Palm oil news September 2025
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September 30, 2025
EUDR Delay Relieves Compliance Pressure, Supports Palm Oil Exports
KUALA LUMPUR, Sept 30 (Bernama) -- The postponement of European Union Deforestation Regulation (EUDR) implementation provides short-term relief for palm oil and other commodity producers by easing immediate compliance pressures and keeping trade flows steady.
Hyderabad-based TransGraph Consulting Pvt Ltd chairman and managing director, Nagaraj Meda said the delay is expected to have minimal impact on the palm oil industry and its prices, with an estimated reduction of 100,000 metric tonnes in monthly imports to the European Union (EU).
“The EU Committee has proposed a postponement of the EUDR to the Environmental Committee, although this still requires approval from both the EU Parliament and member states.
“The EUDR delay allows companies to prepare for future sustainability rules by improving traceability, testing compliance systems, investing in technology, and engaging small farmers,” he told Bernama.
He said the postponement also offers both stability in the near term and an opportunity to build stronger, more resilient supply chains.
At the same time, Nagaraj noted that the EU’s volume of imports of palm oil and its derivatives is unlikely to change significantly.
Recently, EU Environment Commissioner Jessika Roswall said the EU is seeking to postpone the EUDR for a second time, pushing back implementation by another year to end-2026.
She said the proposed delay is mainly due to the inability of the EU’s information technology (IT) system to handle the massive volume of traceability data required from companies dealing in commodities such as palm oil, soy, and timber.
Originally slated to begin in December 2025, the regulation will now take effect in December 2026.
Commenting on the IT system's inability, Nagaraj said to address the situation, the commission will likely need to increase the server capacity to accommodate the growing volume of data and ensure efficient processing.
“The European Commission (EC) has acknowledged capacity challenges in handling the vast amount of data required for these due diligence processes.
“This IT system responsible for managing due diligence statements under the EUDR operates on the TRACES platform, which serves as the central registry for the due diligence statements submitted by operators and traders, ensuring compliance with the regulation,” he said.
Developed and maintained by the EC, TRACES is the EC’s online platform for animal and plant health certification required for the importation of animals, animal products, food and feed of non-animal origin and plants into the EU, and the intra-EU trade and EU exports of animals and certain animal products.
-- BERNAMA
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Food Matters Live Rotterdam 2025: Daabon targets palm oil carbon neutrality amid sustainability demands
Manuel Davila, managing director at Daabon Europe, discussed the company’s goal to become the first carbon-neutral palm oil producer by utilizing all parts of the palm tree and generating energy from biomass. He called the palm oil boycott trend “short-sighted” and urged brands to support sustainable sourcing, emphasizing the importance of transparency and addressing the root issues. Food Ingredients First
EUDR Delay Relieves Compliance Pressure, Supports Palm Oil Exports
KUALA LUMPUR, Sept 30 (Bernama) -- The postponement of European Union Deforestation Regulation (EUDR) implementation provides short-term relief for palm oil and other commodity producers by easing immediate compliance pressures and keeping trade flows steady.
Hyderabad-based TransGraph Consulting Pvt Ltd chairman and managing director, Nagaraj Meda said the delay is expected to have minimal impact on the palm oil industry and its prices, with an estimated reduction of 100,000 metric tonnes in monthly imports to the European Union (EU).
“The EU Committee has proposed a postponement of the EUDR to the Environmental Committee, although this still requires approval from both the EU Parliament and member states.
“The EUDR delay allows companies to prepare for future sustainability rules by improving traceability, testing compliance systems, investing in technology, and engaging small farmers,” he told Bernama.
He said the postponement also offers both stability in the near term and an opportunity to build stronger, more resilient supply chains.
At the same time, Nagaraj noted that the EU’s volume of imports of palm oil and its derivatives is unlikely to change significantly.
Recently, EU Environment Commissioner Jessika Roswall said the EU is seeking to postpone the EUDR for a second time, pushing back implementation by another year to end-2026.
She said the proposed delay is mainly due to the inability of the EU’s information technology (IT) system to handle the massive volume of traceability data required from companies dealing in commodities such as palm oil, soy, and timber.
Originally slated to begin in December 2025, the regulation will now take effect in December 2026.
Commenting on the IT system's inability, Nagaraj said to address the situation, the commission will likely need to increase the server capacity to accommodate the growing volume of data and ensure efficient processing.
“The European Commission (EC) has acknowledged capacity challenges in handling the vast amount of data required for these due diligence processes.
“This IT system responsible for managing due diligence statements under the EUDR operates on the TRACES platform, which serves as the central registry for the due diligence statements submitted by operators and traders, ensuring compliance with the regulation,” he said.
Developed and maintained by the EC, TRACES is the EC’s online platform for animal and plant health certification required for the importation of animals, animal products, food and feed of non-animal origin and plants into the EU, and the intra-EU trade and EU exports of animals and certain animal products.
-- BERNAMA
---------
Food Matters Live Rotterdam 2025: Daabon targets palm oil carbon neutrality amid sustainability demands
Manuel Davila, managing director at Daabon Europe, discussed the company’s goal to become the first carbon-neutral palm oil producer by utilizing all parts of the palm tree and generating energy from biomass. He called the palm oil boycott trend “short-sighted” and urged brands to support sustainable sourcing, emphasizing the importance of transparency and addressing the root issues. Food Ingredients First
September 29, 2025
Smallholders drive Malaysia’s palm oil supply chain resilience
Their collective success or failure will determine whether the industry can meet global sustainability standards while sustaining livelihoods across rural Malaysia
by AKMAR ANNUAR
MALAYSIA’S reputation as the world’s second-largest producer of palm oil is built not only on sprawling estates owned by major conglomerates but also on the modest plots tended by independent smallholders.
These farmers, often managing only a few hectares, account for nearly one-fifth of the nation’s planted area.
Their collective success or failure will determine whether the industry can meet global sustainability standards while sustaining livelihoods across rural Malaysia.
For decades, smallholders have been viewed as the weakest link in palm oil’s global supply chain.
Without the technical knowledge, capital or networks of big players, they were often excluded from certification schemes and sidelined in policy debates.
That narrative, however, is shifting.
A growing ecosystem of support programmes, led by companies like SD Guthrie Bhd’s downstream arm, NGOs such as Solidaridad, and research institutions like the Centre for Sustainable Small-owners (CSS) at the Asia School of Business, is beginning to change how smallholders are seen and how they see themselves.
These efforts are not abstract. They translate into better farm records, more efficient fertiliser use, income diversification and, in some cases, yields that rival the best plantations.
They also produce compelling stories of resilience and determination.
Rosli’s Formula: Discipline, Data at the Heart of Farming
When The Malaysian Reserve (TMR) spoke to Rosli Abdul Rahman, the first thing he shared was not his oil palms but his logbook. The Malaysian Reserve
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Malaysia’s Palm Oil Faces Supply Hurdles As Global Competition Heats Up
What’s going on here?
Malaysia’s palm oil reserves are set to shrink to around 1.7 million metric tons by year-end, as a seasonal production dip meets surging export demand and tougher competition in the global market.
What does this mean?
The world’s second-biggest palm oil producer rode a nine-month inventory high in August, with stocks climbing to 2.2 million tons before typical seasonal slumps and pre-festival export surges took hold. But the story’s bigger than Malaysia’s own fields: cheaper soyoil on the world market saw India—Malaysia’s top customer—shift its attention elsewhere, slowing palm oil orders. Meanwhile, Indonesia’s push for a stronger B50 biodiesel blend is soaking up local palm oil and tightening regional supply, especially as the government grabs control of more plantation land. That tangled mix of stronger demand, shifting policies, and stiffer competition means palm oil prices could stay firm, but there’s plenty of volatility ahead.
Why should I care?
For markets: Volatility is the new normal.
With inventories tightening and Indonesia siphoning off more oil for biodiesel, palm oil prices could stay elevated for now. Still, global factors like cheaper soyoil and changing buying habits in India mean traders face sudden swings. For investors tracking agribusiness and commodities, policy tweaks and shifting trade flows could quickly shake up prices and supply through the rest of the year.
