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Palm oil news. March 2026

March 07, 2026

Indonesia to file suspension of concessions against EU on palm oil dispute in WTO
By Reuters

JAKARTA, March 7 (Reuters) - Indonesia's trade ministry said on Saturday that the government will file a suspension-of-concessions request ​against the European Union at the World Trade ‌Organization's (WTO's) dispute settlement body, citing the block's failure to meet a WTO ruling in a palm oil case.
Here are ​the details:

  • "This step is taken after the ​EU could not meet the deadline to adjust ⁠its policy or was not fully compliant with ​the ruling and recommendation of the palm oil dispute ​settlement body," Trade Minister Budi Santoso said in a statement.
  • The suspension of concession will be focused on trade in goods, ​Budi said, adding that the government has not ​ruled out concession suspension in other sectors.
  • "We will ensure that ‌the ⁠losses are thoroughly calculated and the cases are handled effectively, while maintaining bilateral relations with the EU," Budi said.
  • In 2025, a WTO panel found largely in favour ​of the ​EU in ⁠a case brought by Indonesia against the bloc's restrictions on palm oil-based biofuel.
  • The ​panel ruled that palm oil-based diesel would ​not ⁠be considered a biofuel and its use in transport fuel would effectively be phased out between 2023 and ⁠2030. ​However, the panel did find ​fault in the way the EU had prepared, published and administered ​its measures.
Reporting by Bernadette Christina; Editing by Himani Sarkar
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Indonesia Moves to Suspend Concessions Against EU Over Palm Oil Dispute
RRI.CO.ID, Jakarta - The Indonesian government has formally requested the World Trade Organization (WTO) Dispute Settlement Body (DSB) to authorize the suspension of concessions against the European Union (EU). This retaliatory move follows the EU's failure to meet the deadline to adjust its policies or to achieve "full compliance" with the WTO's previous rulings and recommendations regarding Indonesian palm oil.

Minister of Trade, Budi Santoso, confirmed on Saturday, March 7, 2026, that the decision was triggered by the EU’s inability to align its regulations with the Palm Oil Dispute Panel’s findings (DS593: EU-Palm Oil). Furthermore, the EU has reportedly failed to provide balanced compensation to Indonesia for the ongoing trade barriers, prompting Jakarta to invoke its rights under international trade law.

The request for suspension aligns with Article 22.2 of the WTO’s Understanding on Rules and Procedures Governing the Settlement of Disputes (DSU). This mechanism allows a member country to seek "retaliatory" authority to offset economic damages caused by another member's non-compliance.

While the initial focus of the suspension will target the goods sector, the Indonesian government remains open to applying measures to other sectors as well.

“Indonesia can apply for the authority to suspend concessions to the DSB with the aim of safeguarding Indonesia's rights in the future if the EU cannot comply with the WTO Panel's decision,” said Minister Budi Santoso, as quoted by Antara.

He emphasized that while the government will calculate the exact losses meticulously, they intend to handle the case effectively while maintaining bilateral diplomatic relations with the EU.

The financial impact of the EU’s restrictive policies has been described as significant. Local industry players, represented by the Indonesian Palm Oil Association (GAPKI) and the Indonesian Biofuel Producers Association (APROBI), have voiced their strong support for the government’s move.

The lost potential in annual export value has caused a ripple effect throughout the Indonesian economy, which relies heavily on palm oil as a primary commodity.

“We will ensure the amount of losses is calculated carefully and the case handling is carried out effectively while in parallel still maintaining bilateral relations with the EU,” Budi explained, highlighting the balance between economic defense and diplomacy.

This legal maneuver is the latest step in a multi-year effort to ensure fair market access for Indonesian palm oil products in the European market. RRI
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Indonesia’s US trade deal faces a sovereignty reckoning at home
Nearly 80 civil groups and 65 academics have signed a petition urging parliament to block ratification of the ‘shameful’ deal

Indonesia went to Washington to negotiate a trade deal and came home with more than 200 obligations to America’s nine.
A day after the signing, the US Supreme Court struck down the legal basis for the tariff threat that had driven the whole exercise – for a time, at least.
Detractors have likened this “agreement on reciprocal trade” to a blank cheque and a surrender of Indonesia’s sovereignty. The government, for its part, calls it a win-win.

The deal was signed by President Prabowo Subianto on February 19, when a threatened 32 per cent US tariff on Indonesian exports still seemed like it might come to pass.

It fixed that rate at 19 per cent and secured zero-tariff access for 1,819 goods, including palm oil, coffee, cocoa, rubber and spices, that are central to the Indonesian economy.

In exchange, Jakarta agreed to extend tariff exemptions to more than 99 per cent of American goods and strip away key non-tariff barriers – among them some local content requirements and halal certification – for US companies operating in Indonesia.

It also committed to commercial deals and investment flows worth around US$33 billion in the US, including buying some US$13.5 billion worth of Boeing jets for flag carrier Garuda Indonesia.

Then the US Supreme Court ruling landed and the argument began in earnest.

‘Naked persuasion’
To hear Coordinating Minister for Economic Affairs Airlangga Hartarto tell it, the deal is a “win-win solution” for both sides.

Indonesian exports to the US grew 12 per cent last year, despite the tariff climate.

