024 On Expanded Area
India’s rapeseed and mustard output is likely to rise 7% from last year to a record 12.09 million metric tons in 2024, helped mainly by a larger planting area, a leading industry body said on Wednesday.
Higher rapeseed output will help the world’s biggest vegetable oil importer to cut back on expensive palm oil and sunflower oil imports from Malaysia, Indonesia, Brazil, Argentina, Ukraine, and Russia.
The country meets 70% of its annual requirement through imports.
The rise in production is mainly due to a 5% growth in acreage to 10 million hectares, the Solvent Extractors’ Association of India (SEA) said.
However, the upside in production was capped by untimely rainfall and hailstorms that hit crop in February and March, the SEA said. DDNews
How to ensure due diligence policies actually tackle deforestation
Mairon G. Baston Lima writes that to ensure that products linked to deforestation are not redirected elsewhere, governments need to build synergies with other policies for sustainable land use.
Human rights and environmental due diligence can clean-up specific commodity supply chains, but to ensure that products linked to deforestation are not redirected elsewhere, governments need to build synergies with other policies for sustainable land use.
Mandatory human rights and environmental due diligence has emerged as a new standard for companies and countries purchasing forest-risk commodities such as soy, cocoa or palm oil. The European Union (EU) has led such efforts, approving a deforestation regulation (EUDR) which requires businesses to prove that agricultural commodities do not come from recently deforested land. Moreover, the proposed corporate sustainability due diligence directive (CSDDD) aims to require companies to identify and address environmental and social impacts in their supply chains.
These policies are expected to reduce the EU’s role in contributing to tropical deforestation. However, to help ensure that this translates into actual reductions in deforestation on the ground, additional measures are needed. For while commodities linked to deforestation may be removed from the EU’s supply chain, it is of little benefit if they are sent to countries without these environmental regulations or consumed domestically.
New research using Trase data shows that supply chain divergence to meet different consumer requirements already is a reality. Brazil’s exporters, for example, sell soy to Denmark and Norway that is four-times less exposed to deforestation than soy sent to China or used domestically (see table). Read more at SEI
---------
Retailers’ Historic And Growing Role In Transforming The Palm Oil Supply Chain
In 2023, private labels accounted for 38.5% of the European grocery market and continued to remain responsive to consumer demand for quality products.
Working closely with their suppliers, retailers define which characteristics their branded products should have, in terms of quality, the ability to stay abreast of consumer trends, and sustainability requirements.
Not surprisingly, the palm oil supply chain worldwide has been directly influenced by the resolve of retailers who have committed to using certified sustainable palm oil in their private-label products, ranging from biscuits to margarine, frozen food, ice cream, instant noodles and many more in the food aisle, as well as soap bars and liquid detergents.
Since its establishment 20 years ago, the Roundtable on Sustainable Palm Oil (RSPO) has identified retailers as one of the key partners to stimulate the demand for certified sustainable palm oil products.
Retailers are equally represented among RSPO Members, with two seats on the RSPO’s Board of Governors, and bring valuable contributions to the organisation in working groups, committees and several initiatives.
Sainsbury's, the second largest supermarket chain in the UK, was the first retailer to purchase from the world’s first shipment of RSPO Certified Sustainable Palm Oil (CSPO), in 2008. Read more ESM
---------
MPOB urges palm oil industry players to export tocotrienol products to China
KUALA LUMPUR: The Malaysian Palm Oil Board (MPOB) has urged palm oil industry players to grasp the golden opportunity to export palm tocotrienol products to China after obtaining the approval to register the product in the republic recently.
Following the approval received on March 13, palm tocotrienol (Vitamin E) is now authorised for export and use in food applications within China.
MPOB director-general Datuk Dr Ahmad Parveez Ghulam Kadir said the approval also gave the opportunity to industry players to capitalise the potential to significantly strengthen their market presence and revenue in one of the world’s largest markets.
"This approval is one of the best gifts awarded by the Chinese Government to the Malaysian oil palm industry in conjunction with the 50th anniversary celebration of the diplomatic ties between Malaysia and China, symbolising a strong and enduring friendship as well as mutual respect and cooperation," he said in a statement.
Additionally, the approval underscores the commitment and relentless pursuit of excellence by the Malaysian palm oil sector in adhering to international health and safety standards. Read more The StarMY.
---------
India’s Rapeseed Output Likely To Hit Record High In 2024 On Expanded Area
India’s rapeseed and mustard output is likely to rise 7% from last year to a record 12.09 million metric tons in 2024, helped mainly by a larger planting area, a leading industry body said on Wednesday.
Higher rapeseed output will help the world’s biggest vegetable oil importer to cut back on expensive palm oil and sunflower oil imports from Malaysia, Indonesia, Brazil, Argentina, Ukraine, and Russia.
The country meets 70% of its annual requirement through imports.
The rise in production is mainly due to a 5% growth in acreage to 10 million hectares, the Solvent Extractors’ Association of India (SEA) said.
However, the upside in production was capped by untimely rainfall and hailstorms that hit crop in February and March, the SEA said. DDNews
|
|
|
April 03, 2024
Navigating the EU Regulation on Deforestation-Free Products: 5 Key EUDR Questions Answered About Company Readiness and Investor Risk
Sydney Krisanda/ Morningstar
In 2022, global tropical forest loss totaled 4.1 million hectares, a 10% increase compared to 2021.1 Driven by agricultural expansion to produce everyday products, deforestation threatens critical ecosystems that are vital for combating climate change, supporting livelihoods, and protecting biodiversity. Despite global commitments to halt deforestation by 2023, it is evident that further anti-deforestation efforts are needed.
The EU regulation on deforestation-free products (EUDR) creates more stringent due diligence requirements, ensuring that companies selling commodities in the EU can prove their products are deforestation-free. The implementation of the mandatory EUDR, which comes into effect in December 2024, marks an important step to tackle this decades-long issue and sets precedent for other jurisdictions to follow suit. However, with less than one year until large companies must comply, data from the ESG Risk Ratings shows that most companies are not yet prepared to meet the new requirements.