The bigger picture: Policymakers set the pace.
Indonesia’s plantation overhauls and tougher biodiesel rules are rippling across global edible oil markets. On Malaysia’s side, slower replanting—without extra government backing—could limit future output. As India’s demand and global regulations shift, it’s clear that policy moves, sustainability efforts, and food security worries are now front and center for palm oil’s future. Finimize
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Indonesia to export palm oil to the EU with no tariffs with new trade deal
September 28, 2025 | Juan Pedro Tomas
In Indonesia, DW reported that the European Union and Indonesia opened a new chapter in trade, with the Indonesia-EU Comprehensive Economic Partnership Agreement (IEU-CEPA) being signed in Bali.
The report noted that palm oil exports have proven to be the most contentious issue during the talks. EU officials point out that producing palm oil is a major driver of deforestation and pollution.
Brussels and Jakarta now hope to see the accord go into effect by 2027, allowing around 80% of Indonesia’s exports to enter the EU tariff-free, the report added.
Starting in December, the European Union will demand palm oil imports to comply with the bloc’s Deforestation Regulation (EUDR), a new legal framework aimed at fighting deforestation worldwide, the report said.
Exporters, including those in Indonesia, will be required to carry out due diligence and provide documentation proving that their palm oil did not come from recently deforested areas, it added.
Though major companies may be able to deliver the necessary export certificates, small producers — who control over 42% of Indonesia’s palm oil plantations — are likely to struggle, risking exclusion from supply chains. Biofuels Digest
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EU appeals dispute panel report regarding duties on imports of biodiesel from Indonesia
The European Union notified its decision to appeal the panel report in the case brought by Indonesia in “European Union — Countervailing Duties on Imports of Biodiesel from Indonesia” (DS618). WTO members were informed of the appeal at the Dispute Settlement Body (DSB) meeting on 26 September. The panel report was circulated to WTO members on 22 August 2025.
DS618: European Union — Countervailing Duties on Imports of Biodiesel from Indonesia
Indonesia expressed regret that the EU decided to appeal the panel's findings before a non-functioning Appellate Body. The EU recalled that it had invited Indonesia to join the multi-party interim appeal arrangement (MPIA) so that both parties can preserve their rights to a binding resolution of trade disputes despite the blockage of appointments to the Appellate Body. The MPIA is a contingent measure to safeguard the right to appeal in the absence of a functioning Appellate Body.
Given the ongoing lack of agreement among WTO members regarding the filling of Appellate Body vacancies, there is no Appellate Body Division available at the current time to deal with the appeal in the dispute concerning countervailing duties imposed by the European Union on imports of biodiesel from Indonesia. Further information will be available within the next few days in document WT/DS618/5. WTO
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More than Colour: The Science and Solutions Inside Red Palm Oil
Vitamin A Deficiency
“Why can’t I see anything?”
In January 2025, Malaysia was shocked by a tragic case involving a Standard 2 student who lost her sight. The child’s vision loss was due to severe vitamin A deficiency, diagnosed after multiple medical tests. A medical examination revealed that it resulted from prolonged consumption of processed foods. This alarming and entirely preventable case in Malaysia underscores the broader issue of vitamin A deficiency, a significant public health challenge nationally and globally (TheSun 2025; MStar 2025; Fong 2025).
Improvements in Dietary Intake
A nationwide study by Malaysia’s Ministry of Health in 2000 found that 3.9% of children under five had vitamin A deficiency (serum retinol <0.7 µmol/L). Worldwide, the 2019 Global Burden of Disease (GBD) study estimated that the prevalence of vitamin A deficiency is around 7.0%, affecting 23.1 million children worldwide. The highest rates were reported in Central and Eastern sub-Saharan Africa, at 25.9% and 23.5%respectively.
Despite the WHO’s efforts in combating this issue, disparities in economic conditions, healthcare access, and access to nutritious food continue to hinder progress in addressing this preventable condition.
Hamer and Keusch (2015) summarised that improving dietary intake of foods rich in vitamin A (e.g., animal products) or beta-carotene is a sustainable solution in combating or alleviating vitamin A deficiency.
The following are some possible strategies:
Interestingly, red palm oil has emerged as another effective strategy due to its high content of carotenoids, which can complement these efforts by providing a natural and sustainable source of vitamin A precursors.
Red Palm Oil
In Malaysia, the high content of carotenoids and tocotrienols in red palm oil is well documented. Red palm oil retains its carotenoids and vitamin E because it bypasses certain refining processes that typically degrade these nutrients. Its distinctive red appearance is attributed to its high carotenoid content and low free fatty acid levels (Tan et al., 2021). Red palm oil may help treat and prevent vitamin A deficiency and malnutrition. Research studies have revealed that red palm oil can increase provitamin A activity, improve immune function and reduce the risk of atherosclerosis (Oguntibeju et al., 2009). Additionally, it alleviates ocular problems due to vitamin A insufficiency among youngsters and pregnant women (Loganathan et al., 2017).
Palm oil contains a-, ß- and γ-carotenes, where the provitamin A compound, beta-carotene, in red palm oil has good bioavailability and is readily converted into vitamin A (retinol) only when the body needs it, preventing excessive accumulation. These carotenoids help prevent night blindness. Moderate amounts of palm oil should be incorporated into meals to ensure adequate vitamin A intake, especially in developing countries where vitamin A deficiency is a major problem among adults and children (Boateng, 2016). The Edge
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World Heart Day 2025: Why Eliminating Oils Is Not The Answer To Heart Health
Curated By : Swati Chaturvedi/ News18.com
Skipping oils isn’t the solution for a healthy heart. Learn why balanced fats, good oils, and lifestyle habits are essential for preventing cardiovascular disease.
Don’t Miss a Beat is the theme of this year’s World Heart Day. Celebrated on 29 September every year, it urges people to commit to daily movement to help prevent cardiovascular disease (CVD), the world’s leading cause of death. While CVD claims 20.5 million lives annually, accounting for over 33% of global deaths, up to 80% of early heart attacks and strokes are preventable.
Dr. Varun Bansal, Consultant Cardiac Surgeon, Indraprastha Apollo Hospitals shares all you need to know:
With an unbalanced diet being a prime cause of these diseases, dietary fats, particularly oils are often blamed. Several diet plans suggest complete elimination of oils from our diet to ensure optimal heart health, but this concept overlooks the relationship between essential elements that oils provide for the human body’s structure and adequate function.
Fats, one of the three macronutrients essential to human health alongside carbohydrates and proteins, serve many critical functions. They build cell membranes, support hormone production, provide energy, absorb fat-soluble vitamins (A, D, E, and K), maintain brain function, and support the body’s shape and structure. At the same time, it is important to remember that excess intake of any nutrient whether sugars, carbohydrates, proteins, vitamins, minerals, or fats can be harmful.
Sorting the Good Fats from the Harmful
Dietary fats are classified as saturated or unsaturated. Saturated fats have no double bonds and are usually solid at room temperature, while unsaturated fats have one or more double bonds and are mostly liquid. Saturated fats often form Low-Density Lipoproteins (LDL), commonly called “bad cholesterol," while High-Density Lipoproteins (HDL) carry fats back to the liver.
LDL itself is not harmful, as it transports fat from the liver to tissues. Problems arise when lipid metabolism is disturbed. Excess fats get trapped by immune cells (macrophages), forming foam cells that trigger inflammation and plaque build-up in blood vessels. Over time, this plaque, along with deposits of platelets, fibrin, and calcium, can narrow arteries and raise the risk of heart disease. News18
---------
Smallholders drive Malaysia’s palm oil supply chain resilience
Their collective success or failure will determine whether the industry can meet global sustainability standards while sustaining livelihoods across rural Malaysia
by AKMAR ANNUAR
MALAYSIA’S reputation as the world’s second-largest producer of palm oil is built not only on sprawling estates owned by major conglomerates but also on the modest plots tended by independent smallholders.