“This is what makes the US feel that Indonesia is enjoying its market, but the US is not enjoying the Indonesian market,” Airlangga said on Monday. “Therefore, a win-win solution was created.”

Indonesia would not be walking away from the agreement, he said, noting that the US’ zero-tariff rate on textiles and apparel alone helped protect a sector that sustained roughly 20 million Indonesians.

Critics see the deal from a different perspective, however. The 1,819 products granted zero-tariff entry to the US represent, by some estimates, just 2 per cent of Indonesia’s total exports, while the US market accounts for only about 10 per cent of the country’s export trade.

The Centre of Economic and Law Studies think tank has sent a formal letter of objection to the Ministry of State Secretariat urging Prabowo to notify Washington of Indonesia’s immediate withdrawal, raising at least 21 objections to provisions it said violate national interests.

Last Sunday, nearly 80 civil organisations and 65 academics launched a public petition denouncing the agreement as “clearly inconsistent with the spirit of the constitution”, noting it was hammered out with minimal public participation and without proper parliamentary consultation.

“This is a shameful deal,” said economist Yanuar Rizki, one of the petition’s signatories. “We may have tried to persuade the US to lower tariffs, but I didn’t expect us to be this naked in our persuasion.”

Indonesia has yet to ratify the trade agreement, which would become effective 90 days afterwards. The time frame set for ratification was 60 days from the day of signing.

Yet the deal’s opponents will not have an easy time convincing the House of Representatives to block it. Some 81 per cent of legislators belong to Prabowo’s ruling coalition.

Herman Khaeron, a lawmaker on a parliamentary commission that oversees trade, told local media outlet Tempo on Sunday that no ratification date had yet been set because parliament was still in recess.

This left a narrow window for action, according to Rizki.

This left a narrow window for action, according to Rizki.

“We need public pressure to encourage the House not to ratify,” he said. “Domestic resistance could force the government to tell Washington that we can’t ratify this treaty.”

The China factor
Tariff rates are not the only point of contention. Threaded through the trade deal are provisions that economist Rimawan Pradiptyo calls “poison pills” – clauses that constrain Indonesia’s freedom to do business with countries not aligned with Washington’s interests.

Jakarta has agreed to act against foreign-owned companies operating in Indonesia whose practices, such as exporting goods to the US at below-market prices, are deemed harmful to American trade.

It accepted Washington’s demand to curb what the US described as excessive production and exports by foreign‑owned miners of nickel, cobalt, bauxite, tin, copper and manganese – a provision analysts see as a direct attempt to curtail Chinese dominance of Indonesia’s critical mineral sector.

The country also opened its critical mineral exports to American firms and pledged “expedient development” of its rare earth sector with the US.

“Indonesia seems to be a vassal state of the US,” said Rimawan, who is a senior lecturer at Gadjah Mada University in Yogyakarta.

“We have no problem with China, but the US is ordering Indonesia to comply with US policy, which means we must be hostile to China.”

That risked inviting economic retaliation, he said. Possibly from Russia as well.

“This [deal] is a blank cheque for the US,” Rimawan said. “Indonesia is obliged to comply with their policies, even for ones that don’t currently exist.”

Placing restrictions on free trade at the behest of a hegemonic power would violate Indonesia’s non-aligned foreign policy stance, he argued.

Rimawan also warned that complying with the deal would require amending or creating at least 117 domestic regulations in “a storm of institutional revolution” that would take years to complete. SCMP
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MPOC: US-Iran escal­a­tion keeps oil prices firm, lifts palm oil out­look
https://www.pressreader.com/malaysia/the-borneo-post/20260306/282226607217693​

March 06, 2026

Palm Oil in Europe: Field Notes of an Ambassador Yuri Octavian Thamrin
Yuri Octavian Thamrin, Indonesian Ambassador to Belgium, Luxembourg, and the European Union (2016–2020); Indonesian Ambassador to the United Kingdom, Ireland, and the IMO (2008–2011); Spokesperson of the Indonesian Ministry of Foreign Affairs (2004–2008)
WRITE these notes not out of nostalgia, but to share experience—what might be called cross-fertilization—on how palm oil diplomacy operates in a complex arena such as the European Union. Each Indonesian mission abroad faces different circumstances, but the patterns of challenges are often similar: regulations, industrial lobbying, and public opinion intertwined.

From the beginning, I realized this was never simply about a commodity. It was about fairness. In Brussels, palm oil has never been treated solely as a tradable product. It has evolved into a political symbol, a tool in environmental campaigns, and at the same time a battleground of economic competition wrapped in moral narratives.

During my tenure, the greening of politics was gaining momentum. Environmental and climate issues were no longer confined to specific activist circles; they have become mainstream across the political spectrum. The consequences were clear: the policy space for palm oil was tightening.

At the regulatory level, the European Union adopted the Renewable Energy Directive (RED II), reinforced by regulations on Indirect Land Use Change (ILUC). Palm oil was categorized as a high-risk commodity, with policy direction pointing toward a complete phase-out by 2030.

At the same time, pressure also came from the private sector. Indonesian biodiesel faced anti-subsidy investigations, while public campaigns promoting “palm oil-free” products shaped a widespread negative perception among European consumers.