In this article we offer a deeper understanding of the EUDR, answering five key questions about who the EUDR applies to, how companies are meeting the requirements, and the risks non-compliance with the EUDR poses to both companies and investors.
Question One: What does the EUDR Cover and Who Is Affected? Read more Morningstar/ Sustainanalytics
---------
What clarifications are needed for effective implementation of EU’s deforestation regulation?
02-Apr-2024 By Jane Byrne
Operators and traders strive to comply with EUDR but face challenges: gaps in information, technical solutions, and supply chain complexities, claim FEFAC, FEDIOL, and agribusiness groups. Read more at Feed Navigator
---------
Does palm oil have a future in the dairy supply chain?
If not palm, then what? Understanding the complex story of sustainable palm and the vital role it plays in supporting global conservation efforts, local economies and the dairy supply chain.
There is a future for palm oil in the dairy supply chain, but sustainable sourcing matters.
From ice cream to livestock feed rations, palm oil is a common ingredient found throughout all stages of the dairy supply chain.
Valued for its unique melting point, mixability and low odour, it has become one of the top global edible oils by consumption since the palm oil boom of the early 1990s, according to Catherine Barton, policy lead on Deforestation-Free Commodities and Regenerative Agriculture for Chester Zoo.
“Palm is incredibly versatile and allows for manufacturing methods, product properties and extended shelf life that otherwise would not be possible if replaced with a different ingredient,” Catherine said.
In on-farm dairy production, this goes a step further, with palm oil fractions used in the manufacture of many types of rumen-protected fat supplements as highly energy-dense ingredients with unique fatty acid profiles.
“These supplements are targeted to improve various aspects of dairy production including milk yield, milk fat production and cow fertility,” said global technical manager and nutritionist for Volac Wilmar Feed Ingredients (VWFI), Dr. Richard Kirkland. Read more AgrilandIE
---------
No Bull | The Five Spot
Susan Stroud
#5 | Hot Chocolate
Cocoa is now more expensive than copper, making yet another new all-time high at $10,324 per ton this morning.
Futures surged 60% during the month of March, are up 145% year-to-date and sit 270% higher than where they were trading just one year ago as extreme weather has decimated Africa's growing crop.
#4 | A Pleasant Surprise
It was a big win for the farmer in last week's Prospective Plantings report as USDA's survey-based 2024 planted area found nearly two million less corn acres than expectations heading into the report.
Additionally, and perhaps even more important, those two million ‘missing’ acres didn't find their way into soybeans in this initial estimate of 2024 area.
March 2024 corn acreage was reported at 90.0 million, right near the lowest of pre-report estimates, 1.8 million below the average pre-report guess and down from 94.6 in 2023.
Soybean acreage came in at 86.5 million, up 2.9 million from 2023's final area and right in line with the average pre-report guess.
#3 | Where did all the acres go?
If there was one burning question we were left with after March's initial acreage report, it is: where did all the acres go?
When looking at the corn+soybean area pool, 2024's Prospective Plantings came in at 176.5 million, down from 178.2 in 2023 and a full 2 million acres less than the average pre-report guess. In fact, last week's area was so low, it came in below even the lowest of average estimates.
#2 | The only constant is change
High prices tend to cure high prices - in the form of less expensive substitutes.
There is no better example of this than the change in veg oil flows in and out of the United States, as soybean oil exports hit record lows, while palm oil imports make new highs.
US palm imports have doubled since biodiesel mandates began in the mid-2000s, helping satisfying domestic food and feed demand left open as soy oil began to be used for fuel.
The most interesting thing is palm oil is strictly prohibited in biofuel use here in the United States (because of its association with tremendous amounts of deforestation in some of the most biodiverse tropical forests on the planet).
So… we aren’t using imported palm oil to fuel cars, simply as a replacement in food and feed applications for soybean oil that is being used to fuel cars.
Okay. Got it.
#1 | One Net Long Read more Globe and Mail
---------
The Anatomy of Fake News Factories: Unraveling the Damage to Brands
In todays digital age, the proliferation of fake news has become a menacing force, capable of wreaking havoc on individuals, institutions, and even entire industries. Among the victims of this epidemic are brands, which often find themselves ensnared in webs of misinformation that tarnish their reputation and erode consumer trust.
Fake news factories operate in a clandestine manner, leveraging the power of social media, clickbait headlines, and viral content to disseminate false information with alarming efficiency. These factories exploit the inherent vulnerabilities of online platforms, where sensationalism often trumps accuracy, and misinformation can spread like wildfire.
One striking example of the impact of fake news occurred when a multinational company in Hong Kong fell victim to a staggering $25.6 million scam orchestrated using deepfake technology. Employees were manipulated through a video conference, underscoring the sophistication of modern deception tactics.
Other sectors have also fallen prey to the insidious spread of fake news. For instance, the myth that soft drinks can dissolve a tooth overnight has persisted despite being debunked numerous times, highlighting the enduring power of misinformation. Read more NetworkKNT
---------
MPOC EU Alert Warns of Heightened Protectionism by EU Legislators in the Face of Farmer Protests
The Council of the EU delays formal approval of the Regulation on Nature Restoration
On 25 March 2024, EU Member States sitting in the Environment Council of the Council of the EU were scheduled to vote on the final text of the EU’s Regulation on Nature Restoration. However, reportedly, the Regulation was removed from the agenda due to indications that some EU Member States were opposed to it, and the vote would fall short of the majority required for adoption.
