Headline News on Palm Oil. July 2021

​​​
​Read curated news that impacts the global palm oil industry.
​
CSPO Watch News. Making it easy for you to follow the palm oil industry

---

Malaysia - ​Experts Tapped To Hear Malaysia Palm Oil Fight Against EU
Law360 (July 30, 2021, 5:46 PM EDT) -- Three trade law experts were tapped by the World Trade Organization's director-general to fill a panel that will hear Malaysia's challenge to a European Union plan phasing out palm oil-based biofuels, according to a notice published Friday.

WTO Director Ngozi Okonjo-Iweala tapped Manzoor Ahmad of Pakistan to chair a panel including Sarah Paterson of New Zealand and Arie Reich of Israel, who will hear Malaysia's challenge to the EU's 2018 Renewable Energy Sources directive after the two governments failed to agree on panelists. Law360

China - ​Competition heats up in China’s UCO market
More Chinese trading companies are gearing up to enter the biodiesel feedstock market, with more heated competition likely to pressure seller margins.

In June-July, 29 China-based companies became certified for the first time as traders under the International Sustainability & Carbon Certification (ISCC) system, the highest number in a two-month period. ISCC is designed to ensure sustainability of raw materials, and is the main body that accredits biofuels and feedstocks entering the EU market. ArgusMedia

Malaysia - MPOB invents technology to treat palm oil mill effluent
KUALA LUMPUR (July 30): The Malaysian Palm Oil Board (MPOB) has invented technology to treat palm oil mill effluent (POME) called Palm Kernel Shell Activated Carbon for Wastewater Treatment.

Director-general Dr Ahmad Parveez Ghulam Kadir said in a statement that the technology which uses oil palm kernel shell biomass will integrate biological processes with activated carbon for POME final discharge treatment.

"Oil palm kernel shell biomass is used as feedstock for activated carbon production due to its high density, high carbon and low ash content. TheEdgeMarkets

Nigeria - Expert underlines poor access to credit, technology for Nigeria’s low oil palm output
Lack of access to credit facilities and improved technologies is responsible for Nigeria’s poor two percent contribution to the global oil palm industry. Oil palm production in Nigeria is 70 percent controlled by smallholder farmers who face challenges accessing credit and are, therefore, unable to make significant outputs.

Samson Remison, professor of agriculture, Department of Crop Science, Ambrose Alli University, (AAU), Edo State, made the disclosure during the 2021 seed meeting, In-house Research Review and Annual South-South REFILLS workshop organised by the Nigerian Institute for Oil Palm Research (NIFOR) in Benin.

Remison, who bemoaned the inability of the smallholder farmers in the oil palm sector to access the Central Bank of Nigeria (CBN) agricultural finance interventions, also noted that the programmes were mostly discriminatory and focused on the big plantation owners with impressive cash flow and better ability to pay back loans. BusinessAM

Nigeria - ​Presco shareholders approve N2bn dividend payment
The shareholders of Presco Plc have approved a 200 kobo per share dividend, amounting to N2bn for the 2020 financial year just as its chairman announced revenue of N23.89bn.

According to a statement, the shareholders gave the approval at the company’s 28th Annual General Meeting held by proxy at Obaretin Estate, Ikpoba-Okha Local Government Area, Edo State on Wednesday.

 The Chairman, Paul Cardoen, announced to the shareholders that the firm’s revenue increased by 21 per cent from N19.72bn in 2019. PunchNG

Food insecurity looms in Northern Nigeria — UN
The United Nations Development Programme (UNDP) – Global Environment Facility (GEF) said the Food and Agriculture Organisation (FAO) had warned that people in northern Nigeria are at risk of acute food insecurity.

The UN-FAO projected that an estimated 13 million people in the area face the risk of acute food insecurity in the next few months.

Rhoda Dia, Project Manager, UNDP – GEF, in charge of Resilient Food Security Project, gave out this information on Wednesday while speaking with the News Agency of Nigeria (NAN) in Abuja.

Ms Dia who spoke on phone with NAN said the warning had become imperative because the country was facing growing levels of acute food insecurity due to decades of insecurity across the country. PremiumTimesNG

Australia - (REPORT) ​The future of biodiesel
World biodiesel demand and production is supported by various mandatory government renewable fuel policies. The top four producers of biodiesel in the world are the EU, US, Brazil, and Indonesia (figure 1), but the feedstock mix varies considerably between producers.

The four primary fat source feedstocks utilized for US production in 2020 were soy oil (62%), corn oil (11%), canola oil (9%) and used cooking oil (UCO) (7%).  In the EU, canola (42%), UCO (20%) and palm (17%) oil dominate. Indonesia exclusively uses palm oil, while Brazil utilizes soy oil (84%) and animal fat (16%).

From an Australian perspective, the EU is the most relevant biofuel market to consider, as in 2020, it utilised 6.1mmt of canola oil as biodiesel feedstock – the equivalent of 16mmt of canola seed. However, the indirect impact world biodiesel demand has on the overall oilseed complex, and hence canola demand and prices is significant.​ Mercado

German rapeseed exports hit record volumes
German rapeseed meal exports have reached a record level.
In the period July 2020 to May this year, exports were up 17% on the previous year and larger than ever before.
Over that period, Germany exported just less than 2 million tonnes of rapeseed meal.
According to information published by the German Federal Statistical Office, this was up approximately 17% year-on-year and the largest tonnage on record.
Most of this, just less than 1.9 million tonnes, remained in the European Union. The Netherlands was the largest recipient, taking 950,000 tonnes (up 25%), followed by Spain which received 282,000 tonnes (up 29%).
Finland held third place, despite a decline of 12%to 141,000 tonnes. Exports to France increased marginally to 139,000 tonnes.​ BiofuelsNews

Indonesia succeeds as biodiesel pioneer: ESDM Ministry
Jakarta (ANTARA) - Achievement of the B30 biodiesel development program demonstrates Indonesia's success as a B30 pioneer, Dadan Kusdiana, Director General of New, Renewable Energy, and Energy Conservation (EBTKE) at the Energy and Mineral Resources Ministry (ESDM), said.

“Our provision and utilization of biodiesel have made us the world’s leader in B30 implementation,” he affirmed here on Monday.

The  program has also reduced 11.4 million tons of carbon dioxide emissions, Kusdiana pointed out.

During the first semester of 2021, the government had distributed 4.3 million kiloliters of biodiesel, with economic value of Rp29.9 trillion comprising foreign exchange savings of Rp24.6 trillion and Rp5.3 trillion added value from processing crude palm oil to biodiesel, he stated.

Indonesia uses palm oil to produce biodiesel on account of its position as the world's second largest  producer of the commodity, Kusidiana explained. AntaraNews

Indonesia - ​UPDATE 1-Indonesia Q2 foreign direct investment rise 19.6% y/y
* Q2 FDI growth is highest since end of 2015

* Investment ministry reports $8.1 bln FDI

* Q3 outlook clouded by new COVID-19 wave

* U.S. Cargill to invest in Sept or Oct, minister says (Adds details)

JAKARTA, July 27 (Reuters) - Foreign direct investment (FDI) into Indonesia surged 19.6% on a yearly basis in the second quarter in rupiah terms, the country's investment ministry said on Tuesday, the highest rise in over five years.

Total FDI in April-June stood at 116.8 trillion rupiah ($8.06 billion), excluding FDI into banking and the oil and gas sector.

The second-quarter FDI growth was the strongest since the fourth quarter of 2015, according to Refinitiv data.

With domestic investment, total direct invest in the second quarter stood at 223 trillion rupiah, up 16.2% from a year earlier. YahooFinance

Nigeria - Oil palm producers target N2 million yearly from free seedlings
The National Palm Producer Association of Nigeria (NPPAN) has unveiled plans to empower youths and women across 24 states of the Federation with free 20 oil palm seedlings.

The beneficiaries are expected to start generating a minimum of N2 million yearly from each hectare of the palm tree starting from the third year of planting over a period of 50 years.