I came to see this as a perfect storm—where regulation, industrial interests, and public opinion moved in the same direction.

Facing such a situation taught me that diplomacy in Brussels cannot be conducted in a linear way. The European Union is a multi-institutional system. The European Commission operates in a technocratic manner, the European Parliament shapes political narratives, and the European Council reflects the interests of member states.

Therefore, engagement must be conducted in parallel, consistently, and across multiple layers.

One of the most important lessons I learned was simple: never fight alone.

We built alliances with other palm-oil-producing countries. By framing the issue of nations as a matter of fairness for developing, the political resonance changed significantly. The debate was no longer solely about Indonesia, but about a broader global issue affecting the Global South.

We also encouraged collective communication with the leadership of EU institutions. This helped elevate the discussion from technical matters to high-level political attention. In my experience, shifts in position often occur not in technical rooms but in political ones.

At the same time, technical debates—such as the methodology behind ILUC—could not be ignored. That is where many of the real battles took place. Everyone agrees that environmental protection matters. The question, however, is whether the policies adopted are truly evidence-based, non-discriminatory, and fair.

I also learned that in Europe, public perception carries enormous influence. In many cases, perception becomes policy.

For that reason, our work is not limited to formal diplomatic channels. We engage the public sphere as well—through multi-stakeholder forums, communication campaigns, and content explaining sustainable palm oil practices in Indonesia.

We even facilitated visits by members of the European Parliament to Indonesia. I firmly believe that seeing realities on the ground is often more powerful than a thousand arguments in a meeting room. Many stereotypes collapsed when they witnessed the situation first hand.

When confronting allegations such as anti-subsidy claims on biodiesel, I learned that the only language truly respected is data and evidence. Arguments must be presented rigorously, consistently, and within the rules of their system.

At the same time, I never ignored the fact that behind environmental narratives lies an element of economic competition. Palm oil competes directly with European vegetable oils such as rapeseed and sunflower oil. At the consumer level, labels such as “palm oil-free” often function as marketing tools that shape perception without offering full context.

Our approach, therefore, must remain clear-eyed: there are genuine environmental concerns, but there are also domestic economic and political interests that cannot be overlooked.

For me, the most important lesson is this: palm oil diplomacy is a marathon, not a sprint.

It requires consistency, patience, and the ability to read shifting dynamics.

And one more thing—we cannot win only in meeting rooms. We must also win in the public sphere.

Because it is there that policies often gain their moral legitimacy. KBA News
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Palm Oil Industry In Crisis As Prices Crash, Smuggling Surges in Nigeria
LAGOS – Nigeria’s palm oil industry is facing one of its most difficult seasons in recent years, as stakeholders warn that a sharp crash in local prices, rising production costs, and an influx of smuggled prod­ucts are threatening livelihoods across the value chain.

From smallholder farmers to major processors, operators say the market has become unsustainable, with some selling below production cost.

With falling prices, rising costs and continued market volatility, stakeholders in separate interviews with Daily Inde­pendent warn that without decisive inter­vention, poverty could deepen in palm oil producing communities and processors may be forced to shut down operations.

They pointed out that the future now depends on how quickly and decisively the government responds.

Ambassador Alphonsus Inyang, President, National Palm Produce As­sociation of Nigeria (NPPAN), described the situation as alarming.

According to him, Nigerian palm oil producers and millers are currently sell­ing at prices lower than production costs.

He said the rate at which palm oil prices are dropping in Nigeria calls for concern, stressing that smallholders—who account for a large share of national production—are the worst hit.

He explained that millers depend on profitable sales to continue purchasing fresh fruit bunches from farmers and that, if millers cannot sell at viable prices, they reduce production, cutting off income for farmers who rely on palm oil proceeds to pay school fees, medical bills and support their families.

He further noted that produc­tion costs have surged, as millers use diesel, petrol and electricity, and electricity costs alone have risen more than four times in the past two years, stressing that transporting fruits from farms further adds to operational ex­penses.

Dr. Graham Hefer, Managing Director of Okomu Oil Palm Company Limited, confirmed the downturn, noting that crude palm oil prices have fallen by about 25 percent in the last three months.

He said the decline mirrors what is happening with other commodities, but warned that processors are trapped in a situ­ation where production costs are higher than selling prices.

He said while lower prices may appear to reduce inflation, it is not sustainable if processors are pushed out of business.

According to him, lax cus­toms enforcement has allowed sub-standard products into the country, bypassing regulators, with negative effects across the value chain.

A major concern for pro­ducers is the reported influx of smuggled palm oil through sea and land borders in the southern, southwestern, northeastern and northwestern parts of the coun­try.

Inyang described it as an or­ganised syndicate of economic saboteurs, saying truckloads and shiploads of palm oil are entering illegally.

He noted that the association lacks the enforcement powers of customs or the police to stop the trade.

He argued that the imported oil comes from countries where farmers and millers receive significant subsidies and incen­tives, allowing them to produce at lower cost. When such products enter Nigeria—where producers lack fertiliser support, funding in­centives and subsidies—they are sold at lower prices, pushing local farmers out of the market.

He added that the government also loses revenue as a result.

Hefer said the current situa­tion may create the impression of lower inflation but warned that it reflects stagflation, where commodity prices fall while pro­duction inputs remain high.