On 22 June 2022, the European Commission had published its Proposal, which aims to “restore degraded ecosystems in all member states, help achieve the EU’s climate and biodiversity objectives and enhance food security” and would, inter alia, require EU Member States to “restore at least 30% of habitats in poor condition by 2030, 60% by 2040, and 90% by 2050”. The European Parliament and the Council of the EU had reached a provisional agreement on 9 November 2023 and the European Parliament had formally adopted the Regulation on 27 February 2024.
Despite the Regulation on Nature Restoration having been significantly “watered down” compared to the Commission’s Proposal, several EU Member States indicated that the law would “overburden the economy”, amid food security concerns and the agriculture sector’s “sensitive situation”. Given the upcoming European Parliament elections in June 2024, the Council of the EU’s delay in formally adopting the Regulation on Nature Restoration could jeopardise the legislation’s future.
Possible actions: Opposition to already significantly “watered down” laws, such as the Nature Restoration Law, motivated by considerations for EU farmers, clearly indicate that the EU is increasingly placing its farmers’ interests above its environmental objectives. Yet the EU’s ‘green initiatives’ unilaterally impose disproportionate requirements on developing countries’ farmers and smallholders. Malaysia and MPOC should convey to the EU that third countries count on the EU to do its own part in restoring its nature, instead of merely lecturing third countries and making imports subject to increasingly strict and often nearly insurmountable conditions. MPOC Europe Alert No.5
Navigating the EU Regulation on Deforestation-Free Products: 5 Key EUDR Questions Answered About Company Readiness and Investor Risk
Sydney Krisanda/ Morningstar
In 2022, global tropical forest loss totaled 4.1 million hectares, a 10% increase compared to 2021.1 Driven by agricultural expansion to produce everyday products, deforestation threatens critical ecosystems that are vital for combating climate change, supporting livelihoods, and protecting biodiversity. Despite global commitments to halt deforestation by 2023, it is evident that further anti-deforestation efforts are needed.
The EU regulation on deforestation-free products (EUDR) creates more stringent due diligence requirements, ensuring that companies selling commodities in the EU can prove their products are deforestation-free. The implementation of the mandatory EUDR, which comes into effect in December 2024, marks an important step to tackle this decades-long issue and sets precedent for other jurisdictions to follow suit. However, with less than one year until large companies must comply, data from the ESG Risk Ratings shows that most companies are not yet prepared to meet the new requirements.
In this article we offer a deeper understanding of the EUDR, answering five key questions about who the EUDR applies to, how companies are meeting the requirements, and the risks non-compliance with the EUDR poses to both companies and investors.
Question One: What does the EUDR Cover and Who Is Affected? Read more Morningstar/ Sustainanalytics
---------
What clarifications are needed for effective implementation of EU’s deforestation regulation?
02-Apr-2024 By Jane Byrne
Operators and traders strive to comply with EUDR but face challenges: gaps in information, technical solutions, and supply chain complexities, claim FEFAC, FEDIOL, and agribusiness groups. Read more at Feed Navigator
---------
Does palm oil have a future in the dairy supply chain?
If not palm, then what? Understanding the complex story of sustainable palm and the vital role it plays in supporting global conservation efforts, local economies and the dairy supply chain.
There is a future for palm oil in the dairy supply chain, but sustainable sourcing matters.
From ice cream to livestock feed rations, palm oil is a common ingredient found throughout all stages of the dairy supply chain.
Valued for its unique melting point, mixability and low odour, it has become one of the top global edible oils by consumption since the palm oil boom of the early 1990s, according to Catherine Barton, policy lead on Deforestation-Free Commodities and Regenerative Agriculture for Chester Zoo.
“Palm is incredibly versatile and allows for manufacturing methods, product properties and extended shelf life that otherwise would not be possible if replaced with a different ingredient,” Catherine said.
In on-farm dairy production, this goes a step further, with palm oil fractions used in the manufacture of many types of rumen-protected fat supplements as highly energy-dense ingredients with unique fatty acid profiles.
“These supplements are targeted to improve various aspects of dairy production including milk yield, milk fat production and cow fertility,” said global technical manager and nutritionist for Volac Wilmar Feed Ingredients (VWFI), Dr. Richard Kirkland. Read more AgrilandIE
---------
No Bull | The Five Spot
Susan Stroud
#5 | Hot Chocolate
Cocoa is now more expensive than copper, making yet another new all-time high at $10,324 per ton this morning.
Futures surged 60% during the month of March, are up 145% year-to-date and sit 270% higher than where they were trading just one year ago as extreme weather has decimated Africa's growing crop.
#4 | A Pleasant Surprise
It was a big win for the farmer in last week's Prospective Plantings report as USDA's survey-based 2024 planted area found nearly two million less corn acres than expectations heading into the report.
Additionally, and perhaps even more important, those two million ‘missing’ acres didn't find their way into soybeans in this initial estimate of 2024 area.
March 2024 corn acreage was reported at 90.0 million, right near the lowest of pre-report estimates, 1.8 million below the average pre-report guess and down from 94.6 in 2023.
Soybean acreage came in at 86.5 million, up 2.9 million from 2023's final area and right in line with the average pre-report guess.
#3 | Where did all the acres go?
If there was one burning question we were left with after March's initial acreage report, it is: where did all the acres go?
When looking at the corn+soybean area pool, 2024's Prospective Plantings came in at 176.5 million, down from 178.2 in 2023 and a full 2 million acres less than the average pre-report guess. In fact, last week's area was so low, it came in below even the lowest of average estimates.
#2 | The only constant is change
High prices tend to cure high prices - in the form of less expensive substitutes.
There is no better example of this than the change in veg oil flows in and out of the United States, as soybean oil exports hit record lows, while palm oil imports make new highs.
US palm imports have doubled since biodiesel mandates began in the mid-2000s, helping satisfying domestic food and feed demand left open as soy oil began to be used for fuel.
The most interesting thing is palm oil is strictly prohibited in biofuel use here in the United States (because of its association with tremendous amounts of deforestation in some of the most biodiverse tropical forests on the planet).