These farmers, often managing only a few hectares, account for nearly one-fifth of the nation’s planted area.
Their collective success or failure will determine whether the industry can meet global sustainability standards while sustaining livelihoods across rural Malaysia.
For decades, smallholders have been viewed as the weakest link in palm oil’s global supply chain.
Without the technical knowledge, capital or networks of big players, they were often excluded from certification schemes and sidelined in policy debates.
That narrative, however, is shifting.
A growing ecosystem of support programmes, led by companies like SD Guthrie Bhd’s downstream arm, NGOs such as Solidaridad, and research institutions like the Centre for Sustainable Small-owners (CSS) at the Asia School of Business, is beginning to change how smallholders are seen and how they see themselves.
These efforts are not abstract. They translate into better farm records, more efficient fertiliser use, income diversification and, in some cases, yields that rival the best plantations.
They also produce compelling stories of resilience and determination.
Rosli’s Formula: Discipline, Data at the Heart of Farming
When The Malaysian Reserve (TMR) spoke to Rosli Abdul Rahman, the first thing he shared was not his oil palms but his logbook. The Malaysian Reserve
---------
Malaysia’s Palm Oil Faces Supply Hurdles As Global Competition Heats Up
What’s going on here?
Malaysia’s palm oil reserves are set to shrink to around 1.7 million metric tons by year-end, as a seasonal production dip meets surging export demand and tougher competition in the global market.
What does this mean?
The world’s second-biggest palm oil producer rode a nine-month inventory high in August, with stocks climbing to 2.2 million tons before typical seasonal slumps and pre-festival export surges took hold. But the story’s bigger than Malaysia’s own fields: cheaper soyoil on the world market saw India—Malaysia’s top customer—shift its attention elsewhere, slowing palm oil orders. Meanwhile, Indonesia’s push for a stronger B50 biodiesel blend is soaking up local palm oil and tightening regional supply, especially as the government grabs control of more plantation land. That tangled mix of stronger demand, shifting policies, and stiffer competition means palm oil prices could stay firm, but there’s plenty of volatility ahead.
Why should I care?
For markets: Volatility is the new normal.
With inventories tightening and Indonesia siphoning off more oil for biodiesel, palm oil prices could stay elevated for now. Still, global factors like cheaper soyoil and changing buying habits in India mean traders face sudden swings. For investors tracking agribusiness and commodities, policy tweaks and shifting trade flows could quickly shake up prices and supply through the rest of the year.
The bigger picture: Policymakers set the pace.
Indonesia’s plantation overhauls and tougher biodiesel rules are rippling across global edible oil markets. On Malaysia’s side, slower replanting—without extra government backing—could limit future output. As India’s demand and global regulations shift, it’s clear that policy moves, sustainability efforts, and food security worries are now front and center for palm oil’s future. Finimize
---------
Indonesia to export palm oil to the EU with no tariffs with new trade deal
September 28, 2025 | Juan Pedro Tomas
In Indonesia, DW reported that the European Union and Indonesia opened a new chapter in trade, with the Indonesia-EU Comprehensive Economic Partnership Agreement (IEU-CEPA) being signed in Bali.
The report noted that palm oil exports have proven to be the most contentious issue during the talks. EU officials point out that producing palm oil is a major driver of deforestation and pollution.
Brussels and Jakarta now hope to see the accord go into effect by 2027, allowing around 80% of Indonesia’s exports to enter the EU tariff-free, the report added.
Starting in December, the European Union will demand palm oil imports to comply with the bloc’s Deforestation Regulation (EUDR), a new legal framework aimed at fighting deforestation worldwide, the report said.
Exporters, including those in Indonesia, will be required to carry out due diligence and provide documentation proving that their palm oil did not come from recently deforested areas, it added.
Though major companies may be able to deliver the necessary export certificates, small producers — who control over 42% of Indonesia’s palm oil plantations — are likely to struggle, risking exclusion from supply chains. Biofuels Digest
----------
EU appeals dispute panel report regarding duties on imports of biodiesel from Indonesia
The European Union notified its decision to appeal the panel report in the case brought by Indonesia in “European Union — Countervailing Duties on Imports of Biodiesel from Indonesia” (DS618). WTO members were informed of the appeal at the Dispute Settlement Body (DSB) meeting on 26 September. The panel report was circulated to WTO members on 22 August 2025.
DS618: European Union — Countervailing Duties on Imports of Biodiesel from Indonesia
Indonesia expressed regret that the EU decided to appeal the panel's findings before a non-functioning Appellate Body. The EU recalled that it had invited Indonesia to join the multi-party interim appeal arrangement (MPIA) so that both parties can preserve their rights to a binding resolution of trade disputes despite the blockage of appointments to the Appellate Body. The MPIA is a contingent measure to safeguard the right to appeal in the absence of a functioning Appellate Body.
Given the ongoing lack of agreement among WTO members regarding the filling of Appellate Body vacancies, there is no Appellate Body Division available at the current time to deal with the appeal in the dispute concerning countervailing duties imposed by the European Union on imports of biodiesel from Indonesia. Further information will be available within the next few days in document WT/DS618/5. WTO
---------
More than Colour: The Science and Solutions Inside Red Palm Oil
Vitamin A Deficiency
“Why can’t I see anything?”
In January 2025, Malaysia was shocked by a tragic case involving a Standard 2 student who lost her sight. The child’s vision loss was due to severe vitamin A deficiency, diagnosed after multiple medical tests. A medical examination revealed that it resulted from prolonged consumption of processed foods. This alarming and entirely preventable case in Malaysia underscores the broader issue of vitamin A deficiency, a significant public health challenge nationally and globally (TheSun 2025; MStar 2025; Fong 2025).
Improvements in Dietary Intake
A nationwide study by Malaysia’s Ministry of Health in 2000 found that 3.9% of children under five had vitamin A deficiency (serum retinol <0.7 µmol/L). Worldwide, the 2019 Global Burden of Disease (GBD) study estimated that the prevalence of vitamin A deficiency is around 7.0%, affecting 23.1 million children worldwide. The highest rates were reported in Central and Eastern sub-Saharan Africa, at 25.9% and 23.5%respectively.
Despite the WHO’s efforts in combating this issue, disparities in economic conditions, healthcare access, and access to nutritious food continue to hinder progress in addressing this preventable condition.
Hamer and Keusch (2015) summarised that improving dietary intake of foods rich in vitamin A (e.g., animal products) or beta-carotene is a sustainable solution in combating or alleviating vitamin A deficiency.
The following are some possible strategies:
- Central fortification of processed foods (Especially beneficial to the urban population)
- Adding vitamin A sprinkles to food in homes, day-care centres, and schools
- Promotion of beta-carotene-rich foods
- Developing genetically high beta-carotene levels-engineered crops
Interestingly, red palm oil has emerged as another effective strategy due to its high content of carotenoids, which can complement these efforts by providing a natural and sustainable source of vitamin A precursors.
Red Palm Oil
In Malaysia, the high content of carotenoids and tocotrienols in red palm oil is well documented. Red palm oil retains its carotenoids and vitamin E because it bypasses certain refining processes that typically degrade these nutrients. Its distinctive red appearance is attributed to its high carotenoid content and low free fatty acid levels (Tan et al., 2021). Red palm oil may help treat and prevent vitamin A deficiency and malnutrition. Research studies have revealed that red palm oil can increase provitamin A activity, improve immune function and reduce the risk of atherosclerosis (Oguntibeju et al., 2009). Additionally, it alleviates ocular problems due to vitamin A insufficiency among youngsters and pregnant women (Loganathan et al., 2017).