He stressed that processors feel inflation through higher raw material and processing costs, making it impossible to sustain operations under depressed sell­ing prices.

Henry Olatujoye, CEO at Palmfield Development & Pro­cessing Limited, however, offered a different perspective.

He said the recent price crash has had no effect on his opera­tions because such fluctuations are expected.

According to him, palm oil prices depend on production lev­els, international prices and con­sumption outlook, all determined by demand and supply.

He said he could not confirm smuggling but acknowledged that palm oil enters the country legitimately through borders, noting that Nigeria is a net im­porter of the product.

He argued that for imports to depress domestic prices, there must be excess supply in the market, maintaining that prices in a free market are primarily a function of demand and supply.

Stakeholders are nevertheless united in calling for stronger gov­ernment action.

Inyang urged authorities to police borders more effectively and prevent illegal imports.

He also called for patient cap­ital and targeted incentives for the oil palm sector, arguing that the industry is central to food, cosmetics and energy industries.

He referenced the 25 percent crude palm oil levy on imports, which was intended to fund back­ward integration and industry development.

According to him, the levy should be deployed to support plantation expansion, replanting old and wild palms with hybrid varieties, training, capacity build­ing and improved seedlings.

He further called for proper funding of the Nigerian Institute for Oil Palm Research (NIFOR), saying it has the capacity to pro­duce up to 50 million seedlings an­nually if adequately supported.

Hefer said government pro­tections already exist but enforce­ment is lacking.

He called for watertight bor­ders and suggested establishing a palm oil council to strengthen regulatory oversight and ensure compliance with existing laws.

Olatujoye advocated an en­abling environment that would encourage investors to convert idle forest land into oil palm plantations.

He said Nigeria needs to de­velop about two million hectares commercially to achieve sustain­able supply and move toward self-sufficiency. IndependentNG
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Basilan advances palm oil industry development with focus on sustainability
Kalikasan ang ating priority. Hindi ko isakripisyo ang kalikasan,” the governor stated, reaffirming the province’s commitment to environmentally sustainable development.

Isabela City, Basilan – The province of Basilan is poised for a major leap in agricultural development as the provincial government partners with Kenram Palmoil Industries, Inc. (KPII) to establish a large-scale oil palm plantation and processing mill.

This initiative marks a significant step toward industrialization, with a strong emphasis on sustainability and community empowerment.

The project took center stage during a strategic meeting held recently at Lumah Raayat, Basilan Government Center where officials from various sectors discussed the project’s progress and outlined a roadmap for responsible industrial growth, balancing economic gains with environmental preservation.

According to KPII reports, the project is currently undergoing critical phases of financial and legal due diligence. These measures aim to ensure transparent investments and sustainable implementation before the planting phase begins.

Basilan Governor Mujiv S. Hataman underscored the importance of environmental integrity, emphasizing that progress must not come at the expense of the island’s rich biodiversity.

Local cooperatives, including Sta. Clara Agrarian Reform Beneficiaries Integrated Development Cooperative (SCARBIDC),  Tumahubong Agrarian Reform Beneficiaries Integrated Development Cooperative (TARBIDC), Mangal Agrarian Reform Beneficiaries Development Cooperative (MARBEDCO), and Lamitan Agrarian Reform Beneficiaries Cooperative (LARBECO), have formalized partnerships with the government, contributing technical expertise and funding support to ensure the project’s success.

Hataman emphasized that beyond economic potential, the palm oil initiative is envisioned as a catalyst for job generation, providing stable income for local communities and stimulating small enterprises. It seeks to drive long-term economic growth and establish a lasting development legacy for Basilan.

Stakeholders expressed hope that the initiative will position Basilan’s agricultural sector toward sustainable practices, ensuring that progress benefits both the environment and the people. (JPA/NDR/MVE/PIA Basilan with reports from the Provincial Government of Basilan)​ PIA PH
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India halts some soybean oil imports as prices outpace palm oil
MUMBAI (Diya TV) — India has canceled several shipments of soybean oil after prices for the product surged above cheaper alternatives. The move highlights the growing pressure on edible oil importers as global prices fluctuate and buyers shift toward lower-cost options.

India is the world’s largest importer of edible oils. The country depends heavily on overseas supplies to meet domestic demand. When price gaps widen between different oils, buyers quickly change purchasing plans to control costs. Recent cancellations show how sharply soybean oil prices have climbed compared with palm oil, which remains a key alternative for Indian refiners and food companies.

Indian importers have canceled about 25,000 tons of soybean oil booked from Russia in recent days. They also scrapped another 6,000 to 8,000 tons from South America.

Industry officials say the cancellations came after soybean oil became significantly more expensive than palm oil. The growing price premium made the purchases less attractive for Indian buyers. Aashish Acharya, vice president at Patanjali Foods Ltd., confirmed the cancellations. Patanjali Foods is one of India’s largest edible oil buyers.

According to Acharya, the Russian cargoes were scheduled to arrive in India between late March and early April. Meanwhile, the South American shipments were expected during the April-to-July period. Importers decided to cancel the orders after soybean oil prices climbed further in the global market.

Palm oil continues to dominate India’s edible oil imports because of its competitive pricing. When soybean oil becomes too expensive, buyers often shift to palm oil or other vegetable oils. The price gap between soybean oil and palm oil has widened in recent weeks. This trend has pushed refiners to reconsider their procurement strategies.