The aim of the association is to plant 10 million palm trees across the 24 oil palm producing states and to achieve this each household would be provided with 20 free oil palm seedlings.

The National President, NPPAN, Alphonsus Inyang, while speaking on activities of the association in Abuja, solicited partnership from relevant youth and women organisations, urging them to be part of the 10 million oil palm seedlings distribution programme.​ GuardianNG

Nigeria - ​Don Bemoans Smallholder Farmers’ Inability To Access CBN Intervention Funds
A Professor of Crop Science, Professor Samson Remison, of the Department of Crop Science, Ambrose Alli University, AAU, Ekpoma, Edo State, on Tuesday lamented that smallholder farmers in Nigeria were not able to access the Central Bank of Nigeria (CBN) interventions in the oil palm sector.

Remison made this known in his keynote address during the ongoing 2021 Seed Meeting, In-house Research Review and Annual South-South REFILS workshop organised by the Nigerian Institute for Oil Palm Research (NIFOR) in Benin.

“The Anchor Borrowers’ Programme of the Federal Government was launched to provide seeds and cash to farmers to grow crops. The participating Banks working with CBN lend to Anchors at nine percent per annum for onward disbursement to farmers. It appears CBN interventions in the oil sector are discriminatory as CBN interventions were mostly targeted and focused on the big plantation owners with impressive cash flow and better ability to pay back the loans. So smallholder farmers are not able to access the interventions,” he lamented. TribuneNG

India - ​Oil palm cultivation can be expanded while sparing biodiversity in India
India is the world’s largest consumer and importer of palm oil. In an aggressive push towards self-sufficiency in vegetable oils, the Indian government is prioritizing the rapid expansion of domestic oil palm plantations to meet an expected doubling in palm oil consumption in the next 15 years. Yet the current expansion of oil palm in India is occurring at the expense of biodiversity-rich landscapes. Using a spatially explicit model, we show that at the national scale India appears to have viable options to satisfy its projected national demand for palm oil without compromising either its biodiversity or its food security. At finer spatial scales, India’s oil palm expansion needs to incorporate region-specific contingencies and account for trade-offs between biodiversity conservation, climate change, agricultural inputs and economic and social security. The policy decisions that India takes with respect to oil palm can substantially reduce future pressures to convert forests to oil palm plantations in the tropics globally. Nature

US - ​Soaring demand for soy renewable diesel will change markets
New low-carbon fuel standards coming online in California and other states and approved and about to be enacted in Canada are creating such demand for soybean oil as a renewable diesel feedstock that it could soon be priced out of the export market altogether.

That’s the scenario laid out by veg oil analysts at IHS Markit in a recent webinar. Paul Hughes, executive director of research and analysis of the agricultural economist team at IHS Markit, led a panel in discussing the new low carbon fuel standard in California, which considers not just the emissions of the fuel additive itself but the amount of carbon used to produce it. California has committed to reducing the “carbon intensity” of all its fuels by 20% by 2030. Analysts Wes Petkau, Emerson Wohlenberg and Mario Lopez explored the pricing implications of the rising demand tide.

Hughes showed charts indicating that while ethanol remains the single largest source of carbon credits, its use has been flat, while the use of other biodiesel types is steadily rising. HighPlainsJournal

Malaysia - (REPORT) ​Drivers Of Land Use Emissions 1961-2017: What Does It Say About Malaysian Palm Oil?
A comprehensive inventory of land-use and agricultural emissions was published in Nature (January 2021) and highlighted that agricultural activities contributed 25% to the total anthropogenic GHG emissions throughout the period of 2001-2017, driven by rising emissions per land area. Using time series data on population, agricultural production, land area and emissions, the authors revealed the following: 

There is a huge distinction among geographical regions in terms of global emissions. The highest emitting nations are the poorer regions of Southeast Asia, Latin America and sub-Saharan Africa; linked to agricultural land expansion. The more affluent Global North including North America, Europe and Oceania showed negative land use change emissions but agricultural emissions are substantial and flat. East Asia, South Asia and the Middle East, termed by the authors as emerging markets, produced less land use change emissions, however, its agricultural emissions are strongly increasing in line with population expansion. MPOC

Malaysia - ​Malaysian companies’ ESG practices to come under more scrutiny
THE scrutiny on Malaysian companies’ environmental, social and governance (ESG) practices is expected to be more intense following the country’s downgrade to Tier 3 in the US State Department’s Trafficking in Persons Report. This comes on the back of several Malaysian companies being investigated and their products held up at US ports by the US Customs and Border Protection (CBP) on allegations of having used forced labour in their production.

As ESG becomes more important to investors the world over, will these allegations cause foreign funds to reduce their holdings of Malaysian stocks?

Anand Pathmakanthan, regional head of equities research at Maybank Kim Eng, opines that the downgrade will have an impact on Malaysian stocks, especially companies that employ a large number of foreign workers. TheEdgeMarkets

Nigeria - ​Driving businesses with interventions
Godwin Emefiele as governor of the Central Bank of Nigeria (CBN) has rolled out several economic intervention programmes to battle recession and inflation; tried to mitigate the slide of the Naira and manage forex availability; pursued an  agenda to keep bank profitable without transferring the cost to their customers; and a first of its kind response to COVID-19 outbreak.

Emefiele’s interventions are aimed at stimulating the growth of the Micro Small and Medium Enterprises (MSMEs) space with requisite skills and finance; so, they are in a good shape to create jobs and impact the economy for growth.

Unfortunately, not all of the CBN’s interventions under Emefiele have met set targets as insecurity has nearly crippled economic activities in some areas. Constant farmers-herders clashes and other socio-political tensions have slowed projected growth. TheNationNG

Nigeria - ​NPPAN To Empower Youths, Women With Free Oil Palm Seedlings
The National Palm Produce Association of Nigeria (NPPAN) has disclosed readiness to empower youths and women with free 20 oil palm seedlings.

This was disclosed by the National President, NPPAN, Amb Alphonsus Inyang, while speaking on activities of the association and where it needs partnership with relevant youth and women organizations on how they can be part of the association’s 10 million oil palm seedlings distribution programme.

According to him, palm trees when planted will be harvested for up to 50 years; one hectare of palm trees will give you a minimum profit of N2 million from the third year. TribuneNG

Pakistan - ​Focus on agriculture growth vital for food security as import bill rising
LAHORE - The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Businessmen Panel has stressed the need for giving priority to agriculture sector with a view to ensure food security, as Pakistan’s food import bill has jumped by almost 54% to $8 billion in fiscal year 2020-21, mainly owing to wheat, sugar, pulses and palm oil imports to fulfill the shortfall of local agriculture production.

FPCCI’s Businessmen Panel Chairman Mian Anjum Nisar pointed out that in the budget for 2021-22, the government had proposed several measures, including allocation of billions of rupees for increasing per acre yield, reducing wastage and establishing big stores for keeping staple food items, which need proper implementation by the authorities.
NationPK

Sri Lanka, tea, palm oil farms to be hit by fertilizer ban: Fitch
ECONOMYNEXT – Sri Lanka’s tea and oil palm farming companies are likely to be hit from a fertilizer ban Fitch Ratings said though prices may rise to compensate, Fitch Ratings said as imports were curtailed after money printing created forex shortages.

“Fitch views the current ban on the importation of chemical fertilisers as a credit negative for rated corporates such as Kotagala Plantations PLC and Sunshine, given their exposure to palm oil plantations,” the rating agency said.

“On 6 May 2021, Sri Lanka banned the importation of chemical agricultural inputs such as fertilisers on health grounds, and the government estimates this will conserve around USD400 million of outflows per annum.” EconomyNext

Indonesia to make biomass co-firing mandatory in power plants
JAKARTA, July 23 (Reuters) - Indonesia plans to make the co-firing of biomass in power stations mandatory as part of its efforts to phase out coal power plants, which account for more than 60% of its electricity supplies, an energy ministry director said on Friday.