Palm oil contains a-, ß- and γ-carotenes, where the provitamin A compound, beta-carotene, in red palm oil has good bioavailability and is readily converted into vitamin A (retinol) only when the body needs it, preventing excessive accumulation. These carotenoids help prevent night blindness. Moderate amounts of palm oil should be incorporated into meals to ensure adequate vitamin A intake, especially in developing countries where vitamin A deficiency is a major problem among adults and children (Boateng, 2016). The Edge
---------
World Heart Day 2025: Why Eliminating Oils Is Not The Answer To Heart Health
Curated By : Swati Chaturvedi/ News18.com
Skipping oils isn’t the solution for a healthy heart. Learn why balanced fats, good oils, and lifestyle habits are essential for preventing cardiovascular disease.
Don’t Miss a Beat is the theme of this year’s World Heart Day. Celebrated on 29 September every year, it urges people to commit to daily movement to help prevent cardiovascular disease (CVD), the world’s leading cause of death. While CVD claims 20.5 million lives annually, accounting for over 33% of global deaths, up to 80% of early heart attacks and strokes are preventable.
Dr. Varun Bansal, Consultant Cardiac Surgeon, Indraprastha Apollo Hospitals shares all you need to know:
With an unbalanced diet being a prime cause of these diseases, dietary fats, particularly oils are often blamed. Several diet plans suggest complete elimination of oils from our diet to ensure optimal heart health, but this concept overlooks the relationship between essential elements that oils provide for the human body’s structure and adequate function.
Fats, one of the three macronutrients essential to human health alongside carbohydrates and proteins, serve many critical functions. They build cell membranes, support hormone production, provide energy, absorb fat-soluble vitamins (A, D, E, and K), maintain brain function, and support the body’s shape and structure. At the same time, it is important to remember that excess intake of any nutrient whether sugars, carbohydrates, proteins, vitamins, minerals, or fats can be harmful.
Sorting the Good Fats from the Harmful
Dietary fats are classified as saturated or unsaturated. Saturated fats have no double bonds and are usually solid at room temperature, while unsaturated fats have one or more double bonds and are mostly liquid. Saturated fats often form Low-Density Lipoproteins (LDL), commonly called “bad cholesterol," while High-Density Lipoproteins (HDL) carry fats back to the liver.
LDL itself is not harmful, as it transports fat from the liver to tissues. Problems arise when lipid metabolism is disturbed. Excess fats get trapped by immune cells (macrophages), forming foam cells that trigger inflammation and plaque build-up in blood vessels. Over time, this plaque, along with deposits of platelets, fibrin, and calcium, can narrow arteries and raise the risk of heart disease. News18
---------
September 27, 2025
Malaysia asks U.S. for zero tariff rate on furniture, automotive and aerospace parts
By Reuters
KUALA LUMPUR, Sept 26 (Reuters) - Malaysia has asked the United States to consider imposing zero tariff rates on its exports of furniture, automotive and aerospace products, a Malaysian trade ministry official said on Friday.
Washington has also agreed to consider granting tariff exemptions to Malaysia for commodities not produced in the United States, including cocoa and palm oil, with a decision expected to be finalised next month, the official told Reuters, clarifying an earlier report by state news agency Bernama.
U.S. President Donald Trump on Thursday announced, opens new tab a new round of tariffs on imported goods, including a 50% tariff on imported kitchen cabinets and bathroom vanities and a 30% tariff on upholstered furniture.
Malaysia and the United States are seeking to complete an agreement on tariffs after Washington imposed a 19% levy on Malaysian imports in August.
Malaysia Prime Minister Anwar Ibrahim said in a Facebook post on Thursday that the countries were targeting a deal before a planned October visit by Trump to Kuala Lumpur for a summit of the Association of Southeast Asian Nations.
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India's edible oil imports to jump to record on higher palm buying, analyst says
By Rajendra Jadhav / Reuters
MUMBAI (Sept 26): India's edible oil imports in 2025/26 are projected to rise 4.6% to a record 17.1 million metric tonnes, driven by higher palm oil purchases by the world's largest vegetable oil buyer, industry analyst Dorab Mistry said on Friday.
Higher palm oil purchases by India will help top producer Indonesia and Malaysia to bring down stocks and support benchmark Malaysian palm oil futures.
Palm oil imports are likely to jump 13.4% to 9.3 million tonnes while soyoil imports are likely to dip to five million tonnes in the new marketing year from Nov 1, Mistry told delegates at an industry conference Globoil India.
Sunflower oil imports in the new season are likely to fall to 2.7 million tonnes from three million tonnes this year, Mistry said.
India buys palm oil mainly from Indonesia and Malaysia while importing soyoil and sunflower oil from Argentina, Brazil, Russia and Ukraine.
Global palm oil production growth is slowing, with output in 2025/26 projected to rise by only one million tonnes even as demand for food and biofuels climbs, Mistry said.
Malaysian palm oil futures are expected to rise once the peak production period ends in October and could surpass RM5,000 ringgit a tonne in November–December, he said.
Prices could extend the rally further, reaching a more than three-year high of RM5,500 a tonne in January-March 2026 on supplies tightened by increased biodiesel consumption in top producer Indonesia.
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New White Paper Charts India’s Path to Palm Oil Self-Sufficiency by 2047
Mumbai: Solidaridad Asia, in collaboration with The Solvent Extractors’ Association of India (SEA) and the Asian Palm Oil Alliance (APOA), released a research-backed white paper titled Path to Palm Oil Self-Sufficiency in India. The white paper provides a comprehensive strategy to reduce India’s heavy reliance on palm oil imports, boost domestic production, and achieve up to 50% self-sufficiency by 2047, potentially saving trillions of dollars in import costs while enhancing farmer income and environmental sustainability.
https://www.deccanchronicle.com/nation/in-other-news/new-white-paper-charts-indias-path-to-palm-oil-self-sufficiency-by-2047-1906485
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Shifting 16.08 mn hectares paddy land to oil palm can lower India's imports
Edible oil demand-supply gap may widen to 40 mn tonnes by 2047, warns paper
India should consider repurposing around 16.08 million hectares of marginal paddy-growing land and use it for cultivating oil palm to reduce dependence on imports, said a white paper released on Friday.
A “focussed strategy” should improve oil palm yields from 2.4 tonnes per hectare to 4-5 tonnes, said the paper titled ‘Path to Palm Oil Self-Sufficiency in India’. It recommended how India can reduce its reliance on palm oil imports, boost domestic production, and achieve up to 50 per cent self-sufficiency by 2047.
Solidaridad Asia, a civil society organisation, prepared the paper in collaboration with The Solvent Extractors’ Association of India and Asian Palm Oil Alliance, two prominent industry groups.
The white paper said the government should create an enabling ecosystem to support oil palm cultivation through strategic investments in rural roads, fresh fruit bunch collection systems, and processing facilities, particularly in the northeastern states where infrastructure gaps remain a major constraint.
It added that the private sector, which plays a pivotal role in the oil palm industry by owning 69 of the country’s 82 seed nurseries and operating 26 of the 32 processing mills, should be strengthened further. Business Standard
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Palm oil can be part of a balanced, heart-healthy diet, says US varsity professor
Clemson University professor James Brooks says the oil’s unique structure, rich vitamin E profile and versatility make it a vital component in addressing global food and nutrition needs
By BL Mangaluru Bureau
Palm oil is often misunderstood, but science shows it can be part of a balanced, heart-healthy diet, according to James Brooks, a Clemson University professor and nutrition expert.
In his talk titled ‘Malaysian Palm Oil in Today’s Market: Functional Nutrition, Flavour and the Future of Oils and Fats Technologies’ at the ‘Globoil India 2025’ in Mumbai, he said palm oil’s unique structure, rich vitamin E profile and versatility make it a vital component in addressing global food and nutrition needs.
India’s National Mission on Edible Oils-Oilseeds and Oil Palm (NMEO) is a case in point, advancing the nation’s goals of farmer welfare, self-reliance and sustainability and making palm oil relevant not just nutritionally but also economically, he said. The Hindu Businessline
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Malaysia asks U.S. for zero tariff rate on furniture, automotive and aerospace parts
By Reuters
KUALA LUMPUR, Sept 26 (Reuters) - Malaysia has asked the United States to consider imposing zero tariff rates on its exports of furniture, automotive and aerospace products, a Malaysian trade ministry official said on Friday.