Palm oil is widely used in packaged foods, cooking oils, and processed products across India. Its lower cost makes it attractive to food companies and large refiners. Analysts say that even small price differences can lead to major changes in import decisions. Since India imports millions of tons of edible oil each year, a small premium can translate into high additional costs.

Several global factors have influenced soybean oil prices. Weather conditions, supply concerns, and strong demand in major markets have all played a role. South American countries such as Brazil and Argentina are key exporters of soybean products. Any disruption in supply from the region can affect global prices.

Russia has also emerged as a supplier of edible oils to India in recent years. However, price competitiveness remains the main factor that determines purchasing decisions. Market traders say Indian buyers often monitor price spreads between different oils before finalizing shipments. If soybean oil loses its price advantage, importers quickly switch to other options.

India imports large quantities of palm oil, soybean oil, and sunflower oil each year. Domestic production cannot meet the country’s rising consumption. The shift away from soybean oil could increase demand for palm oil in the coming months. This trend may influence global trade flows as suppliers adjust to changing demand from India.

Refiners and traders expect import patterns to remain flexible. Buyers will continue to track global prices closely and choose the most economical option. Consumers may not notice immediate changes in retail cooking oil prices. However, import costs play a major role in determining long-term price trends in the market. Diya TV USA
March 04, 2026

EU-India Trade Pact Could Lower Barriers for Greek Olive Oil Exports
A landmark free trade agreement between the EU and India is expected to open a new route for Greek olive oil to the East by eliminating tariffs on exports, potentially boosting the country’s presence in India’s market. The agreement aims to reduce costs for European producers and exporters, with projections showing rapid growth in India’s olive oil market in the coming years, but Greek industry observers warn of competition from established Spanish and Italian exporters.

A new route for Greek olive oil to the East could open after a landmark free trade agreement was struck between the European Union and India in January.

Often termed “the mother of all deals,” the EU-India pact aims to eliminate tariffs on around 99 percent of imports from India to the bloc and remove or reduce tariffs on 96 percent of European products exported to India.

According to the European Commission, the agreement is expected to save EU producers and exporters around €4 billion annually in duties paid on exports to the world’s most populous country.

For European olive oil, the existing import levy of up to 45 percent to India would be phased out over five years after the trade agreement formally enters into force, potentially narrowing the price gap that has limited demand.

Indians traditionally use a range of edible oils, including sunflower, coconut, safflower and palm oil. Olive oil — also known as jaitun oil in India — has emerged as a healthier alternative, particularly among the country’s middle class.

Market analysts have projected that India’s olive oil market will grow rapidly in the coming years, reaching $253 million by 2030 from $89 million in 2023​. Olive Oil Times
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Global Deforestation Reports: How Much Caused By Palm Oil?
There have been many wrong narratives fabricated by certain groups in their global campaigns against palm oil. Prominent among them is the issue that palm oil is the main cause of global deforestation.

Actually, it is not accurate and against the real facts of palm oil as have been also reflected in the official data reported by global institutions, such as FAO, European Commission and the Global Forest Watch.

As a matter of fact, oil palm is not the main cause of global deforestation.

Global deforestation has occurred long before oil palm cultivation
The FAO Global Forest Resources Assessment (FRA) report shows that the peak of global forest loss occurred long before modern cultivation and expansion of oil palm plantations.¹

During the period of 1990–2000, the world lost approximately 17.6 million hectares of forest per year.¹ In fact, historically, large-scale deforestation has occurred in North America and Europe since the 17th century for agricultural and industrial development.²

It means that global deforestation is a long-term and transcontinental phenomenon, and it is not due to the developments of oil palm plantations in Southeast Asian region.

Overall Agriculture and husbandry as biggest cause
The data from the FAO has confirmed that nearly 90% of global deforestation is caused by agricultural expansion³.

However, it is important to note that the most dominant cause is cattle ranching and large-scale cultivation of food crops like soybeans³ ⁴.

Deforestation data based on a European Commission study (1990–2008)⁴ is as follows:
  • Cattle farming: ±24%
  • Cereals: ±8%
  • Soybeans: ±6%
  • Palm oil: only ±2–5%
It means that the global contribution of palm oil is much smaller than that of livestock and soybeans.
If palm oil is accused as the main cause of global deforestation, then logically and statistically, the livestock sector has a far greater impact. GAPKI
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Indonesian Communities Protect Millions of Hectares of Rainforest
With WRI support, 22 local agencies used data-based monitoring tools to protect 2.2 million hectares of rainforest in Aceh, Riau and North Kalimantan provinces.

The Challenge
Aceh, Riau and North Kalimantan provinces hold some of Indonesia’s most vital rainforests. Yet they remain hotspots for deforestation driven by illegal logging and clearing for palm oil and other agricultural commodities.

Historically, forest monitoring in these regions has been fragmented and ineffective. Government agencies, local communities and civil society organizations operate in silos and rely on infrequent foot patrols that can be slow in preventing illegal clearing. Frontline forest defenders — particularly Indigenous Peoples and park rangers — lack both timely information and the authority to respond to deforestation. This limits their ability to protect the ecosystems that sustain their lives and livelihoods.