The Southeast Asian country is the world's biggest thermal coal exporter and relies heavily the fuel domestically, but authorities have pledged to start phasing out coal under climate change commitments.

"This co-firing programme is an intermediate solution as we determine how to phase out coal power plants," Chrisnawan Anditya, a renewable energy director at the Energy and Mineral Resources Ministry, told an online seminar.

He said the government is preparing a regulation to implement the mandatory co-firing, which would apply to state electricity utility PT Perusahaan Listrik Negara (PLN) as well as independent power producers.​ Nasdaq

UK - ​Biofuel Gains Traction in UK Offshore Wind Service Sector
A second-generation biofuel derived from waste vegetable oil is gaining traction in the UK's offshore wind industry, which - despite its solid green credentials - must still rely on diesel-powered crew transfer vessels (CTVs) and other workboats for its operations.

Hydrotreated vegetable oil (HVO) offers the drop-in replacement convenience of conventional biodiesel, but without the engine compatibility issues, bacterial degradation and water contamination often encountered with high-percentage blends of fatty-acid methyl ester (FAME) fuel. It is manufacturer-approved by several diesel builders, like Volvo Penta, which has given HVO the green light for use in its engines at blend ratios of up to 100 percent.

Since it is a simple and cost-effective way to achieve carbon emissions reductions, HVO is taking hold in the UK offshore wind service sector. MaritimeExecutive

China's UCO, biodiesel exports keep rising
Chinese biodiesel exports hit a monthly all-time high of 135,000t in June with surging demand for waste-based fuel in Europe.

Tighter supplies, higher vegetable oil costs and heavy incentives sent prices of used cooking oil (UCO) methyl ester to a peak of $1,822/t fob Amsterdam-Rotterdam-Antwerp in June, the highest level since Argus began assessing it in August 2013.

Chinese biodiesel sales during January-June were up by 39pc from a year earlier to 580,000t from what was already a record-setting year in 2020. The Netherlands, Spain and Belgium bought the most, receiving 383,000t, 138,000t and 32,000t respectively. ArgusMedia

Kenya - ​Eni considers Kenyan waste for bio-refineries, converting Mombasa plant
Eni and the Ministry of Petroleum and Mining of Kenya signed Wednesday a Memorandum of Understanding to promote the decarbonization process to tackle climate change through new industrial models of fully-integrated circular economy along the whole bio-fuel production value chain.

The parties will jointly conduct feasibility studies to develop waste and residue collection as well as agricultural projects, with the purpose of establishing a wide range of feedstock sources that do not compete with food cycles, to be transformed into bio-fuels and bio-products that might contribute to feed Eni’s bio-refineries in Gela and Venice, Italy. EurasiaReview

Malaysia - ​Ratify RCEP fast to spur post-pandemic economic recovery
THE government must quickly ratify the Regional Comprehensive Economic Partnership (RCEP) to support the post-Covid-19 economic recovery and reposition Malaysia as an attractive place of doing business.

Socio-Economic Research Centre (SERC) ED Lee Heng Guie said trade and investment facilitation must also be provided to Malaysian companies, manufacturers and exporters to market internationally within the 15-member RCEP market and the 11-member Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) bloc respectively.​ TheMalaysianReserve

Liberia's National Interpretation of RSPO Principles and Criteria Takes Effect
Liberia's 'National Interpretation of the Roundtable for Sustainable Palm Oil or RSPO Principles and Criteria' is now effective following its endorsement by the certification body's Board of Governors and publication on its official website.

This comes after a comprehensive process to meet all the requirements stipulated in the formulation of the interpretation, including roadshows and public consultations to solicit opinions and participation from the general public. AllAfrica

India - ​Oil seeds production target not met in last 3 years
New Delhi: The production target for oil seeds and the area expansion target for oil palm under the National Food Security Mission (NFSM) could not be met during the last three years, according to data submitted by the government to the Lok Sabha on Tuesday.

Under the NFSM-Oilseeds, there was 315.22 lakh tonnes production against the target of 360 lakh tonnes for the year 2018-29; for the year 2019-20, 322.19 lakh tonnes was produced against the target of 361.00 lakh tonnes; while for the year 2020-21, the production is pegged at an estimated 365.65 lakh tonnes against the target of 370.00 lakh tonnes, the government said.

Similarly, under the NFSM-Oil Palm, the year-wise area expansion target for 2018-19 was 26,157-hectare while the achievement was only 11,807-hectare; for the year 2019-2020, the area expansion was 13,274-hectare against the target of 17,780-hectare; and in 2020-21, it was 14,090-hectare against the target of 22,815-hectare, Union Minister for Agriculture and Farmers' Welfare, Narendra Singh Tomar, said in a statement laid on the table in reply to a question by MPs Bhartruhari Mahtab and Sudhakar Tukaram Shrangare.

Under the NFSM (Oilseeds), the Central government has set up 36 oilseeds hubs during 2018-19 and 2019-20 with an objective to increase the availability of high-yielding quality seeds. SIFY

India - ​Hyderabad: Farmers urged to take up oil palm cultivation
Hyderabad: Agriculture Minister S Niranjan Reddy has stressed the need for oil palm production and commercial crops. He attended a virtual meeting through T Sat channel and instructed the officials concerned to encourage farmers in the State to produce oil palm.

"There is a huge demand for oil production in the country. We are importing heavy quantities by spending Rs 70,000 crore," he said. "To tide over this problem farmers in Telangana should go in for cultivation of oil palm and get all support from the government", he said. "The government aims to cultivate oil palm in 20 lakh acres and farmers should come forward. We will give incentives and subsidies for oil palm cultivation to farmers," Reddy stated.

"The agriculture sector in the State is reaping benefits with more production and completion of the irrigation projects", he claimed. "Now that the Centre is importing heavy quantities of oil we can grab this opportunity," he remarked. "Farmers in the State should immediately take up oil palm production and get benefits through the yield. There is a huge demand for oil in the country", he said. "People in the country consume 22 lakh mt litres while only seven lakh mt litres of oils are produced in the country. To fill this gap, Telangana farmers should shift to oil palm, theel, sun flower and groundnut and other commercial crops which get them benefits. The government offers Rs 36,000 including Rs 24,000 subsidy for the first year, Rs 5,000 during second and third years for oil palm cultivation," he said. TheHansIndia

Nigeria to Lose Vegetation By 2039 Unless... - Climate Specialists
As Solidaridad inaugurates Multi Stakeholder Platform for sustainable Oil-palm production in Kogi

By year 2039, Nigeria may have lost all its vegetation and experience serious environmental hazard unless urgent steps are taken to reverse the trend.

Senior Climate Specialist and County Director of Solidaridad West Africa, a solution-oriented Civil Society Organisations, Dr. Sam Ogallah stated this, weekend, in Lokoja during the inauguration of Multi-Stakeholder Platform (MSP) for Sustainable Climate Smart Oil Palm production among communities in Kogi.

Dr Ogalla said unless Nigeria adopts the plantation of sustainable climate smart crops, the country faces a serious climate vulnerability in less than 20 years. AllAfrica

Malaysia should step up sustainability efforts to attract foreign investments, says Swedish envoy
KUALA LUMPUR, July 19 — As the world deals with the global climate crisis, it is crucial for Malaysia to enhance its sustainability initiatives to ensure a better future for the younger generation, said Swedish Ambassador to Malaysia, Dag Juhlin-Dannfelt.

At the same time, the country can also leverage its strategic location and competitive position to attract more trade and investments, he said.

“We tend to look at sustainability as a key competitive advantage for the future.. so companies who do not manage to shift from the traditional production lines to sustainable versions would no longer be competitive in the next 10 years. MalayMail

 Another two biojet supply partnerships agreed
Two new partnerships aimed at scaling up the production and use of sustainable aviation fuel (SAF) have been agreed, one focused in Europe and the other a global initiative. The new biojet partnerships coincide with the EU's proposal for a SAF blending mandate, which is expected to boost investment in cleaner aviation fuels in Europe.