So… we aren’t using imported palm oil to fuel cars, simply as a replacement in food and feed applications for soybean oil that is being used to fuel cars.
Okay. Got it.
#1 | One Net Long Read more Globe and Mail
---------
The Anatomy of Fake News Factories: Unraveling the Damage to Brands
In todays digital age, the proliferation of fake news has become a menacing force, capable of wreaking havoc on individuals, institutions, and even entire industries. Among the victims of this epidemic are brands, which often find themselves ensnared in webs of misinformation that tarnish their reputation and erode consumer trust.
Fake news factories operate in a clandestine manner, leveraging the power of social media, clickbait headlines, and viral content to disseminate false information with alarming efficiency. These factories exploit the inherent vulnerabilities of online platforms, where sensationalism often trumps accuracy, and misinformation can spread like wildfire.
One striking example of the impact of fake news occurred when a multinational company in Hong Kong fell victim to a staggering $25.6 million scam orchestrated using deepfake technology. Employees were manipulated through a video conference, underscoring the sophistication of modern deception tactics.
Other sectors have also fallen prey to the insidious spread of fake news. For instance, the myth that soft drinks can dissolve a tooth overnight has persisted despite being debunked numerous times, highlighting the enduring power of misinformation. Read more NetworkKNT
---------
MPOC EU Alert Warns of Heightened Protectionism by EU Legislators in the Face of Farmer Protests
The Council of the EU delays formal approval of the Regulation on Nature Restoration
On 25 March 2024, EU Member States sitting in the Environment Council of the Council of the EU were scheduled to vote on the final text of the EU’s Regulation on Nature Restoration. However, reportedly, the Regulation was removed from the agenda due to indications that some EU Member States were opposed to it, and the vote would fall short of the majority required for adoption.
On 22 June 2022, the European Commission had published its Proposal, which aims to “restore degraded ecosystems in all member states, help achieve the EU’s climate and biodiversity objectives and enhance food security” and would, inter alia, require EU Member States to “restore at least 30% of habitats in poor condition by 2030, 60% by 2040, and 90% by 2050”. The European Parliament and the Council of the EU had reached a provisional agreement on 9 November 2023 and the European Parliament had formally adopted the Regulation on 27 February 2024.
Despite the Regulation on Nature Restoration having been significantly “watered down” compared to the Commission’s Proposal, several EU Member States indicated that the law would “overburden the economy”, amid food security concerns and the agriculture sector’s “sensitive situation”. Given the upcoming European Parliament elections in June 2024, the Council of the EU’s delay in formally adopting the Regulation on Nature Restoration could jeopardise the legislation’s future.
Possible actions: Opposition to already significantly “watered down” laws, such as the Nature Restoration Law, motivated by considerations for EU farmers, clearly indicate that the EU is increasingly placing its farmers’ interests above its environmental objectives. Yet the EU’s ‘green initiatives’ unilaterally impose disproportionate requirements on developing countries’ farmers and smallholders. Malaysia and MPOC should convey to the EU that third countries count on the EU to do its own part in restoring its nature, instead of merely lecturing third countries and making imports subject to increasingly strict and often nearly insurmountable conditions. MPOC Europe Alert No.5
|
|
|
April 02, 2024
EU associations demand clarifications and workable solutions for the EU Deforestation Regulation (EUDR)
Joint cross-commodity call to the EU Commission and Member States to provide urgent clarifications and workable solutions for the implementation of the EU Deforestation Regulation (EUDR). The letter issued by major EU organizations representing market suppliers, operators and traders.
Serious disruptions in all commodity supply chains may follow soon on the supply of essential goods for the European market, such as food, feed, biofuels and more.
The EU market operators and traders are working hard to prepare their supply chains and adapt their systems and due diligence processes for compliance with the EUDR, as significant adjustments are needed from suppliers, operators and traders to support a successful implementation of the EUDR. They express serious concerns regarding the pace of preparation of EUDR-related legislative acts, the mandatory systems (i.e. Information System), and the guidance and clarifications required for implementation by operators and traders and enforcement by competent authorities.
They call for the action to resolve legal uncertainty/lack of clarity of essential provisions of the EUDR. The EU Commission is urged to actively include all stakeholders along value chains in elaborating the guidance to make the implementation practically feasible. The planning of the development of the system should allow the necessary time for companies to ensure connection with their own data management systems and organize appropriate training of relevant staff. Finally, the EU Commission is strongly urged to organize a second round of testing and to involve companies under the EUDR scope in the design of the Information System.
The EU market operators and traders in their joint letter offer a list of issues on which clarification is urgently needed with a view to lifting uncertainties and allowing necessary investments and implementation across the supply chains.
Unless timely and adequate responses are provided, they cannot exclude serious disruptions in all commodity supply chains, with potential unintended negative effects on the supply of essential goods for the European market, such as food, feed, chemicals, packaging, construction products, bioenergy, printed media and more. UK Agro Consult
---------
Indonesia's palm plantation size rises to 17.3 mln hectares from 16.8 mln hectares in 2022
JAKARTA, April 1 (Reuters) -Indonesian land mapping authorities found in its latest survey the total size of palm oil plantations in the country reached 17.3 million hectares (42.7 million acres), bigger than previously thought, the government said.
The Indonesian government has been trying to improve its data on the palm oil sector, conducting an industry wide audit and launching a task force to improve governance following a shortage of cooking oil two years ago.
Indonesia is the world's biggest producer and exporter of palm oil.
"We have concluded palm covers map update in 2023 with a total coverage of 17.3 million hectares," head of the geospatial agency Muhamad Aris Marfai said in the statement released on Sunday.
That was bigger than the 16.8 million hectares overall plantation size found in the 2022 audit.
Authorities did not give any reason for the discrepancy in the data or whether there has been new expansion.