WRI’s Role
WRI established district-level forest monitoring teams by bringing together local governments, civil society organizations and communities in Aceh, Riau and North Kalimantan.

We provided intensive training on Global Forest Watch and other digital tools. These technologies, which use satellite monitoring and other data to spot tree loss in near-real time, help everyone from government agents to forest communities detect and halt deforestation. We also supported the issuance of formal government decrees in Bulungan, North Kalimantan and Aceh Tamiang, Aceh that ensured forest monitoring would continue after the project ended.

The Outcome
As of 2024, 22 local agencies and institutions are protecting 2.2 million hectares of forest across six districts in Aceh, Riau and North Kalimantan through strong monitoring systems. These systems include deforestation alerts, processes to verify tree loss, and response protocols co-developed by WRI and local stakeholders. The transition from reactive to proactive forest monitoring has produced measurable benefits. Forthcoming WRI analysis shows that Aceh saw a 16% reduction in the likelihood of deforestation, with a 19.9% reduction specifically within the Aceh Forest Estate.

The initiative also strengthened local governance. In August 2025, the district of Bulungan in North Kalimantan received a national award for integrating ecology into its budgeting and governance process. This improvement was directly supported by WRI’s forest-monitoring work.

Moreover, the Criminal Investigation Agency of the Indonesian National Police (Bareskrim) requested WRI’s support in deforestation analysis related to the flood disasters that affected parts of Aceh, North Sumatra and West Sumatra last year. Findings are supporting the agency’s ongoing investigation.​ WRI
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Aceh Jaya Begins Oil Palm Development for Former GAM Combatants
PALMOILMAGAZINE, ACEH JAYA – The Government of Aceh Jaya Regency has officially launched the first planting of oil palm on 10 hectares of land allocated to former members of the Free Aceh Movement (GAM) under the Sagoe Pasie Raya structure.

The initiative is designed to promote economic self-reliance and generate employment opportunities for former combatants in the region. The inaugural planting ceremony was led directly by Aceh Jaya Regent Safwandi, accompanied by Deputy Regent Muslem D, and attended by representatives of the Aceh Transitional Committee (KPA) Sagoe Pasie Raya along with other stakeholders.

Safwandi stated that the oil palm development program aligns with the SALEM (Safwandi–Muslem) administration’s commitment to improving community welfare through job creation in the plantation sector.

“The regional government continues to encourage economic independence through oil palm plantations. We hope this estate will help KPA support its operational needs for future activities,” Safwandi stated, as quoted by Palmoilmagazine.com from the official release of the Aceh Jaya Regency Government on Friday (27/2/2026).

He emphasized that this marks the first oil palm planting program initiated by the Aceh Jaya administration specifically for KPA members in Sagoe Pasie Raya.

“This is the first time the Aceh Jaya government has facilitated oil palm planting for KPA in Sagoe Pasie Raya. We hope other sagoe areas in Aceh Jaya can soon follow by opening similar land,” he added.

According to Safwandi, the development of the plantation serves as an initial step toward creating sustainable employment opportunities for former combatants in the area.

Meanwhile, Chairman of KPA Sagoe Pasie Raya, Sulaiman Efendi, expressed appreciation for the collaboration and support from various parties that enabled the 10-hectare project to materialize.

“Today we are able to carry out the first planting of oil palm for former combatants of Sagoe Pasie Raya, directly led by the Regent and Deputy Regent,” he said.

The program is expected to become a foundation for strengthening the economic resilience of former combatants while supporting the sustainable growth of the oil palm plantation sector in Aceh Jaya.​ Palm oil magazine
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Sentencing by the Indonesian Court of an executive of Wilmar’s Indonesian Unit
Further to the announcement dated 14 April 2025 issued by Wilmar International Limited (“Wilmar” or the
“Company”) regarding the arrest by the Indonesian authorities of certain judges who had acquitted three
palm oil companies, including subsidiaries of Wilmar, of charges relating to the obtaining of export permits
wrongfully, the Company wishes to announce that the Central Jakarta District Court has sentenced
Muhammad Syafei, the Head of Social Security Legal of Wilmar’s Indonesian Unit, today to six (6) years
of imprisonment and a fine of IDR 300 million (approximately S$22,570) for the charge of bribery of the
said judges. The Public Prosecutors had earlier asked for a sentence of fifteen (15) years and a fine of
IDR 600 million (approximately S$45,360) for bribery and money laundering charges but the Court
dismissed the money laundering charge against Muhammad Syafei.
Issued by
WILMAR INTERNATIONAL LIMITED
3 March 2026
March 03, 2026

Attorney General’s Office Raids Dozens of Locations in CPO Export Corruption Probe
Jakarta. The Attorney General’s Office has searched dozens of locations in connection with a corruption investigation into crude palm oil (CPO) and its derivative product exports between 2022 and 2024, officials said Monday.

“We have carried out searches at dozens of sites in Riau and Medan (North Sumatra),” said Syarief Sulaeman Nahdi, investigations director at the agency’s special crimes unit, in Jakarta.

The raids targeted offices, residences, and palm oil processing facilities. Investigators are now moving to seize assets allegedly linked to private-sector suspects.