Spanish integrated firm Repsol and Spanish airline Iberia, operated by airline group IAG, have agreed to work together to promote sustainable mobility through several initiatives, including SAF research and production. The companies are also aiming to develop processes to produce and supply electricity and renewable hydrogen to decarbonise Iberia's fleet of land vehicles.

IAG said earlier this year that it will buy 1mn t/yr of SAF by 2030 and aims to power 10pc of its flights with biojet by the end of the decade. Repsol has produced co-processed SAF at its industrial complex in Tarragona and at its Puertollano refinery.​ ArgusMedia

India - ​Telangana to grow oil palm on 8.09 lakh ha
Telangana to promote oil palm with subsidies

Hyderabad: In the wake of growing demand for palm oil in the world market, the Telangana Government proposes to give a big push to oil palm cultivation in the State. It is likely to give huge incentives, including subsidies to the farmers. This was decided at the cabinet meeting on Wednesday. According to the CMO, a delegation of ministers and legislators would visit Malaysia, Thailand and Indonesia to study the farming techniques adopted in the cultivation of the oil seeds.

The government proposes to promote oil palm farming in 20 lakh acres for 2022-23. The cabinet also approved providing Rs 26,000 subsidy per acre in the first year of the farming and Rs 5,000 each for second and third years. The main objective of extending subsidies to the farmers is to attract farmers to shift to oil palm cultivation. To ensure the availability of the oil palm plants at the village level, the government decided to set up palm nurseries in coordination with the Forest Development Corporation, Panchayat Raj and Rural Development departments.  TheHansIndia

African Development Bank supports creation of agricultural value chains in Côte d’Ivoire
The African Development Bank has agreed to support Côte d’Ivoire in creating agricultural value chains to create more jobs and make economic growth more inclusive, the bank’s president, Dr. Akinwumi A. Adesina, said last week, during a meeting with Ivorian Prime Minister Patrick Achi.

“The African Development Bank will support the Ivorian government in the creation of agricultural value chains in banana, mango, palm oil, cashew, coffee and cocoa products … There will be investments to transform rural areas into areas of wealth for the people,” Adesina said.

Since 2015, the African Development Bank, whose head office is based in Abidjan, has quadrupled its investments in Côte d’Ivoire, bringing its portfolio to $2.7 billion.​ TheSierraLeoneTelegraph

Malaysia - ​MPOC signs MoU with Izmir Commodity Exchange
KUALA LUMPUR: The Malaysian Palm Oil Council (MPOC) has signed a memorandum of understanding (MoU) with Turkey’s Izmir Commodity Exchange.

Both parties will expand cooperation in areas of mutual interest to broadly promote the development and use of Malaysian palm oil and Malaysian Sustainable Palm Oil Certification as a valuable commodity.

Plantation Industries and Commodities Minister Datuk Dr Mohd Khairuddin Aman Razali said through the MoU, Izmir Bursa Academy (IBA) has agreed to collaborate through various projects including business and technical information sharing, awareness raising, certification and joint promotional activities.

IBA is the education arm of Izmir Commodity Exchange​. TheStarMY

Nigeria - ​Firm unveils biomass briquettes as substitute to traditional charcoal
To address the issue of deforestation, considered as one of the factors contributing to the challenges of climate change in the country, the Golden Seeds Fats and Oil Limited has commenced the production of biomass briquettes, as substitute to traditional charcoal.

The Chief Executive Officer/Co-Founder of the company, Mr Lanre Sam-Akinkunmi, who announced this in Lagos, said between 2009 and 2015, Nigeria lost 40 per cent of its rain forest due to recurring deforestation, not only because of charcoal production but other woods application like furniture and others.

Sam-Akinkunmi noted that briquette charcoal was a direct substitute for the traditional tree charcoal, describing it as efficient, consistent, long lasting and beneficial to the environment. GuardianNG

Indonesia - ​Govt promoting bio-CNG as LPG substitute
Jakarta (ANTARA) - The Indonesian government is encouraging the conversion of biogas into bio-compressed natural gas (CNG) for use as a primary energy substitute for liquefied petroleum gas (LPG), a senior official has said.  

"Bio-CNG involves the purification of biogas by separating carbon dioxide (CO2) and carbon tetraoxide (CO4) and scrapping other imperitic gas components to produce methane having content above 95 percent," director of bioenergy at the Mineral Resources and Energy Ministry, Andriah Feby Misna, said in a written statement released on Friday.

Before it is purified, biogas contains around 60 percent of methane as fuel, while the rest are compounds in the form of carbon dioxide, water vapor, and hydrogen sulfide, she informed. AntaraNews

Canada - ​Sector’s big bets on biofuel likely to pay off in Canada
New canola crushing capacity will provide an expanded, ready market for western Canadian farmers. The underlying demand comes from government policy changes that support an increase in biofuel use.

While markets can be fickle when based on policy rather than practicality, this market seems to have solid underpinnings.

The flurry of new domestic crushing project announcements in Western Canada since the Biden administration took over in Washington is no coincidence. A return to Obama-like adoption in the United States of the Paris climate agreement should create more demand for biofuels, with or without an expanded biofuel blending mandate.

The European Union is producing less rapeseed for biofuel production and public opinion has cooled regarding palm oil imports for energy use. Canadian canola and canola oil exports are the big winners when it comes to source of choice in Europe. Producer

There’s a Frenzy in Plantation Deals on Back of Palm Oil Rally, ESG Worries
(Bloomberg) -- A blistering palm oil rally is stoking a flurry of plantation deals as growers brace for stiffer challenges from environmental and labor risks.

Higher prices of the tropical oil over the past year created a profit windfall for the industry, making the time ripe for cash-rich planters to snap up plantation assets. It’s also an opportunity to monetize estates for smaller-sized growers grappling with rising operational costs and worker shortages, as well as heightened scrutiny on environmental, social and governance issues.

Palm oil, used in everything from cooking oil to chocolate and detergent, is trading more than 40% above its five-year average amid a global rally in farm commodities, lower-than-expected production and optimism over demand. Still, while vaccination efforts are picking up in some parts of the world, several countries are battling fresh infections and renewed lockdowns, complicating matters for an industry so heavily reliant on manual labor. Bloomberg

China - ​Chinese financial institutions gave US$5.1b in funding from 2013-2020 to Chinese companies in palm oil value chain — report
KUALA LUMPUR (July 9): Chinese financial institutions provided a total of US$5.1 billion in loans and underwriting between 2013 and 2020 to Chinese companies involved in the palm oil value chain, according to the latest findings by non-profit CDP.

In its latest report titled "The Hidden Risk: The implications for Chinese financial institutions of forest-related risk within the palm oil supply chain", the organisation had analysed the financial flows from Chinese financial institutions to 31 companies most exposed to forest-related risks in the entire palm oil supply chain in China. 

The companies were selected based on the consumption of palm oil in key sectors, including edible oil, food and beverage, food service and restaurants, personal care and detergents, and cosmetics.

CDP found that a grand total of US$28.7 billion in loans and underwriting were linked to palm oil in China between 2013 and 2020.​ TheEdgeMarkets

Malaysia - ​Used cooking oil businesses must have MPOB license
Business entities that run any used cooking oil collection in the market must obtain a licence from the Malaysian Palm Oil Board (MPOB) as the Board regulates such activities, especially if they involve palm oil.

MPOB DG Dr Ahmad Parveez Ghulam Kadir said the license fee has been set at RM100 annually while the approval is subject upon fulfilment of four key criteria.

The company must be registered with the Companies Commission of Malaysia (SSM) with capital of RM50, 000 or RM 100,000, if there are export activities and proof of capital can be obtained through SSM’s capital and share information, latest bank statement (sole proprietor) and cooperative share ownership.