Washington has also agreed to consider granting tariff exemptions to Malaysia for commodities not produced in the United States, including cocoa and palm oil, with a decision expected to be finalised next month, the official told Reuters, clarifying an earlier report by state news agency Bernama.
U.S. President Donald Trump on Thursday announced, opens new tab a new round of tariffs on imported goods, including a 50% tariff on imported kitchen cabinets and bathroom vanities and a 30% tariff on upholstered furniture.
Malaysia and the United States are seeking to complete an agreement on tariffs after Washington imposed a 19% levy on Malaysian imports in August.
Malaysia Prime Minister Anwar Ibrahim said in a Facebook post on Thursday that the countries were targeting a deal before a planned October visit by Trump to Kuala Lumpur for a summit of the Association of Southeast Asian Nations.
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India's edible oil imports to jump to record on higher palm buying, analyst says
By Rajendra Jadhav / Reuters
MUMBAI (Sept 26): India's edible oil imports in 2025/26 are projected to rise 4.6% to a record 17.1 million metric tonnes, driven by higher palm oil purchases by the world's largest vegetable oil buyer, industry analyst Dorab Mistry said on Friday.
Higher palm oil purchases by India will help top producer Indonesia and Malaysia to bring down stocks and support benchmark Malaysian palm oil futures.
Palm oil imports are likely to jump 13.4% to 9.3 million tonnes while soyoil imports are likely to dip to five million tonnes in the new marketing year from Nov 1, Mistry told delegates at an industry conference Globoil India.
Sunflower oil imports in the new season are likely to fall to 2.7 million tonnes from three million tonnes this year, Mistry said.
India buys palm oil mainly from Indonesia and Malaysia while importing soyoil and sunflower oil from Argentina, Brazil, Russia and Ukraine.
Global palm oil production growth is slowing, with output in 2025/26 projected to rise by only one million tonnes even as demand for food and biofuels climbs, Mistry said.
Malaysian palm oil futures are expected to rise once the peak production period ends in October and could surpass RM5,000 ringgit a tonne in November–December, he said.
Prices could extend the rally further, reaching a more than three-year high of RM5,500 a tonne in January-March 2026 on supplies tightened by increased biodiesel consumption in top producer Indonesia.
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New White Paper Charts India’s Path to Palm Oil Self-Sufficiency by 2047
Mumbai: Solidaridad Asia, in collaboration with The Solvent Extractors’ Association of India (SEA) and the Asian Palm Oil Alliance (APOA), released a research-backed white paper titled Path to Palm Oil Self-Sufficiency in India. The white paper provides a comprehensive strategy to reduce India’s heavy reliance on palm oil imports, boost domestic production, and achieve up to 50% self-sufficiency by 2047, potentially saving trillions of dollars in import costs while enhancing farmer income and environmental sustainability.
https://www.deccanchronicle.com/nation/in-other-news/new-white-paper-charts-indias-path-to-palm-oil-self-sufficiency-by-2047-1906485
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Shifting 16.08 mn hectares paddy land to oil palm can lower India's imports
Edible oil demand-supply gap may widen to 40 mn tonnes by 2047, warns paper
India should consider repurposing around 16.08 million hectares of marginal paddy-growing land and use it for cultivating oil palm to reduce dependence on imports, said a white paper released on Friday.
A “focussed strategy” should improve oil palm yields from 2.4 tonnes per hectare to 4-5 tonnes, said the paper titled ‘Path to Palm Oil Self-Sufficiency in India’. It recommended how India can reduce its reliance on palm oil imports, boost domestic production, and achieve up to 50 per cent self-sufficiency by 2047.
Solidaridad Asia, a civil society organisation, prepared the paper in collaboration with The Solvent Extractors’ Association of India and Asian Palm Oil Alliance, two prominent industry groups.
The white paper said the government should create an enabling ecosystem to support oil palm cultivation through strategic investments in rural roads, fresh fruit bunch collection systems, and processing facilities, particularly in the northeastern states where infrastructure gaps remain a major constraint.
It added that the private sector, which plays a pivotal role in the oil palm industry by owning 69 of the country’s 82 seed nurseries and operating 26 of the 32 processing mills, should be strengthened further. Business Standard
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Palm oil can be part of a balanced, heart-healthy diet, says US varsity professor
Clemson University professor James Brooks says the oil’s unique structure, rich vitamin E profile and versatility make it a vital component in addressing global food and nutrition needs
By BL Mangaluru Bureau
Palm oil is often misunderstood, but science shows it can be part of a balanced, heart-healthy diet, according to James Brooks, a Clemson University professor and nutrition expert.
In his talk titled ‘Malaysian Palm Oil in Today’s Market: Functional Nutrition, Flavour and the Future of Oils and Fats Technologies’ at the ‘Globoil India 2025’ in Mumbai, he said palm oil’s unique structure, rich vitamin E profile and versatility make it a vital component in addressing global food and nutrition needs.
India’s National Mission on Edible Oils-Oilseeds and Oil Palm (NMEO) is a case in point, advancing the nation’s goals of farmer welfare, self-reliance and sustainability and making palm oil relevant not just nutritionally but also economically, he said. The Hindu Businessline
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September 26, 2025
US to weigh zero tariff rates for palm oil, auto and aerospace parts
Chief negotiator Mastura Ahmad Mustafa says the US has indicated openness over several goods that cannot be produced domestically.
PETALING JAYA: The US has agreed to consider granting zero tariff rates on several commodity products proposed by Malaysia, including palm oil and cocoa, which are expected to be finalised next month.
Malaysia’s chief negotiator for official tariff negotiations, Mastura Ahmad Mustafa, said Putrajaya has also requested zero tariffs for furniture, as well as automotive and aerospace parts and components.
Mastura, the deputy secretary-general of the investment, trade and industry ministry, said the US side had conveyed the matter in several prior negotiation sessions.
“We are in the process of detailing the agreement on reciprocal tariffs. Starting yesterday, we have arranged several virtual sessions with the US to finalise the agreement,” she said.
However, she explained that the exemptions under discussion would only apply to goods not produced in the US, but would not extend to strategic sectors such as semiconductors and pharmaceuticals, which remain subject to Section 232 of the US Trade Expansion Act of 1962.
The law allows Washington to impose additional tariffs on grounds of national security.
Yesterday, US trade representative Jamieson Greer said the US is negotiating deals and establishing a stable economic relationship with Asean.
He said the US has not ruled out imposing another round of tariffs on Asean member nations if ongoing trade negotiations fail to deliver outcomes favourable to Washington. FMT
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Malaysia pledges steady supply of sustainable palm oil to India
KUALA LUMPUR: Malaysia has reaffirmed its commitment to be a consistent and reliable supplier of sustainable palm oil to India.
Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani highlighted that palm oil remains India's most consumed edible oil, representing 34.2 per cent or 9.7 million tonnes of the country's total edible oil consumption of 28.3 million tonnes.
"Malaysia continues to be a significant trading partner for India, having exported 3.4 million tonnes of palm oil and palm-based products to the country last year, valued at nearly RM15 billion (US$3.4 billion)," he said at the Globoil India 2025 Conference in Mumbai.
Johari also highlighted palm oil's strengths as an effective, competitive and nutrition-rich edible oil that plays a vital role in food products.
He stressed that Malaysia's palm oil is produced through a certification system that is sustainable, transparent and certified via the Malaysian Sustainable Palm Oil (MSPO) certification.
MSPO has also been recognised by the European Union as a credible sustainability framework. NST
US to weigh zero tariff rates for palm oil, auto and aerospace parts
Chief negotiator Mastura Ahmad Mustafa says the US has indicated openness over several goods that cannot be produced domestically.
PETALING JAYA: The US has agreed to consider granting zero tariff rates on several commodity products proposed by Malaysia, including palm oil and cocoa, which are expected to be finalised next month.
Malaysia’s chief negotiator for official tariff negotiations, Mastura Ahmad Mustafa, said Putrajaya has also requested zero tariffs for furniture, as well as automotive and aerospace parts and components.