“There are several plots of land and palm oil processing plants currently in the process of being seized. We are also confiscating heavy equipment, vehicles, and other assets,” Syarief said.

The case centers on alleged manipulation of export classifications to evade government controls imposed on CPO, a strategic national commodity.

The government implemented export restrictions and controls on CPO from 2020 to 2024 to maintain domestic cooking oil supply and price stability. The measures included a domestic market obligation (DMO), export approvals, export duties, and palm oil levies.

According to investigators, exporters allegedly misclassified high-acid CPO as palm oil mill effluent (POME), using a different Harmonized System (HS) code intended for residue or waste products.

“The investigators found deviations in the form of engineered export commodity classifications, where high-acid CPO was deliberately claimed as POME using a different HS code,” Syarief said at a previous press conference in February.

He said the scheme was designed to circumvent export controls so that what was essentially CPO could be shipped abroad as if it were not subject to the same obligations and levies.

Auditors are still calculating the total state losses, but preliminary estimates suggest losses of between Rp 10 trillion ($592 million) and Rp 14 trillion in lost state revenue. The figure does not yet include potential broader economic losses, which are also being assessed.

A total of 11 suspects have been named in the case, including three public officials and eight private-sector executives.

The public officials include LHB, a subdirector for non-food plantation industry products at the Industry Ministry; FJR, a technical director at the Directorate General of Customs and Excise who currently heads the Bali, West Nusa Tenggara and East Nusa Tenggara customs offices; and MZ, a civil servant at the Pekanbaru Customs Office.

The private-sector suspects include executives from several palm oil companies, identified by their initials as ES, ERW, FLX, RND, TNY, VNR, RBN and YSR.

The Attorney General’s Office said the investigation is ongoing and further asset seizures are possible as authorities continue to trace financial flows linked to the alleged export scheme. Jakarta Globe
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Indonesia has Seized 5 Million Hectares of Palm Oil Plantations, Task Force Says
PALM OIL - JAKARTA, March 2 - Indonesia has seized 5 million hectares of palm oil plantations and industrial forest concessions that have been accused of legal violations, with more than 100 companies fined, a spokesperson with the country's forestry task force said on Monday. Last year, the forestry task force, which comprises the military, the police and state prosecutors, took over 4.1 million hectares said to be operating illegally in forest areas, targeting major palm oil companies and smallholder farmers alike.

The task force has so far collected 7.39 trillion rupiah ($438.45 million) from 51 palm oil companies, task force spokesperson Barita Simanjuntak told a press conference. Another 20 companies have already agreed to pay a total 2.78 trillion rupiah in fines, while 34 others have filed objections. The financial penalties imposed on other firms were still being calculated. Some of the firms are contesting the fines because they say authorities have overestimated the amount of land involved, while others simply don't have the means to pay, said Simanjuntak. Others claim that their permits are in order, but they have been found to overlap with other concessions, he said.Indonesian government agencies have often issued different permits for the same plot of land

"Of course we will make checks," Simanjuntak said. Attorney General Sanitiar Burhanuddin said in December the government could collect $6.5 billion in fines from palm oil companies implicated in last year's seizure. The government has handed over 1.7 million hectares of the seized plantations to state firm Agrinas Palma Nusantara, he added, while more than 770,000 hectares have been transferred to the environment and forestry ministries. Kontan
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Ghana targets $200m palm oil import reduction through expanded China Agricultural partnerships
Ghana is intensifying efforts to reduce its palm oil import bill by an estimated $200 million each year as it strengthens partnerships with Chinese investors under a renewed agricultural transformation drive.

Speaking at the Chinese Lunar New Year Gala 2026 in Accra, Minister for Food and Agriculture Eric Opoku said agriculture now occupies a central place in President John Dramani Mahama’s economic reset agenda. He explained that the 2026 Budget identifies the sector as a key engine for industrialisation, export expansion, job creation and foreign exchange stability.

A major pillar of the strategy is the Integrated Oil Palm Development Programme, covering 2026 to 2032, which aims to establish 100,000 hectares of oil palm plantations and create up to 250,000 jobs. The programme is expected to increase domestic output while significantly cutting the country’s dependence on imported palm oil.

The Minister also outlined other interventions planned for the year, including the distribution of 31,000 metric tonnes of rice seed, 4,388 metric tonnes of maize seed, 2,791 metric tonnes of soybean seed and 272,000 metric tonnes of fertiliser to farmers across the country. In addition, government is expanding irrigation facilities and constructing dams in northern Ghana to reduce reliance on rain-fed agriculture.

Mr Opoku disclosed that Ghana is engaging Chinese firms for joint ventures in irrigation development, farm mechanisation, agro processing and machinery assembly. He emphasised that the country is seeking strategic production partnerships rather than donor support.

“We are not seeking aid. We are building joint ventures,” he said, urging investors to transition “from trade to production.”

With organised land banks and access to the more than 400 million strong ECOWAS market, Ghana is positioning itself as a regional centre for agro industrial expansion and sustained investment in West Africa.​ Modern Ghana
March 02, 2026

Malaysia’s palm oil exports largely unaffected by new US tariffs, minister tells Dewan Negara
KUALA LUMPUR, March 2 — The latest tariffs imposed by the United States (US) only have a minimal impact on Malaysia’s palm oil exports, according to Plantation and Commodities Minister Datuk Seri Dr Noraini Ahmad.