Jakarta imposed a moratorium on new plantation permits between 2018 to 2021. While this was not extended, President Joko Widodo told Reuters in 2021 he considered the moratorium to be permanent under new investment laws issued that year.
In the statement, the government said the most recent survey was intended to resolve the legal status of plantations found in areas registered as forests.
Environmentalists often blame production of palm oil, used in everything from soap to lipstick to fuel, for forest degradation in Indonesia. XM/ Reuters
---------
Palm Oil Global Strategic Business Report 2024 - Edible Palm Oil to Benefit from the Growing Aversion to GMO-based Oils
Dublin, April 02, 2024 (GLOBE NEWSWIRE) -- The "Palm Oil - Global Strategic Business Report" has been added to ResearchAndMarkets.com's offering.
The global market for Palm Oil estimated at US$79.3 Billion in the year 2023, is projected to reach a revised size of US$117.9 Billion by 2030, growing at a CAGR of 5.1% over the analysis period 2023-2030.
Crude Palm Oil, one of the segments analyzed in the report, is projected to record 4.5% CAGR and reach US$63.8 Billion by the end of the analysis period. Growth in the Palm Kernel Oil segment is estimated at 6.2% CAGR for the next 8-year period.
The Palm Oil market in the U.S. is estimated at US$3.1 Billion in the year 2023. China, the world's second largest economy, is forecast to reach a projected market size of US$13.9 Billion by the year 2030 trailing a CAGR of 5.8% over the analysis period 2023 to 2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 3.6% and 3.1% respectively over the 2023-2030 period. Within Europe, Germany is forecast to grow at approximately 2.9% CAGR. Read more at Yahoo Finance
---------
MPOB collaborates with IBG Manufacturing to commence trial for biofertiliser
KUALA LUMPUR (April 1): The Malaysian Palm Oil Board (MPOB), in collaboration with IBG Manufacturing Sdn Bhd, has commenced the trial for its latest innovative solution, the iM-bioGuard biofertiliser.
The MPOB said in a statement here on Monday that infused with the potent bacteria Pseudomonas, the biocontrol fertiliser combats the fungal pathogen Ganoderma boninense, which is the cause of the Basal Stem Rot (BSR) disease.
Also known as the 'cancer' of oil palm, BSR is one of the most severe diseases afflicting oil palm estates in major producing countries, particularly in Malaysia and Indonesia, resulting in enormous economic losses of RM1.5 billion each year, it added.
An MPOB patented technology, iM-bioGuard is the first liquid type of biofertiliser that is designed to cater for easy absorption by oil palm, making it possible to significantly reduce the damage caused by the Ganoderma disease.
During a recent visit to the Machap Estate for its demonstration, Deputy Plantation and Commodities Minister Datuk Chan Foong Hin said the introduction of iM-bioGuard represents a significant milestone in collective efforts to mitigate the devastating effects of Ganoderma on the oil palm industry.
“I hope that by starting the first trial with United Malacca Bhd, it can help to increase crop resilience, while promoting environmentally sustainable practices,” said Chan.
On top of that, the MPOB and IBG Manufacturing have signed a commercial agreement to introduce the technology to the industry, of which the collaborative endeavour signifies a united front in advancing sustainable practices and safeguarding the future of Malaysia’s oil palm industry. The Edge Malaysia
EU associations demand clarifications and workable solutions for the EU Deforestation Regulation (EUDR)
Joint cross-commodity call to the EU Commission and Member States to provide urgent clarifications and workable solutions for the implementation of the EU Deforestation Regulation (EUDR). The letter issued by major EU organizations representing market suppliers, operators and traders.
Serious disruptions in all commodity supply chains may follow soon on the supply of essential goods for the European market, such as food, feed, biofuels and more.
The EU market operators and traders are working hard to prepare their supply chains and adapt their systems and due diligence processes for compliance with the EUDR, as significant adjustments are needed from suppliers, operators and traders to support a successful implementation of the EUDR. They express serious concerns regarding the pace of preparation of EUDR-related legislative acts, the mandatory systems (i.e. Information System), and the guidance and clarifications required for implementation by operators and traders and enforcement by competent authorities.
They call for the action to resolve legal uncertainty/lack of clarity of essential provisions of the EUDR. The EU Commission is urged to actively include all stakeholders along value chains in elaborating the guidance to make the implementation practically feasible. The planning of the development of the system should allow the necessary time for companies to ensure connection with their own data management systems and organize appropriate training of relevant staff. Finally, the EU Commission is strongly urged to organize a second round of testing and to involve companies under the EUDR scope in the design of the Information System.
The EU market operators and traders in their joint letter offer a list of issues on which clarification is urgently needed with a view to lifting uncertainties and allowing necessary investments and implementation across the supply chains.
Unless timely and adequate responses are provided, they cannot exclude serious disruptions in all commodity supply chains, with potential unintended negative effects on the supply of essential goods for the European market, such as food, feed, chemicals, packaging, construction products, bioenergy, printed media and more. UK Agro Consult
---------
Indonesia's palm plantation size rises to 17.3 mln hectares from 16.8 mln hectares in 2022
JAKARTA, April 1 (Reuters) -Indonesian land mapping authorities found in its latest survey the total size of palm oil plantations in the country reached 17.3 million hectares (42.7 million acres), bigger than previously thought, the government said.
The Indonesian government has been trying to improve its data on the palm oil sector, conducting an industry wide audit and launching a task force to improve governance following a shortage of cooking oil two years ago.
Indonesia is the world's biggest producer and exporter of palm oil.
"We have concluded palm covers map update in 2023 with a total coverage of 17.3 million hectares," head of the geospatial agency Muhamad Aris Marfai said in the statement released on Sunday.
That was bigger than the 16.8 million hectares overall plantation size found in the 2022 audit.
Authorities did not give any reason for the discrepancy in the data or whether there has been new expansion.