The company must also present legal ownership and necessary documents to demonstrate the ownership of the land or premise. TheMalaysianReserve

Deciphering biofuels policies across Europe
Even as Europe considers a major revamp of the Renewable Energy Directive (RED) governing EU biofuels policy until 2030, member states have been working to meet a fast approaching deadline to implement the legislation in its current form, known as RED II.
The existing legislation gives EU Member States some flexibility in how they use biofuels to achieve RED II targets for renewable energy in transport and for reduction of greenhouse gas (GHG) intensity of fuels under the Fuel Quality Directive (FQD).
RED II allows each country to use crop-based biofuels such as renewable ethanol, capped at whatever their 2020 level was plus 1%, with a 7% maximum.
It aims for a 3.5% share of advanced biofuels by 2030, with double counting. RED II also caps “high indirect land use change (ILUC) risk biofuels” (those made from palm oil) at 2019 levels and phases them out starting from 2023.​ BiofuelsNews

Ghana - ​The three top non-traditional commodities for first quarter of 2021
Cashew nuts, palm oil and tuna now top 3 Non-Traditional Export commodities

Cashew nuts, Palm oil and Preserved or Prepared Tuna were the top three Non-Traditional Export commodities for the first quarter of this year.

According to data from the Bank of Ghana, the three together earned the nation $217.4 million.

The value of the top-10 non-traditional export commodities during the first quarter of this year amounted to $342.24 million.

This is compared with $292.36 million during the same period last year. MyJoyOnline

Nigeria - ​Golden seeds diversifies into biomass briquettes for export
The Chief Executive Officer/co-Founder of  Golden Seeds Fats and Oil Ltd, Sam-Akinkunmi, has announced its diversification into the production  of biomass briquettes using palm nut shells.

Sam-Akinkunmi disclosed that briquette production had immense economic benefits, making it one of the hottest processing industries to venture into.

Biomass briquettes are a biofuel substitute to charcoal, mostly used in developing countries, where cooking fuels are not easily accessible to industries and grilling outfits.

“We are into the palm oil and palm nut value chain, where we derive products from the palm oil tree. Our primary business has been processing palm nuts into palm oil and palm kernel cake.​ VanguardNGR

Tanzania: How Tanzania Plans to Curb Cooking Oil Shortages
Mtwara — Currently, Tanzania produces only 205,000 tonnes of cooking oil a year, which is not enough to meet its annual demand of 570,000 tonnes. The country is thus compelled to spend over Sh443 billion annually to import 365,000 tonnes of edible oil to cover the shortage.

Meanwhile, the government has been making efforts to ensure domestic oil production increases substantially.

To that end, farmers of the requisite raw materials have been called upon to apply correct technologies and good farming practices as advised by agricultural experts so that they would eventually boost their production.

Tanzania Agricultural Research Institute (Tari) director general Geofrey Mkamilo says the current situation, which has been ongoing for long, is unaccep

table. This is why the government through the Agriculture ministry has laid down strategies designed to ensure that cooking oil is produced locally to at least meet the domestic demand. AllAfrica

Report: ‘Sustainable production and consumption better than exclusion, for sustainable fats and oils sector’
Boycotts and bans on specific fats and oils are an oversimplified solution to a complex problem, reveals a new report published today by multi-stakeholder initiative, the Edible Fats and Oils Collaboration. IUCN NL has come on board for this report and now is one of the members of the Collaboration.

Comparison of major oils and fats and their impacts
In a world-first, the ‘Breaking down fats and oils’ report analyses all the major vegetable oils and animal fats consumed globally as one system, presenting a comparison of their environmental, social, nutritional and financial impacts. It argues that nuance, context and in-depth assessment are needed to assess all factors, both positive and negative, associated with each ingredient.  ​IUCN

Global decarbonisation may weaken Indonesia's coal exports but boost base metals: Citi
GLOBAL decarbonisation will likely weaken Indonesia's coal exports in the medium to long term, but this could be mitigated by a pickup in exports of base metals, Citi economists said in a July 6 note.

Decarbonisation involves a shift away from fossil fuels such as coal and towards renewables, in a bid to lower greenhouse gas emissions. Metals such as nickel and copper are central in this, being needed for renewable power generation, battery storage, electric vehicles, charging stations and related grid infrastructure.

Indonesia is estimated to have the world's largest share of nickel reserves at around 12 per cent, and has the world's second-largest copper mine. BusinessTimesSG

Indonesia's B30 program to drive global biodiesel production in 2021-2030: report
Indonesia's use of palm oil to make biodiesel to rise by 23% by 2030

Biodiesel use projected to increase by 7% over coming decade

Palm oil production expected to weaken on sustainability, land constraints

Indonesia will be the main driver for increasing use of vegetable oil as feedstock for biodiesel in the coming decade, the UN Food and Agriculture Organization, or FAO, and the Organization for Economic Cooperation and Development, or OECD, said in their annual outlook report.

Under its 'B30' mandate, Indonesia -- the world's largest palm oil producer and exporter -- blends 30% palm-oil based fuel into its biodiesel to lower its fuel imports and boost domestic production of palm oil. SPGlobal

Biofuel production from palm oil developed by South Korean defense agency for jets
The South Korean state defense research agency was said to have developed technologies to produce palm oil-based biofuel for jets. Based on the report, the agency acquired the production technique through a series of tests.

As per Aju Business Daily, the main technologies for the production were discovered, and based on the testing, the low-carbon renewable fuel could be an alternative source of fuel for both the civil and military turbine engines.

The defense agency’s research results

The research was done by the Agency for Defense Development (ADD), and it started in 2016. The ADD is operating under the Defense Ministry, and the production technique for the palm oil-based biofuel for planes was the result of a four-year study and tests. EconoTimes

EU biofuel imports drop as pandemic recovery draws on stocks
PARIS, July 6 (Reuters) - European Union imports of biofuel are expected to drop by a quarter this year as the bloc draws on large inventories to meet growing demand after the easing of coronavirus restrictions, the European Commission said on Tuesday.

Rebounding demand for biodiesel and bioethanol in 2021 is projected to exceed the level before the COVID-19 pandemic, with higher government blending targets adding to momentum from recovering transport activity, the Commission said in a report. Nasdaq

India - ​Piyush Goyal pitches for Indo-Pacific wide services trade agreement
Commerce and Industry Minister Piyush Goyal on Wednesday called for a services trade agreement among friendly nations of the Indo-Pacific region as it can help liberalise domestic regulations and build capacity in sectors like e-commerce and IT.

Speaking at special plenary with the trade ministers of the Indo-Pacific region, Goyal said India's trade with select Indo-Pacific economies increased to USD 262 billion in 2020 from USD 33 billion in 2001.

However, he said, non-tariff measures act as major trade barriers in the region. BusinessStandard

EU - COMPETERE JOINS TROPICAL FOREST ALLIANCE IN CALL FOR DEFORESTATION ACTION FROM EU
Competere has joined Tropical Forest Alliance’s call on the European Union Commissioners of Environment, Internal Market, International Partnerships, Justice, and Trade to strengthen the efforts aimed at reducing deforestation and protecting human rights along supply chain.
While recent activities undertaken by Commission to reduce EU-driven deforestation are welcome, we are disappointed in the lack of progress made so far. Among other things, we call for appropriate Due Diligence legislation as well as continued engagement between supplier and producing countries.
Read the full statement below and view the signatories here. Competere

EU - ​SAF to be free of EU aviation fuel taxes, leaked report finds
The European Commission has drafted plans to set an EU-wide minimum tax rate for polluting aviation fuels as it seeks to meet more ambitious targets to fight climate change.
The European Commission is drafting an overhaul of EU energy taxation, as part of a package of measures it will propose on July 14, to meet a target to reduce EU greenhouse gas emissions by 55% by 2030, from 1990 levels, Reuters has reported.
A draft of the Commission’s tax proposal takes aim at aviation, which escapes EU fuel taxes.
That exemption “is not coherent with the present climate challenges and policies,” the document said, adding that EU tax rules promote fossil fuels over green energy sources and need rewriting to support the bloc’s climate goals.​ BiofuelsNews

The Food System’s Carbon Footprint Has Been Vastly Underestimated
A new analysis pins one-third of global greenhouse gases on the food system by including long-overlooked factors such as transportation, packaging, and waste. 