She said the US is not a major market for Malaysian palm oil, with exports to the country accounting for only 1.1 per cent unlike key markets such as India, Kenya, and China.

“In terms of impact, the effect is still manageable and does not significantly affect export performance, with palm oil usage in the US depending on industry requirements,” she said in response to a supplementary question from Senator Michael Mujah Lihan during a question-and-answer session in the Dewan Negara.

The senator wanted to know about the direct impact of the latest tariffs announced by the US on Malaysian rubber and palm oil.

Noraini said there is stable demand from industries in the US, particularly in the bakery and cosmetics sectors requiring palm oil, which is difficult to be substituted with other vegetable oils.

As such, she said, the tariff decision has had a relatively minimal effect on the country’s palm oil export performance.

As for rubber, the minister said the actual impact will depend on the final tariff rate implemented as well as the product scope involved.

“As a mitigation measure, the government is working to intensify efforts to diversify export markets to other regions, and we are trying to reduce dependence on a single market,” she said. -- Bernama/ MalayMail
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Thailand Implements Immediate Ban on Oil Exports Amid Hormuz Strait Closure
Thailand has announced an immediate ban on oil exports in response to the closure of the Hormuz Strait, according to Jin10. The government has activated the 'Energy Emergency Monitoring Center' to manage the crisis and ensure a 60-day strategic fuel reserve. In an effort to reduce reliance on imported fuel, Thailand has ordered coal and hydroelectric power plants to operate at maximum capacity and increase domestic natural gas production. Additionally, the government plans to use the national fuel fund to subsidize fuel prices, aiming to shield citizens from rising energy costs.​ Binance
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Ghana to reduce palm import by $200 million with new China alliance
Ghana is intensifying efforts to cut its palm oil import bill by about $200 million annually, as it courts Chinese investors to support an ambitious agricultural transformation drive
  • Ghana is accelerating its agricultural transformation, inviting Chinese investors to support joint ventures across the sector. 
  • The Integrated Oil Palm Development Programme aims to develop 100,000 hectares and create 250,000 jobs. 
  • Government initiatives include seed distribution, irrigation expansion, and support for mechanisation. 
  • With access to the 400 million-strong ECOWAS market, Ghana is positioning itself as a regional hub for agriculture and industry.

Speaking at the Chinese Lunar New Year Gala 2026 in Accra, Agriculture Minister Eric Opoku said farming has become central to President John Dramani Mahama's economic reset agenda.

He noted that the 2026 budget positions agriculture as a catalyst for industrialisation, export expansion, job creation, and foreign exchange stability.

As part of the push, the government is distributing 31,000 metric tonnes of rice seed, 4,388 metric tonnes of maize seed, 2,791 metric tonnes of soybean seed, and 272,000 metric tonnes of fertiliser this year. Africa Business Insider
March 01, 2026

AI in oil palm - the small percentage shift that can save India billions

Regenerative agriculture and circular processing into a unified strategy can transform oil palm into a model of productivity, sustainability and farmer prosperity

India’s edible oil import bill remains one of the most persistent structural pressures on its agricultural trade balance. Policy initiatives have rightly focused on expanding oil palm acreage under national missions. But the next breakthrough will not come from hectares alone. It will come from precision.

In oil palm economics, a fraction of a percentage point can change everything. That fraction is called Oil Extraction Rate (OER) — the percentage of oil recovered from Fresh Fruit Bunches (FFB). Artificial Intelligence (AI) may be the most powerful lever India has to improve it.

For policymakers, processors, agri-tech developers and state governments, the opportunity is immediate- boost OER through AI-driven precision harvesting and circular processing systems and unlock higher farmer incomes without expanding land.
The Hindu Businessline
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Indonesia Says US Export Tariff Cut to 15% After Court Ruling
Jakarta. Indonesia said on Friday that tariffs imposed by the United States on its exports will stand at 15%, not 19% as previously agreed in bilateral trade talks in Washington.

Coordinating Economic Affairs Minister Airlangga Hartarto said the adjustment follows a decision by the US Supreme Court that invalidated the reciprocal tariff policy introduced by President Donald Trump.

“As a result, the applicable rate is the global tariff of 15%,” Airlangga told reporters in Jakarta.

During President Prabowo Subianto’s visit to Washington last week, Indonesia and the US had agreed on a 19% tariff — down from an earlier proposed 32% — before the Supreme Court ruling altered the legal basis of the policy.

Airlangga stressed that the broader trade agreement remains valid, subject to parliamentary ratification, despite the revised tariff level.

Under the agreement, Indonesia secured 0% tariff access for 1,819 product categories entering the US market. These include palm oil, coffee, cocoa, spices, rubber, electronic components — including semiconductors — and aircraft parts.

Indonesia’s textile and apparel sector will also benefit from 0% tariffs, although the measure will be implemented under a Tariff Rate Quota (TRQ) mechanism, meaning duty-free access applies up to a specified volume.

The clarification provides some certainty for exporters after days of confusion following the US court ruling, which reshaped the tariff framework underpinning the bilateral deal.​ Jakarta Globe
Palm oil news. March 2026 CSPO Watch

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