Jakarta imposed a moratorium on new plantation permits between 2018 to 2021. While this was not extended, President Joko Widodo told Reuters in 2021 he considered the moratorium to be permanent under new investment laws issued that year.
In the statement, the government said the most recent survey was intended to resolve the legal status of plantations found in areas registered as forests.
Environmentalists often blame production of palm oil, used in everything from soap to lipstick to fuel, for forest degradation in Indonesia. XM/ Reuters
---------
Palm Oil Global Strategic Business Report 2024 - Edible Palm Oil to Benefit from the Growing Aversion to GMO-based Oils
Dublin, April 02, 2024 (GLOBE NEWSWIRE) -- The "Palm Oil - Global Strategic Business Report" has been added to ResearchAndMarkets.com's offering.
The global market for Palm Oil estimated at US$79.3 Billion in the year 2023, is projected to reach a revised size of US$117.9 Billion by 2030, growing at a CAGR of 5.1% over the analysis period 2023-2030.
Crude Palm Oil, one of the segments analyzed in the report, is projected to record 4.5% CAGR and reach US$63.8 Billion by the end of the analysis period. Growth in the Palm Kernel Oil segment is estimated at 6.2% CAGR for the next 8-year period.
The Palm Oil market in the U.S. is estimated at US$3.1 Billion in the year 2023. China, the world's second largest economy, is forecast to reach a projected market size of US$13.9 Billion by the year 2030 trailing a CAGR of 5.8% over the analysis period 2023 to 2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 3.6% and 3.1% respectively over the 2023-2030 period. Within Europe, Germany is forecast to grow at approximately 2.9% CAGR. Read more at Yahoo Finance
---------
MPOB collaborates with IBG Manufacturing to commence trial for biofertiliser
KUALA LUMPUR (April 1): The Malaysian Palm Oil Board (MPOB), in collaboration with IBG Manufacturing Sdn Bhd, has commenced the trial for its latest innovative solution, the iM-bioGuard biofertiliser.
The MPOB said in a statement here on Monday that infused with the potent bacteria Pseudomonas, the biocontrol fertiliser combats the fungal pathogen Ganoderma boninense, which is the cause of the Basal Stem Rot (BSR) disease.
Also known as the 'cancer' of oil palm, BSR is one of the most severe diseases afflicting oil palm estates in major producing countries, particularly in Malaysia and Indonesia, resulting in enormous economic losses of RM1.5 billion each year, it added.
An MPOB patented technology, iM-bioGuard is the first liquid type of biofertiliser that is designed to cater for easy absorption by oil palm, making it possible to significantly reduce the damage caused by the Ganoderma disease.
During a recent visit to the Machap Estate for its demonstration, Deputy Plantation and Commodities Minister Datuk Chan Foong Hin said the introduction of iM-bioGuard represents a significant milestone in collective efforts to mitigate the devastating effects of Ganoderma on the oil palm industry.
“I hope that by starting the first trial with United Malacca Bhd, it can help to increase crop resilience, while promoting environmentally sustainable practices,” said Chan.
On top of that, the MPOB and IBG Manufacturing have signed a commercial agreement to introduce the technology to the industry, of which the collaborative endeavour signifies a united front in advancing sustainable practices and safeguarding the future of Malaysia’s oil palm industry. The Edge Malaysia
|
|
|
April 01, 2024
Indonesia's Mandatory Palm Biodiesel Program Being Tested for B40
InfoSAWIT, JAKARTA – As the largest palm oil producing country in the world, Indonesia has made brilliant achievements in this industry. With total production exceeding 56 million tons and exports reaching 26.33 million tons, palm oil has become a strategic commodity that supports the national economy.
In 2023, the export value of palm oil and its derivatives will reach US$ 28.45 billion or the equivalent of 11.6% of total non-oil and gas exports. In addition, as many as 16.2 million people, including small farmers, have been involved in this industry, either directly or indirectly.
Exports of Indonesian palm oil products have reached more than 125 countries, meeting the needs for food, energy and various other industries throughout the world. Considering the great potential, the Government continues to strive to create added value and develop the downstream palm oil industry. This effort aims to not only depend on exports of raw materials, but also to produce final products with added value.
READ ALSO: Mandatory Biodiesel Saves Foreign Exchange IDR 122 trillion and is an important pillar towards net zero emissions
"Encouraging the use of Mandatory Biodiesel has become one of the Government's main focuses," said Coordinating Minister for Economic Affairs Airlangga Hartarto at the National Coordination Meeting for the National Action Plan for Sustainable Palm Oil Plantations, Thursday (28/03/2024).
In an official statement received by InfoSAWIT , currently, the Mandatory Biodiesel program has achieved a blend of 35% (B35) and has been tested to reach 40% (B40). Realized domestic biodiesel absorption in 2023 will reach 12.2 million kiloliters, which has a big impact in absorbing domestic use of Crude Palm Oil (CPO). Info Sawit
---------
Indonesia. 883 Palm Oil Companies and 52 Cooperatives Have Obtained ISPO Certificates
InfoSAWIT, JAKARTA – In the National Coordination Meeting for the National Action Plan for Sustainable Palm Oil Plantations, Thursday (28/03/2024), Coordinating Minister for Economic Affairs Airlangga Hartarto said that the realization of ISPO certification after the issuance of the RAN KSB Presidential Instruction has cumulatively reached 883 companies and 52 cooperatives/planters' groups.
"The Limited Meeting also discussed the settlement of palm oil in forest areas, so various scenarios have been prepared as mandated by the Job Creation Law," said Coordinating Minister Airlangga.
In an official statement received by InfoSAWIT , Coordinating Minister Airlangga also conveyed a number of results of the Limited Coordination Meeting regarding Community Palm Oil Plantations which was held before the National Coordination Meeting took place, starting from the plan to change the allocation of PSR funds from IDR 30 million/Ha to IDR 60 million/Ha, reducing the initial requirements PSR Program application from 6 requirements to 3 requirements, simplifying the verification process, and shortening the PSR Program application process.