Mastura, the deputy secretary-general of the investment, trade and industry ministry, said the US side had conveyed the matter in several prior negotiation sessions.
“We are in the process of detailing the agreement on reciprocal tariffs. Starting yesterday, we have arranged several virtual sessions with the US to finalise the agreement,” she said.
However, she explained that the exemptions under discussion would only apply to goods not produced in the US, but would not extend to strategic sectors such as semiconductors and pharmaceuticals, which remain subject to Section 232 of the US Trade Expansion Act of 1962.
The law allows Washington to impose additional tariffs on grounds of national security.
Yesterday, US trade representative Jamieson Greer said the US is negotiating deals and establishing a stable economic relationship with Asean.
He said the US has not ruled out imposing another round of tariffs on Asean member nations if ongoing trade negotiations fail to deliver outcomes favourable to Washington. FMT
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Malaysia pledges steady supply of sustainable palm oil to India
KUALA LUMPUR: Malaysia has reaffirmed its commitment to be a consistent and reliable supplier of sustainable palm oil to India.
Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani highlighted that palm oil remains India's most consumed edible oil, representing 34.2 per cent or 9.7 million tonnes of the country's total edible oil consumption of 28.3 million tonnes.
"Malaysia continues to be a significant trading partner for India, having exported 3.4 million tonnes of palm oil and palm-based products to the country last year, valued at nearly RM15 billion (US$3.4 billion)," he said at the Globoil India 2025 Conference in Mumbai.
Johari also highlighted palm oil's strengths as an effective, competitive and nutrition-rich edible oil that plays a vital role in food products.
He stressed that Malaysia's palm oil is produced through a certification system that is sustainable, transparent and certified via the Malaysian Sustainable Palm Oil (MSPO) certification.
MSPO has also been recognised by the European Union as a credible sustainability framework. NST
September 25, 2025
Indonesia's palm oil exports to EU to climb on trade pact delay of EUDR
By Rajendra Jadhav
MUMBAI, Sept 24 (Reuters) - Indonesia's palm oil exports to the European Union are projected to increase in 2026, supported by a bilateral trade pact and the EU postponing its anti-deforestation law for a second time, the head of an industry body told Reuters on Wednesday.
The EU will delay the anti-deforestation law to next year, Environment Commissioner Jessika Roswall said on Tuesday.
"This delay is good because it gives the government time to prepare, especially for the smallholders," said Eddy Martono, Chairman of the Indonesian Palm Oil Association (GAPKI).
The law was due to take effect on December 30, and would have required operators selling goods including soy, beef and palm oil into EU markets to provide proof their products did not cause deforestation.
Indonesia's palm oil exports to the EU could rise to about 4 million metric tons in 2026, up from an estimated 3.3 million tons this year, Martono said.
The Southeast Asian country and the EU concluded a free trade agreement on Tuesday after nine years of talks, with both aiming to boost exports and investment.
Jakarta's palm oil exports to India are expected to rise to 5 million tons in 2025 from 4.8 million tons last year, though shipments in 2026 will depend on palm oil prices and those of competing edible oils, Martono said. Reuters
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MPOC welcomes EUDR delay for EU to fix flaws including country classifications
By Reuters
KUALA LUMPUR, Sept 25 (Reuters) - Malaysia's state palm oil agency said on Thursday that it welcomed the European Union's proposal to delay the launch of its anti-deforestation law for a second time.
The decision will allow time for the EU to address concerns about the implementation of the regulation, as well as its significant operational and structural flaws, the Malaysian Palm Oil Council said in a statement.
The EU deforestation regulation, known as EUDR, will ban the imports of commodities including soy, beef, cocoa and palm oil that are linked to forest destruction.
The MPOC questioned the viability of the regulation after heavy investment by companies seeking to comply with the law and broader industry efforts to improve sustainability.
"Despite these efforts, the current EUDR framework contains numerous operational deficiencies, which fail to reward responsible leadership in sustainable practices," it said.
The EU had already delayed the law by a year, amid opposition from industry and trade partners like Brazil, Indonesia and the United States, who complained about the cost of compliance.
Malaysia, one of the world's largest producers of palm oil, has previously raised objections about the burden of complying with the law as well as its classification by the EU as a "standard risk" country.
Under the EU regulations, 3% of all shipments from "standard risk" countries need to be inspected by the authorities, while "low risk" countries face less stringent due diligence rules. Reuters
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EUDR delay offers relief for palm oil exporters
KUALA LUMPUR: The postponement of the European Union Deforestation Regulation (EUDR) for the second time offers temporary relief for palm oil exporters as it eases immediate regulatory risks and cost burdens.
CIMB Securities said the development is slightly positive for palm oil producers and should ease concerns of weaker palm oil demand in the first quarter of 2026 as a result of EUDR implementation.
"However, it also extends regulatory uncertainty surrounding EUDR and leaves room for further negotiations or potential policy adjustments before the new deadline," it said in a note.
Environmental groups have criticised the delay, warning that each postponement increases political pressure and reputational risks for the EU's climate agenda.
The EU has proposed postponing its anti-deforestation law by another year to end-2026, citing IT system capacity issues and supply chain concerns.
The regulation was originally scheduled to take effect on Dec 30. NST
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Brussels accused of sacrificing forests in crusade to save EU industry
Two laws to protect forests hit major setbacks this week as the EU continues its turn away from environmentalism.
Europe's trees are having a nightmare 2025.
As the European Union reels from its worst wildfire season on record, two different EU laws aimed at protecting forests this week fell victim to the anti-red tape wave sweeping Brussels.
On Tuesday, Environment Commissioner Jessika Roswall announced that the European Commission planned to delay the implementation of its flagship anti-deforestation law.
Then, just hours later, lawmakers voted to reject a separate law designed to monitor forests' health and resilience to climate change.
“Between Forest Monitoring and the one-year delay of the [EU Deforestation Regulation], this is a dark day for European forests,” said Socialists and Democrats Member of the European Parliament Eric Sargiacomo.
Forest ecosystems are home to over half of the world’s terrestrial species and, as natural absorbers of carbon dioxide, they play a crucial role in combating climate change. Protecting them has therefore been a central pillar of the EU's environmental policy. But as the EU's priorities shift toward industrial competitiveness and defense, support for forest protections has waned.
Announcing the proposed delay of the anti-deforestation rules, Roswall cited issues with the IT system handling businesses' due diligence statements as the rationale. But the move falls in step with a long-standing demand from the center-right European People’s Party, the bloc's biggest political group and one of the loudest agitators for slashing EU regulations.
The law — which requires companies to police their supply chains to make sure any commodities they use, such as palm oil, beef or coffee, have not contributed to deforestation — was adopted in 2023 and already delayed by a year in 2024 following calls by businesses saying they needed more time to comply.
This week's announcement is seen as the latest in a long string of actions by the Commission since late last year to weaken or delay environmental rules passed under the European Green Deal, part of a grand push to boost the global competitiveness of European industry.
In a second blow to Europe's trees, later that Tuesday MEPs voted against proposed EU forest monitoring rules, following motions to reject the law presented by the center-right EPP, the right-wing European Conservatives and Reformists and the far-right Patriots for Europe group.
It spells a complicated way forward for the law, which sets out rules for collecting data on the health of Europe's forests, with the goal of improving management and protecting them from climate change.
"Without the detailed, specific evidence on Europe’s forests this law would provide, it will be immeasurably harder to support forest owners to adapt to the climate crisis and secure a sustainable wood supply for industry," said Kelsey Perlman, a campaigner at the forest NGO Fern.
"Poorer information will inevitably lead to unhealthier forests," she added.
EPP claims victory
Both developments are being claimed as wins by the EPP, which sees the laws as antithetical to the EU's ongoing simplification drive.