For nearly three decades, nations have reported greenhouse gas emissions inventories to the U.N. Framework Convention on Climate Change (UNFCCC), an international treaty aimed at stabilizing the climate. The idea is that by tracking emissions across sectors, the inventories reveal where climate action is most urgently needed. The food system encompasses much more than agriculture, and yet under the reporting guidelines set by the Intergovernmental Panel on Climate Change (IPCC), many other factors—such as packaging, transportation, disposal, and agriculture-driven deforestation—haven’t been tallied together. And for that reason, the food system’s overall share of emissions has long been underestimated. CivilEats

Agriculture prices to ease but hunger and climate goals are far off -FAO/OECD
PARIS, July 5 (Reuters) - Food commodities are likely to become cheaper in the coming decade as productivity grows, but global targets on reducing hunger and emissions are unlikely to be met under current policies, the U.N. Food and Agriculture Organisation and the OECD said on Monday.

Agricultural commodity prices have surged since last year due to a boom in Chinese imports and tightening inventories, leading the FAO last month to forecast record costs in 2021 for food importers. read more

However, prices of most agricultural commodities should fall slightly in real terms in the decade ahead, reverting to a long-term trend of improving production meeting rising demand from a growing population, the FAO and the Organisation for Economic Cooperation and Development (OECD) said in a joint report.​ Reuters

S. Korean defense agency develops palm oil-based bio jet fuel production technique
SEOUL -- South Korea's state defense research agency has acquired core technologies for the production of palm oil-based bio jet fuel. Through a series of tests, the agency found that the low-carbon renewable fuel could be an alternate fuel source for military and civil jet turbine engines.

Biofuel is a mixture of hydrocarbons derived from biomass which is made up of plant or algae material or animal waste. Biodiesel, one of the most commonly used kinds of biofuels, is normally made of hydrocarbon material extracted from biomass and diesel. South Korea uses some 160,000 tons of used cooking oil collected from fried chicken shops to create biodiesel with up to 20 percent biomass content. Biofuel emits less greenhouse gases than fossil fuel.

Bio jet fuel or aviation biofuel is considered by the International Air Transport Association (IATA) to be one of the key elements that would help reduce carbon footprints within the environmental impact caused by the aviation industry.​ AjuDaily

Europe Needs to Clean Up at Home Before Pushing a Green Agenda Abroad (Opinion)
Norway is paying Gabon to halt deforestation while continuing to promote its own polluting industries.

In late June, Norway offered an apparent solution. Through the United Nations’ Central African Forest Initiative (CAFI), Norway transferred $17 million to the West African nation of Gabon to help protect its rainforest. Norway has claimed that the initiative is meant to discourage—and even stop—logging and deforestation, thus protecting Gabon’s rainforest. And in Gabon, it’s a welcome notion. Even before CAFI, the country’s forests minister had announced plans to sell carbon credits to offset emissions and enable investments in green projects.

But there is more to this initiative than meets the eye. On the surface, the project is great news: It acknowledges that developing countries will not be able to transition to sustainable economies—and at the necessary speed—without financial support. But this initiative conceals the responsibility that Western nations bear for the demand they generate and the resources they profit from​. ForeignPolicy

India - ​Put refined palm oil, palmolein import under 'restricted list': Edible oil industry bodies to govt
Edible oil industry bodies SEA and COOIT have demanded that the government should reconsider its decision to freely allow the import of refined palm oil and palmolein, saying unrestricted shipments will kill the domestic processing units.

In a letter to Commerce and Industry Minister Piyush Goyal, the Solvent Extractors' Association of India (SEA) demanded that the import of RBD palm oil and RBD palmolein should be again put under the 'restricted' category.

"The industry is surprised and shocked by the decision of the government to freely allow the import of RBD Palmolein and RBD palm oil till December 31, 2021," SEA President Atul Chaturvedi said in the letter. CNBC

India - ​Free import of refined oil will kill domestic industry: Solvent extractors
In letter to Consumer Affairs Minister Piyush Goyal, they said unhindered imports will send the wrong signal to investors
Requesting the Government to withdraw its decision to freely allow the import of RBD palmolein and RBD palm oil, the Solvent Extractors’ Association of India (SEA) has said such a decision would kill the domestic refining industry and will have serious repercussions on farmers.

In a letter to Union Minister for Consumer Affairs, Food and Public Distribution, and Commerce and Industry Piyush Goyal, SEA President Atul Chaturvedi said: “The ‘opening up’ by freely allowing import of RBD palmolein and RBD palm oil will have serious repercussions for both domestic refiners and farmers as this will have a dampening effect on the prices of domestic oilseeds. Also, refined oil import will surely send the industry to the door of bankruptcy as we have seen in the past with so many refineries.”​ HinduBusinessLine

India’s lower import duty on CPO positive for plantation companies
INDIA’S decision to lower its import duty on crude palm oil (CPO) from 15% to 10% is a positive development for crude palm oil exports and upstream plantation companies in Malaysia.

CGS-CIMB Securities Sdn Bhd analyst Ivy Ng and Nagulan Ravi stated the revised effective import duty for CPO of 30.25% which is 5.5 percentage points lower will enhance the CPO price advantage in terms of duty gap against other competing edible oils like soy oil from 2.75% to 8.25%.

“To put things in perspective, the reference CPO price used to calculate the import duties in India was set at US$1,136 (RM4,730) per tonne with effect from June 16, 2021.

“The reduction in effective import duties of 5.5% implies a reduction in import duties of around US$62.5/tonne, which is likely to be partially passed on to consumers,” they wrote in a recent report.​ TheMalaysianReserve

REPORT - The role of palm oil in achieving the United Nations SDGs
The CMCC has carried out an in-depth analysis of the existing literature that addresses the various socio-economic aspects related to the development of the palm oil supply chain. The contents and relevant information of each of the 82 scientific publications published between 2010 and 2020 selected for review have been linked with 8 SDGs chosen on the basis of their close correlation with socio-economic development: defeating poverty, defeating hunger, health and well-being, quality education, gender equality, clean water and sanitation, decent work and economic growth, reduce inequalities and with the principles and criteria that govern sustainability certification.

Overall, most of the studies analyzed agree that palm oil plays a crucial role in supporting the economy and livelihood of local communities in developing producing countries. The adoption of sustainable oil palm production schemes, in addition to not harming the environment, offers the opportunity to improve many indicators of the socio-economic impact, linked to the expansion of oil palm production. EFANews

Malaysia pledges to tackle forced labor after US downgrade
KUALA LUMPUR, Malaysia — Malaysia’s government pledged Monday to take steps to eliminate forced labor after the country was downgraded by the U.S. to the worst level in an annual report on human trafficking.

Human Resources Minister M. Saravanan said the government is taking the downgrade seriously and has ramped up efforts to battle human trafficking, including increased prosecution for companies involved in forced labor.

The U.S. State Department’s annual “Trafficking in Persons” report, released July 2, cited the coronavirus pandemic as contributing to a surge in human slavery between 2020 and 2021. WashingtonPost

Malaysia to review recruitment fees, agreements after U.S trafficking report
KUALA LUMPUR, July 5 (Reuters) - Malaysia will examine recruitment fees charged to workers and review its agreements with the home countries of migrant workers, the Human Resources Ministry said, after the Southeast Asian nation was downgraded in a U.S human trafficking report.

The U.S. State Department last week ranked Malaysia in 'Tier 3' in this year's Trafficking in Persons (TIP) report and said forced labour is the predominant human trafficking crime in the country. read more

Malaysia's Human Resources Ministry said it viewed the issues raised in the TIP report seriously. Reuters

EU - ​Analysis: Europe faces sceptical globe with carbon border levy
BRUSSELS, July 5 (Reuters) - The European Union faces an uphill battle to convince trading partners that the world's first levy on carbon imports is fair, workable and a necessary part of the bloc's attempted green revolution as opposed to a protectionist tool.