Also present on this occasion were the Head of the Geospatial Information Agency, the Director General of Regional Development at the Ministry of Home Affairs, the Director General for Handling Land Disputes and Conflicts at the Ministry of Agrarian Affairs and Spatial Planning/National Land Agency (ATR/BPN). Read more Info Sawit
---------
Helping Malaysian palm oil smallholders navigate EU rules
ONE of the challenges to Malaysia's palm oil industry is that of scale and fragmentation. The recent announcement by the Plantation and Commodities Ministry of consolidating smallholder farmers is the first step towards improving productivity and yields.
Minister Datuk Seri Johari Abdul Ghani said recently the ministry was consolidating independent palm oil smallholders to manage land more effectively to ensure timely replanting for consistent and maximum yields.
The move could not be timelier as Malaysia manoeuvres the European Union's Deforestation Regulation (EUDR), which becomes applicable on Dec 30. The EUDR seeks to address, particularly the issue of palm oil production and filtering imports into the bloc.
Currently, smallholders manage 27 per cent of the total oil palm planted area and the lack of scale poses challenges in optimising their yield count. With guidance from larger corporations, smallholders could increase the country's crude palm oil production by another 600,000 tonnes a year, without any additional land use.
Consolidation into clusters can be managed more similarly to medium or large estates and will increase capacity among smallholders, ensuring that they can navigate regulatory hurdles, certification processes and transparency and traceability considerations that may be encountered while complying with sustainability requirements.
Consolidation could also result in greater efficiency, leading to higher yields and income. Despite the benefits, smallholder farmers face bigger challenges as the EUDR remains a contentious issue.
One of the thorniest issues is the mandate to importers to verify that there is no deforestation involved in their supply chains. The burden of proof now rests on producers of palm oil, including smallholders, to show that they have adhered to strict sustainability standards.
Satisfying this burden will increase reporting and compliance costs, while the inability to do so regularly might result in their exclusion from the lucrative European market. Read more New Straits Times
---------
Indonesian Ministry pushes for inclusion of vulnerable groups in policy making
Jakarta (ANTARA) - The Ministry of Women's Empowerment and Child Protection emphasized the importance of including women, children, elderly people, people with disabilities, and marginalized communities in creating inclusive and gender-friendly policies.
"Efforts must be made to increase participation from these groups and incorporate their input to ensure comprehensive development programs and policies," said Titi Eko Rahayu, the ministry's acting secretary, in a statement released on Saturday.
She said that various strategies and initiatives have been developed and proven effective in tackling gender issues, yet there are issues that have not been resolved.
One of the main causes is the institutionalized culture of patriarchy, not only in everyday life but also at the levels of policies, socio-cultural, economic, and political development sectors.
"The issue restricts women and other vulnerable groups from participating in development," she said. Read more Antara News
---------
Malaysian expert M.R. Chandran on Ensuring palm oil safe as food ingredient
Strategies for ensuring food safety of palm oil should be intrinsically linked to sustainability. One of the most significant issues facing the palm oil industry is the environmental impact of large-scale production.
Oil palm plantations have been linked to deforestation, habitat loss and displacement of indigenous communities.
Additionally, the use of pesticides and herbicides can contaminate soil and water, potentially leading to adverse health effects. It is thus essential to consider sustainability strategies when discussing the food safety of palm oil.
Examples of sustainability strategies that can be used to improve the food safety of palm oil include:
Improved land use efficiency through increased productivity
Reduced pesticide use
Good manufacturing practices: Palm oil mills and processing facilities should follow good manufacturing practices to prevent contamination
Traceability: Palm oil should be traceable from the plantation to the consumer. This will help to identify and remove contaminated products from the market.
To ensure the safety of palm oil as a food ingredient, it is essential to implement comprehensive controls throughout the entire value chain
The production and processing of palm oil as a food ingredient involves a complex value chain, from cultivation and harvesting to milling, refining and transport. Each stage of this value chain has the potential to introduce contaminants that can affect the quality and safety of the final product.
Therefore, controlling these aspects of the value chain is crucial to ensuring the safety of palm oil as a food ingredient. In addition, it is important to remain vigilant and proactive in identifying and addressing new and emerging contaminant issues, to stay ahead of potential risks to the safety and quality of palm oil products.
Vegetable oils, including palm oil, can be subject to a range of process contaminants. Some of the most important process contaminants in vegetable oils include: Read more at Daily Express
Indonesia's Mandatory Palm Biodiesel Program Being Tested for B40
InfoSAWIT, JAKARTA – As the largest palm oil producing country in the world, Indonesia has made brilliant achievements in this industry. With total production exceeding 56 million tons and exports reaching 26.33 million tons, palm oil has become a strategic commodity that supports the national economy.
In 2023, the export value of palm oil and its derivatives will reach US$ 28.45 billion or the equivalent of 11.6% of total non-oil and gas exports. In addition, as many as 16.2 million people, including small farmers, have been involved in this industry, either directly or indirectly.
Exports of Indonesian palm oil products have reached more than 125 countries, meeting the needs for food, energy and various other industries throughout the world. Considering the great potential, the Government continues to strive to create added value and develop the downstream palm oil industry. This effort aims to not only depend on exports of raw materials, but also to produce final products with added value.
READ ALSO: Mandatory Biodiesel Saves Foreign Exchange IDR 122 trillion and is an important pillar towards net zero emissions
"Encouraging the use of Mandatory Biodiesel has become one of the Government's main focuses," said Coordinating Minister for Economic Affairs Airlangga Hartarto at the National Coordination Meeting for the National Action Plan for Sustainable Palm Oil Plantations, Thursday (28/03/2024).