The EPP has "protected foresters from unnecessary paperwork by rejecting the Monitoring Framework for Resilient European Forests," the group said in a press statement, having voted with right-wing and far-right groups to reject the law. That rejection still has to go to a plenary vote, but the outcome is likely to be the same. Politico
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APOA, CPOPC and Solidaridad sign MoU to boost sustainable palm oil collaboration in South Asia
The agreement establishes a formal platform to harmonise approaches, address market volatility and enhance smallholder inclusion
The Asian Palm Oil Alliance (APOA), the Council of Palm Oil Producing Countries (CPOPC) and Solidaridad Network Asia Limited (SNAL) have signed a tripartite Memorandum of Understanding (MoU) in Mumbai to strengthen collaboration between producers and consumers and accelerate sustainability in the palm oil value chain, with a special focus on India and South Asia.
CPOPC will act as a catalyst and advocate for sustainable palm oil, while the partners pursue alignment among national frameworks including Indonesia Sustainable Palm Oil (ISPO), Malaysian Sustainable Palm Oil (MSPO) and the Indian Palm Oil Sustainability (IPOS) framework. The MoU also places emphasis on regenerative practices.
To ensure stability of supply for over 1.5 billion consumers in South Asia, the parties will promote traceable, smallholder-inclusive and NDPE-compliant sourcing, supported by pilots using Solidaridad’s SoliTrace digital traceability tool and complementary remote-sensing technologies. These pilots will provide mill-to-market visibility and importer-facing dashboards tailored to Indian buyers. The Hindu
Indonesia's palm oil exports to EU to climb on trade pact delay of EUDR
By Rajendra Jadhav
MUMBAI, Sept 24 (Reuters) - Indonesia's palm oil exports to the European Union are projected to increase in 2026, supported by a bilateral trade pact and the EU postponing its anti-deforestation law for a second time, the head of an industry body told Reuters on Wednesday.
The EU will delay the anti-deforestation law to next year, Environment Commissioner Jessika Roswall said on Tuesday.
"This delay is good because it gives the government time to prepare, especially for the smallholders," said Eddy Martono, Chairman of the Indonesian Palm Oil Association (GAPKI).
The law was due to take effect on December 30, and would have required operators selling goods including soy, beef and palm oil into EU markets to provide proof their products did not cause deforestation.
Indonesia's palm oil exports to the EU could rise to about 4 million metric tons in 2026, up from an estimated 3.3 million tons this year, Martono said.
The Southeast Asian country and the EU concluded a free trade agreement on Tuesday after nine years of talks, with both aiming to boost exports and investment.
Jakarta's palm oil exports to India are expected to rise to 5 million tons in 2025 from 4.8 million tons last year, though shipments in 2026 will depend on palm oil prices and those of competing edible oils, Martono said. Reuters
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MPOC welcomes EUDR delay for EU to fix flaws including country classifications
By Reuters
KUALA LUMPUR, Sept 25 (Reuters) - Malaysia's state palm oil agency said on Thursday that it welcomed the European Union's proposal to delay the launch of its anti-deforestation law for a second time.
The decision will allow time for the EU to address concerns about the implementation of the regulation, as well as its significant operational and structural flaws, the Malaysian Palm Oil Council said in a statement.
The EU deforestation regulation, known as EUDR, will ban the imports of commodities including soy, beef, cocoa and palm oil that are linked to forest destruction.
The MPOC questioned the viability of the regulation after heavy investment by companies seeking to comply with the law and broader industry efforts to improve sustainability.
"Despite these efforts, the current EUDR framework contains numerous operational deficiencies, which fail to reward responsible leadership in sustainable practices," it said.
The EU had already delayed the law by a year, amid opposition from industry and trade partners like Brazil, Indonesia and the United States, who complained about the cost of compliance.
Malaysia, one of the world's largest producers of palm oil, has previously raised objections about the burden of complying with the law as well as its classification by the EU as a "standard risk" country.
Under the EU regulations, 3% of all shipments from "standard risk" countries need to be inspected by the authorities, while "low risk" countries face less stringent due diligence rules. Reuters
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EUDR delay offers relief for palm oil exporters
KUALA LUMPUR: The postponement of the European Union Deforestation Regulation (EUDR) for the second time offers temporary relief for palm oil exporters as it eases immediate regulatory risks and cost burdens.
CIMB Securities said the development is slightly positive for palm oil producers and should ease concerns of weaker palm oil demand in the first quarter of 2026 as a result of EUDR implementation.
"However, it also extends regulatory uncertainty surrounding EUDR and leaves room for further negotiations or potential policy adjustments before the new deadline," it said in a note.
Environmental groups have criticised the delay, warning that each postponement increases political pressure and reputational risks for the EU's climate agenda.
The EU has proposed postponing its anti-deforestation law by another year to end-2026, citing IT system capacity issues and supply chain concerns.
The regulation was originally scheduled to take effect on Dec 30. NST
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Brussels accused of sacrificing forests in crusade to save EU industry
Two laws to protect forests hit major setbacks this week as the EU continues its turn away from environmentalism.
Europe's trees are having a nightmare 2025.
As the European Union reels from its worst wildfire season on record, two different EU laws aimed at protecting forests this week fell victim to the anti-red tape wave sweeping Brussels.
On Tuesday, Environment Commissioner Jessika Roswall announced that the European Commission planned to delay the implementation of its flagship anti-deforestation law.
Then, just hours later, lawmakers voted to reject a separate law designed to monitor forests' health and resilience to climate change.
“Between Forest Monitoring and the one-year delay of the [EU Deforestation Regulation], this is a dark day for European forests,” said Socialists and Democrats Member of the European Parliament Eric Sargiacomo.
Forest ecosystems are home to over half of the world’s terrestrial species and, as natural absorbers of carbon dioxide, they play a crucial role in combating climate change. Protecting them has therefore been a central pillar of the EU's environmental policy. But as the EU's priorities shift toward industrial competitiveness and defense, support for forest protections has waned.
Announcing the proposed delay of the anti-deforestation rules, Roswall cited issues with the IT system handling businesses' due diligence statements as the rationale. But the move falls in step with a long-standing demand from the center-right European People’s Party, the bloc's biggest political group and one of the loudest agitators for slashing EU regulations.
The law — which requires companies to police their supply chains to make sure any commodities they use, such as palm oil, beef or coffee, have not contributed to deforestation — was adopted in 2023 and already delayed by a year in 2024 following calls by businesses saying they needed more time to comply.
This week's announcement is seen as the latest in a long string of actions by the Commission since late last year to weaken or delay environmental rules passed under the European Green Deal, part of a grand push to boost the global competitiveness of European industry.
In a second blow to Europe's trees, later that Tuesday MEPs voted against proposed EU forest monitoring rules, following motions to reject the law presented by the center-right EPP, the right-wing European Conservatives and Reformists and the far-right Patriots for Europe group.
It spells a complicated way forward for the law, which sets out rules for collecting data on the health of Europe's forests, with the goal of improving management and protecting them from climate change.
"Without the detailed, specific evidence on Europe’s forests this law would provide, it will be immeasurably harder to support forest owners to adapt to the climate crisis and secure a sustainable wood supply for industry," said Kelsey Perlman, a campaigner at the forest NGO Fern.
"Poorer information will inevitably lead to unhealthier forests," she added.
EPP claims victory
Both developments are being claimed as wins by the EPP, which sees the laws as antithetical to the EU's ongoing simplification drive.
The EPP has "protected foresters from unnecessary paperwork by rejecting the Monitoring Framework for Resilient European Forests," the group said in a press statement, having voted with right-wing and far-right groups to reject the law. That rejection still has to go to a plenary vote, but the outcome is likely to be the same. Politico
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APOA, CPOPC and Solidaridad sign MoU to boost sustainable palm oil collaboration in South Asia
The agreement establishes a formal platform to harmonise approaches, address market volatility and enhance smallholder inclusion
The Asian Palm Oil Alliance (APOA), the Council of Palm Oil Producing Countries (CPOPC) and Solidaridad Network Asia Limited (SNAL) have signed a tripartite Memorandum of Understanding (MoU) in Mumbai to strengthen collaboration between producers and consumers and accelerate sustainability in the palm oil value chain, with a special focus on India and South Asia.