The EU is due on July 14 to unveil a package of legislation to cut net greenhouse gas emissions by 55% by 2030 from 1990 levels.

As part of the plan, it will outline what it terms a carbon border adjustment mechanism (CBAM), designed to cut emissions by creating financial incentives for greener production and by discouraging "carbon leakage," as the transfer of operations to countries with less onerous emission restrictions is known. Reuters

EU biofuels goals seen behind deforested area as big as the Netherlands
BRUSSELS (Thomson Reuters Foundation) - European Union targets to boost biofuel use are likely to have led to the deforestation of an area roughly the size of the Netherlands over the last decade to expand soy, palm and other oil crops, a report said on Monday.

About 4 million hectares (9 million acres) of forests mainly in Southeast Asia and South America have been cleared since 2011 - including about 10% of remaining orangutan habitat, according to estimates by campaign group Transport and Environment (T&E). Reuters

India - ​Kaleshwaram helped 26 Telangana districts to grow palm oil: Harish Rao
The Minister asked the farmers of Siddipet district to always be ready for the 'lucrative exercise' of palm oil cultivation.

SIDDIPET : Oil palm cultivation is suitable in coastal areas but due to Kaleshwaram Lift Irrigation Scheme (KLIS), undertaken by Chief Minister K Chandrasekhar Rao, 26 districts in the State are able to produce palm oil,  Finance Minister T Harish Rao said on Saturday. The minister visited Kshirasagar, Bussapur, Venkatapur, Ponnala and other villages in Gajwel and Siddipet constituencies as part of the Palle Pragathi programme. “We are currently importing palm oil worth Rs 60,000 crore from neighbouring countries. In the coming days, we will produce our own palm oil to the level of exporting it,” he said.

 The Minister asked the farmers of Siddipet district to always be ready for palm oil cultivation. Agriculture is not a routine process, he said, and called on the farmers to adapt to changing times and market demand.
“Oil palm cultivation is going to be a lucrative exercise and the CM aims to increase it and get higher income for farmers.​ NewIndianExpress

India - ​Take up oil palm cultivation : Harish tells farmers
Hyderabad, July 3 (NSS): Finance Minister T Harish Rao today said that Rythu Vedikas are meant for farmers welfare. The farmers should go in for cultivation of palm oil crops he suggested..

The minister participated in some development programs at Ponnala village nearby places in Siddipet district here. The Government will offer all help and support for palm oil production, the minister said. The Government launched Palle Pragati meant for villages development through clean and green environment he said.

The minister inspected the nursery, vermi compost yard, started open gym, steel bank, public cemetery and others.

In the occasion, the minister said that the government has been taking up Palle Pragati, Pattana Pragati and Haritha Haram programs for development. We will provide basic amenities and services by involving people, with leaders and officials. Our government offers Rythu Bandhu, bhima, 24 hour power and Vedikas to help them he said.​ TheRahnuma

Nigeria - ​The many hurdles of women farmers in Niger
GRACE Disa was discouraged at the fact that no funds were allocated to smallholder women farmers in Niger State. In March 2021, as the coordinator of Smallholder Women Farmers Organisation of Nigeria (SWOFON) in the state, she had gone to the Ministry of Agriculture and Rural Development to request a copy of the budget.

“They explained to me that the state government did not allocate funds to the women farmers.”

This, she believed, was the consequence of not carrying women farmers along in formulating policies and preparing the budget on agriculture in the state.

Permanent Secretary of the Ministry of Agriculture and Rural Development Idris Gbogan confirmed to the reporter that there was no special budgetary provision for smallholder women farmers.

“What we do is that we allocate funds to all the agricultural activities involving both male and female together,” he said. ICIRNigeria

Nigeria - ​Bayelsa Unfolds Plan To Lift Subsistence Farmers
July 03, (THEWILL) – The Bayelsa State Government has promised to empower its subsistence farmers for greater productivity.

Speaking at the weekend in Yenagoa, the Commissioner for Agriculture and Natural Resources, David Alagoa, said that the prosperity government decided to empower the subsistence farmers in the state because, according to him, more than 80 percent of the food eaten in the state comes from them.

He said that the Bayelsa State government encouraged the farmers to come up with their produce for showcasing and empowerment.

He said: “If you look behind you, for example, those are products that are made in Bayelsa. Everything you see there are made in Bayelsa the plantain four, the palm oil. We are now trying to encourage farmers to come forward on Monday. They are coming with all their produce. Let us see what Bayelsa farmers are doing. Let them come, let us see and then we can start coming into some sort of relationship with the farmers. TheWillNigeria

Why ASEAN Needs to Reduce Its Non-Tariff Measures on Agri-Food Imports
Streamlining non-tariff barriers to reduce the regulatory burden on businesses remains a key priority for the region’s recovery from COVID-19.

In November 2020, the ASEAN Secretariat published the ASEAN Comprehensive Recovery Framework (ACRF) and its implementation plan, which set out broad strategies for recovery in line with sectoral and regional priorities. The ACRF can be regarded as ASEAN’s consolidated exit strategy from the COVID-19 crisis. The trade facilitation measures in the ACRF implementation plan includes the harmonization of standards for essential goods and the expansion of the ASEAN Single Window to ASEAN dialogue partners, which aim to reduce regulatory compliance costs and procedural obstacles for those trading with the region.​ TheDiplomat

India to Restart Its Palm Oil Imports from Nepal
The decision appeases many Nepali exporters
 
India has decided to resume importing palm oil from Nepal. The subcontinent suspended imports from Nepal 13 months ago.

As per a report in The Economic Times, the Indian government axed this commodity from the restricted imports list and made it possible to import until the year-end.

Nepal’s refined palm oil is one of the biggest exports of the Himalayan country. The country imports crude palm oil from Malaysia and Indonesia and then exports the refined oil to other countries. Nepalisansar

India - ​Refined oil import will help meet festival demand and curb speculation
Our dependence on imports has worsened over the last two decades to an alarming 70%

The government should be complimented for its practical decision to lift the restrictions on import of refined palm oils in addition to reduction in customs duty. It is a step in the right direction given the current inflationary conditions.

The move is intended to help expeditiously augment the availability of cooking oil ready for marketing and human consumption. It will also help curb speculative tendencies in the market caused by unnecessary restrictions on import of refined oils. Importantly, festival demand – August to October - will soon kick in and the policymakers have wisely kept the import door for refined oils open till the end of the year to prevent any eventuality. HinduBusinessLine

Malaysian palm giant IOI to conduct audit after report alleging labour abuse
KUALA LUMPUR, July 2 (Reuters) - Malaysian palm oil giant IOI Corp will undergo an audit to assess the compliance of its labour policies and working conditions at its plantations, the firm said on Friday, following a report by a human rights group alleging violations.

Helsinki-based Finnwatch on Wednesday published a report alleging that Indian migrant workers at an IOI estate face poor living conditions, paid high recruitment fees, and were paid below the minimum wage.

IOI said it viewed the report's findings seriously and would strive to improve the implementation of its labour policies and working conditions.

"Within the next months, IOI will undergo an audit supervised by one of our key customers and assisted by a reputable international labour rights consulting firm," it said in an exchange filing. It did not name the customer and the consulting firm. Reuters

Palm oil duty structure changes come at 'opportune moment'
HIGHLIGHTS
Duty changes 'welcome, but overdue': source

Soybean oil to palm oil spread 'key' to demand: Sunvin CEO

India's resumption of refined products imports questioned

Changes to the duty structures made by both Indonesia and India this week should give palm oil demand a boost and have come at "an opportune moment," easing concerns about oversupply heading into the second half of the year, according to market participants.

The Indonesian government on June 28 announced an $80/mt reduction in the ceiling rate of its crude palm oil export levy, effective July 2. Export duty was also lowered to $116/mt, from $183/mt.