In an official statement received by InfoSAWIT , currently, the Mandatory Biodiesel program has achieved a blend of 35% (B35) and has been tested to reach 40% (B40). Realized domestic biodiesel absorption in 2023 will reach 12.2 million kiloliters, which has a big impact in absorbing domestic use of Crude Palm Oil (CPO). Info Sawit
---------
Indonesia. 883 Palm Oil Companies and 52 Cooperatives Have Obtained ISPO Certificates
InfoSAWIT, JAKARTA – In the National Coordination Meeting for the National Action Plan for Sustainable Palm Oil Plantations, Thursday (28/03/2024), Coordinating Minister for Economic Affairs Airlangga Hartarto said that the realization of ISPO certification after the issuance of the RAN KSB Presidential Instruction has cumulatively reached 883 companies and 52 cooperatives/planters' groups.
"The Limited Meeting also discussed the settlement of palm oil in forest areas, so various scenarios have been prepared as mandated by the Job Creation Law," said Coordinating Minister Airlangga.
In an official statement received by InfoSAWIT , Coordinating Minister Airlangga also conveyed a number of results of the Limited Coordination Meeting regarding Community Palm Oil Plantations which was held before the National Coordination Meeting took place, starting from the plan to change the allocation of PSR funds from IDR 30 million/Ha to IDR 60 million/Ha, reducing the initial requirements PSR Program application from 6 requirements to 3 requirements, simplifying the verification process, and shortening the PSR Program application process.
Also present on this occasion were the Head of the Geospatial Information Agency, the Director General of Regional Development at the Ministry of Home Affairs, the Director General for Handling Land Disputes and Conflicts at the Ministry of Agrarian Affairs and Spatial Planning/National Land Agency (ATR/BPN). Read more Info Sawit
---------
Helping Malaysian palm oil smallholders navigate EU rules
ONE of the challenges to Malaysia's palm oil industry is that of scale and fragmentation. The recent announcement by the Plantation and Commodities Ministry of consolidating smallholder farmers is the first step towards improving productivity and yields.
Minister Datuk Seri Johari Abdul Ghani said recently the ministry was consolidating independent palm oil smallholders to manage land more effectively to ensure timely replanting for consistent and maximum yields.
The move could not be timelier as Malaysia manoeuvres the European Union's Deforestation Regulation (EUDR), which becomes applicable on Dec 30. The EUDR seeks to address, particularly the issue of palm oil production and filtering imports into the bloc.
Currently, smallholders manage 27 per cent of the total oil palm planted area and the lack of scale poses challenges in optimising their yield count. With guidance from larger corporations, smallholders could increase the country's crude palm oil production by another 600,000 tonnes a year, without any additional land use.
Consolidation into clusters can be managed more similarly to medium or large estates and will increase capacity among smallholders, ensuring that they can navigate regulatory hurdles, certification processes and transparency and traceability considerations that may be encountered while complying with sustainability requirements.
Consolidation could also result in greater efficiency, leading to higher yields and income. Despite the benefits, smallholder farmers face bigger challenges as the EUDR remains a contentious issue.
One of the thorniest issues is the mandate to importers to verify that there is no deforestation involved in their supply chains. The burden of proof now rests on producers of palm oil, including smallholders, to show that they have adhered to strict sustainability standards.
Satisfying this burden will increase reporting and compliance costs, while the inability to do so regularly might result in their exclusion from the lucrative European market. Read more New Straits Times
---------
Indonesian Ministry pushes for inclusion of vulnerable groups in policy making
Jakarta (ANTARA) - The Ministry of Women's Empowerment and Child Protection emphasized the importance of including women, children, elderly people, people with disabilities, and marginalized communities in creating inclusive and gender-friendly policies.
"Efforts must be made to increase participation from these groups and incorporate their input to ensure comprehensive development programs and policies," said Titi Eko Rahayu, the ministry's acting secretary, in a statement released on Saturday.
She said that various strategies and initiatives have been developed and proven effective in tackling gender issues, yet there are issues that have not been resolved.
One of the main causes is the institutionalized culture of patriarchy, not only in everyday life but also at the levels of policies, socio-cultural, economic, and political development sectors.
"The issue restricts women and other vulnerable groups from participating in development," she said. Read more Antara News
---------
Malaysian expert M.R. Chandran on Ensuring palm oil safe as food ingredient
Strategies for ensuring food safety of palm oil should be intrinsically linked to sustainability. One of the most significant issues facing the palm oil industry is the environmental impact of large-scale production.
Oil palm plantations have been linked to deforestation, habitat loss and displacement of indigenous communities.
Additionally, the use of pesticides and herbicides can contaminate soil and water, potentially leading to adverse health effects. It is thus essential to consider sustainability strategies when discussing the food safety of palm oil.
Examples of sustainability strategies that can be used to improve the food safety of palm oil include:
Improved land use efficiency through increased productivity
Reduced pesticide use
Good manufacturing practices: Palm oil mills and processing facilities should follow good manufacturing practices to prevent contamination
Traceability: Palm oil should be traceable from the plantation to the consumer. This will help to identify and remove contaminated products from the market.
To ensure the safety of palm oil as a food ingredient, it is essential to implement comprehensive controls throughout the entire value chain
The production and processing of palm oil as a food ingredient involves a complex value chain, from cultivation and harvesting to milling, refining and transport. Each stage of this value chain has the potential to introduce contaminants that can affect the quality and safety of the final product.
Therefore, controlling these aspects of the value chain is crucial to ensuring the safety of palm oil as a food ingredient. In addition, it is important to remain vigilant and proactive in identifying and addressing new and emerging contaminant issues, to stay ahead of potential risks to the safety and quality of palm oil products.
Vegetable oils, including palm oil, can be subject to a range of process contaminants. Some of the most important process contaminants in vegetable oils include: Read more at Daily Express
|
|
|
CSPO Watch April 2024 Palm oil news