The next day the Indian government followed this by reducing its import duty on CPO to 30.25% from 35.75%, and also lifting restrictions on refined palm oil and olein imports that had been in place since January 2020. SPGlobal

Malaysia/ US - ​Verde Resources With An Unconventional Approach To Carbon Sequestration
SEATTLE, July 1, 2021 /PRNewswire/ -- Verde Resources Inc. (OTCQB: VRDR) According to data from the Malaysian Palm Oil Board, 20.6 million tons of empty fruit bunch (EFB) was discarded by the palm oil mills of Malaysia in 2019. In Indonesia, the estimate was higher, at 59.5 million tons of discarded EFB. Most often, the waste is left to decay.

Verde Resources intends to recycle the organic waste into renewable resources. The Company recently raised $3.1 million seed funding, a significant commitment towards the green initiative. The initiative involves establishing a business office in Seattle, and a processing facility in Missouri. Verde Resources understands the importance of converting palm biomass as part of a progressive approach towards carbon sequestration and reducing greenhouse gases.

Earlier this year, Verde Resources announced the acquisition of BioFraction™ technology. This technology involves an advanced proprietary, modified catalytic vacuum pyrolysis, and temperature controlled thermochemical process which converts palm waste into four renewable byproducts; biochar, bio-oil, bio-syngas and wood vinegar. PRNewswire

Indonesia - ​RI, Dutch concur on intensifying cooperation over sustainable palm oil
Jakarta (ANTARA) - Indonesia and the Netherlands reached an agreement to increase cooperation in the production of sustainable palm oil and other vegetable oils following a meeting between Indonesian Foreign Minister Retno Marsudi and her Dutch counterpart, Sigrid Kaag.

Under the existing cooperation between the two countries, the Netherlands has, so far, assisted Indonesia in a capacity building program for palm oil growers in Sumatra and Kalimantan, Marsudi noted during an online media briefing from The Hague on Thursday.

The five-million euro program to be implemented from 2019 to 2023 is aimed at helping smallholder farmers in securing Indonesian Sustainable Palm Oil (ISPO) certificates. AntaraNews

Adapting Human Rights Due Diligence for Renewable Energy—Key Points
As investment in renewable energy continues, corporations and investors should evolve their approach to human rights due diligence, says Nicholas Diamond, a director with C&M International. He lays out three considerations for adapting human rights due diligence from the oil-and-gas industry to renewables.

Expanding investment in renewable energy technologies—such as wind, solar, and biofuels—is a critical component of global efforts to achieve a net-zero carbon economy. In 2019 alone, investment flows in the renewables sector totaled $282 billion, with solar and wind energy capacities reaching approximately 8% and 9%, respectively, of global generating capacity.
As investment in renewables continues, corporations and investors should evolve their approach to human rights due diligence (HRDD). While HRDD risks may be well understood for the traditional oil and gas business model, renewable energy projects differ in key respects, requiring stakeholders to adapt to minimize exposure. BloombergLaw

Malaysia - ​Forced labour main human trafficking crime in Malaysia, U.S. says
KUALA LUMPUR/BANGKOK (Reuters) - Malaysia’s predominant human trafficking crime is forced labour, the U.S State Department said on Friday, after downgrading the Southeast Asian country to the worst tier in its annual report on human trafficking.

Malaysia fell to ‘Tier 3’ in this year’s closely watched Trafficking in Persons (TIP) report as it continued to conflate human trafficking and migrant smuggling crimes, and did not adequately address or criminally pursue credible allegations on labour trafficking, the report said.

Malaysia’s home ministry has not commented publicly on the report and did not immediately respond on Friday to a request from Reuters for comment.​ Reuters

Malaysia - ​Finnwatch reports on labor right violations in Malaysia’s palm oil production
The Malaysian palm giant IOI Group faces labor abuse allegations in a new report recently published by the Finnish human rights group Finnwatch.

IOI Group is one of Malaysia’s biggest conglomerates that supply palm oil fatty acid distillate and Nestlé palm oil. According to Finnwatch’s report which is based on interviews with Indian migrant workers at IOI Group’s Mekassar farm in Malaysia, the workers are being mistreated.

Finnwatch states that workers have paid large recruitment fees, lived in deplorable conditions, and been mistreated by managers. Employees have also been promised eight-hour workdays and monthly salaries, but they have had to work long hours on a pay-per-performance basis.​ ScandAsia

Cameroon - ​SOCFIN's RSPO certification challenged by riparian communities in Cameroon
Yaoundé, July 01, 2021: Today, local communities hold a press conference to express their total disapproval of the Round Table certificate for Palm Oil Sustainable (RSPO), awarded on December 30, 2020 to the company SAFACAM, the Cameroonian subsidiary of the SOCFIN group. Communities believe that SAFACAM violates various RSPO principles and criteria relating to social and environmental issues. The certificate was awarded by the SCS Global Services (SCS) certification body, despite a failed process, which did not take into account important information provided by relevant stakeholders.​ Farmlandgrab

India allows palm oil import from Nepal again
Biratnagar, July 1. India has allowed the import of refined palm oil from Nepal again after a suspension of around 13 months.

The Economic Times reports the New Delhi government removed the item from the restricted list and made it importable freely until December 31.

Though Nepal does not produce crude palm oil, its refined version has been one of the largest exports of the country. Nepal imports crude palm oil from Malaysia and Indonesia.

India had imposed a ban on its import in January 2020, but it had lasted only a month. However, the ban was reintroduced after a few months again. OnlineKhabar

India - ​Centre cuts palm oil duties, eases imports to cushion price
The Union government has cut duties on palm oil by 5% and lifted restrictions on the import of refined palm oil to ease edible oil prices, which had more than doubled in April and May in the highest surge in prices in years.

India meets two-thirds of its domestic edible oil requirements through imports, as global prices rallied in recent months due to bad crops and higher demand.

Palm is one among several edible oils, such as soy oil, India imports. Recent increases in edible oil prices had pinched household budgets hard. HindustanTimes​

Malaysia says palm oil industry faces $2.4 billion annual loss due to labour crunch
KUALA LUMPUR (Reuters) - Malaysia, the world second-largest palm oil producer, is facing a labour shortfall of around 32,000 people due to corononavirus restrictions, the country’s commodities minister said on Thursday.

“The labour shortage issue is estimated to cause around 10 billion ringgit ($2.41 billion) in losses anually due to unharvested ripe palm oil fruits,” Minister Mohd Khairuddin bin Aman Razali said at a conference.​ Reuters

Indonesia's Export Levy Revision to Pressure Crude Palm Oil Prices

Fitch Ratings-Singapore/Jakarta-01 July 2021: Cuts to Indonesia's export levies are likely to encourage crude palm oil (CPO) exports in 2H21, causing Malaysian benchmark prices to weaken, Fitch Ratings says.

Price realisations for domestic producers should improve in the next few months, as the discount from the benchmark price will narrow. However, we do not see any meaningful long-term benefit from the export levy revision, as we expect CPO prices to be significantly lower from 4Q21, limiting the cut in applicable levy rates.

Indonesia has made multiple revisions to its levy structure in the last three years and we think the latest rates may be adjusted further in response to CPO and crude oil price movements to allow it to collect sufficient funds to subsidise biodiesel consumption in the country. FitchRatings

Ethiopia to spend $1.9 billion for edible oil import
The Ministry of Trade and Industry says Ethiopia needs $1.9 billion for the coming two years to import edible oil.

Though the local edible manufacturing factories have production capacity to fully meet the demand of the country, Ethiopia is forced to import the product because of raw material shortage, according to Melaku Alebel, Minister of Trade and Industry.

Speaking this week at a forum that focused on the country’s edible oil related issues he noted that the total number of active edible factories in Ethiopia has doubled in the past few years reaching 30 at the moment, says the Ministry of Trade and Industry of the country.

Currently the total production capacity of the 30 factories has reached to 1.25 billion liters of edible oil per year surpassing the total demand of the country, according to Mr. Melaku.
He noted that currently the total demand for edible oil in Ethiopia is estimated to be 906 million liters per year. Meanwhile only 40 percent of the total demand is currently covered by local edible product. NewBusinessEthiopia

CSPO Watch. July 2021