CPOPC will act as a catalyst and advocate for sustainable palm oil, while the partners pursue alignment among national frameworks including Indonesia Sustainable Palm Oil (ISPO), Malaysian Sustainable Palm Oil (MSPO) and the Indian Palm Oil Sustainability (IPOS) framework. The MoU also places emphasis on regenerative practices.
To ensure stability of supply for over 1.5 billion consumers in South Asia, the parties will promote traceable, smallholder-inclusive and NDPE-compliant sourcing, supported by pilots using Solidaridad’s SoliTrace digital traceability tool and complementary remote-sensing technologies. These pilots will provide mill-to-market visibility and importer-facing dashboards tailored to Indian buyers. The Hindu
September 24, 2025
EU to delay anti-deforestation law by another year
By Kate Abnett and Makini Brice
BRUSSELS, Sept 23 (Reuters) - The European Union will delay launching its anti-deforestation law for a second time, Environment Commissioner Jessika Roswall said on Tuesday, postponing the ban on imports of commodities such as palm oil linked to forest destruction for another year.
Brussels had already delayed the law by a year, but that had not quelled opposition from industry and trade partners such as Brazil, Indonesia and the United States, who say complying with the rules would be costly and hurt their exports to Europe.
Roswall told reporters the postponement was necessary to address concerns about the readiness of information-technology systems needed to support the law. The delay was not linked to U.S. concerns about the policy, she said.
"We have concern regarding the IT system, given the amount of information that we put into the system...That will...also give us time to look at the different risks," she said.
COMMODITIES LINKED TO FOREST DESTRUCTION
The EU deforestation law was due to take effect on December 30, and would have required operators selling goods including soy, beef and palm oil into EU markets to provide proof their products did not cause deforestation.
The world-first policy aims to end the 10% of global deforestation fuelled by EU consumption of imported goods, but is a politically contested part of Europe's green agenda.
As part of its trade deal with President Donald Trump, the EU committed to work to address U.S. producers' concerns over the regulation. The U.S. paper and pulp industry has previously demanded American products be exempted from the rules.
EU countries, including Poland and Austria, have said European producers cannot comply with its traceability rules.
In a letter to the chair of the European Parliament's environment committee, seen by Reuters, Roswall said the Commission feared the IT system risked "slowing down to unacceptable levels" which could disrupt trade.
Environmental campaigners criticised the EU decision.
"Every day this law is delayed equates to more forests razed, more wildfires and more extreme weather," said Nicole Polsterer, a campaigner at environmental group Fern. Reuters
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Europe, Indonesia seal sweeping trade pact for nearly all goods
The Commission estimates the deal will save EU exporters €600 million annually in levies on cars, machinery, chemicals, and pharmaceuticals
Sofia Sanchez Manzanaro
The EU and Indonesia sealed a long-awaited trade agreement on Tuesday that will remove tariffs on nearly all European exports to Southeast Asia’s largest economy and strengthen the bloc’s access to critical raw materials.
The deal scraps import duties on 98.5% of tariff lines and simplifies procedures for goods sent to Indonesia, which the Commission estimates would save EU exporters €600 million annually in levies on cars, machinery, chemicals, and pharmaceuticals.
The Comprehensive Economic Partnership Agreement (CEPA) also offers protections to 221 EU food products such as Roquefort cheese and Lübecker Marzipan.
Trade Commissioner Maroš Šefčovič joined Indonesian officials to announce the deal in Denpasar, Bali’s capital city, after nine years of negotiations.
Indonesia, the world’s fourth most populous nation, is a key supplier of raw materials needed for Europe’s clean-tech and steel industries. The agreement also eliminates tariffs on agri-food exports, including dairy, meat, fruit, vegetables, and processed foods.
“We have made a commitment to double down on diversification and partnerships, to further support EU jobs and boost growth,” Commission President Ursula von der Leyen said. The pact “creates new opportunities for businesses and farmers in a major and growing economy.”
Under the deal, Indonesia will be able to export a certain amount of palm oil, long criticised as a driver of deforestation, tariff-free to Europe. However, it includes legally binding sustainability provisions enforceable through dispute settlement.
US President Donald Trump’s recent tariff measures on both Europe and Indonesia prompted an acceleration in negotiations. Brussels has been moving quickly to broaden its trade relationships amid geopolitical upheaval and Washington’s protectionist turn. This agreement comes on the heels of the EU launching the ratification of trade deals with Mercosur and Mexico.
It must still garner approval from the Council and the European Parliament. Indonesia has said it hopes the process will be fast-tracked. Euractiv
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Indonesia: Palm oil sellers fear new barriers after EU deal
Fika Ramadhani
The European Union and Indonesia opened "an exciting new chapter" in trade this week, with the Indonesia-EU Comprehensive Economic Partnership Agreement (IEU-CEPA) being signed in Bali following years of diplomatic wrangling.
Palm oil exports have proven to be the most contentious issue during the talks. EU officials point out that producing palm oil is a major driver of deforestation and pollution. The trade dispute spilled into the arena of diplomacy and chilled ties between Jakarta and Brussels.
Recent global trade uncertainty, combined with US tariffs on countries in Europe and Asia, seem to have finally pushed the talks across the finish line. Brussels and Jakarta now hope to see the accord go into effect by 2027, allowing around 80% of Indonesia's exports to enter the EU tariff-free.
Although the new IEU-CEPA framework allows the European Union to buy Indonesia's palm oil at zero tariffs, this deal alone is not enough to guarantee smooth exports to Europe.
What's next after Indonesia's zero-tariffs deal with EU?
Starting in December, the European Union will demand palm oil imports to comply with the bloc's Deforestation Regulation (EUDR), a new legal framework aimed at fighting deforestation worldwide.
Exporters, including those in Indonesia, will be required to carry out due diligence and provide documentation proving that their palm oil did not come from recently deforested areas.
Though major companies may be able to deliver the necessary export certificates, smallholders — who control over 42% of Indonesia's palm oil plantations — are likely to struggle, risking exclusion from supply chains. Without proper support, this imbalance could leave independent farmers marginalized and likely weakened in any land conflicts with big corporations.
Small palm farmers likely to bear the brunt
Eddy Martono, chairman of the Indonesian Palm Oil Association (GAPKI), praised the IEU-CEPA deal as a vital gateway to global markets, but told DW that there would be further obstacles related to the EUDR.
"For large companies, especially GAPKI members, EUDR is not a major problem. The real challenge lies with smallholders, as the government has yet to provide clear rules regarding their land cultivation," Eddy said.
Eddy also called for a national traceability system in Indonesia, which would also be recognized by the EU, as a tool to minimize export rejection.
"When tariff barriers are gone but nontariff rules like EUDR are unmet, the zero-tariff facility becomes meaningless," he said.
Global markets 'wide open' with IEU-CEPA
Bhima Yudhistira, executive director of the Center of Economic and Law Studies (CELIOS), also warned that the EUDR could emerge as a significant barrier.
"What companies see as additional costs, European consumers view as necessities," Bhima told DW Indonesia. DW
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GAPKI welcomes the IEU-CEPA trade deal but warns zero tariffs meaningless under EUDR
JAKARTA — Good news has arrived from the negotiating table. The Indonesian government and the European Union have finally concluded discussions on the Indonesia–European Union Comprehensive Economic Partnership Agreement (IEU–CEPA).
The agreement, which will be announced on September 23, 2025, is expected to be a "golden ticket" for crude palm oil ( CPO ) and its derivatives to penetrate the European market with zero percent tariffs.
However, don't be too quick to relax. Even if tariff barriers are removed, palm oil exports still have to overcome a "high barrier" in the form of the European Union Deforestation Regulation ( EUDR).
"The IEU-CEPA is good news, but if the EUDR cannot be fulfilled, then zero tariffs are useless. Our exports will still be hampered," asserted Eddy Martono, Chairman of GAPKI.
Eddy emphasized that the key to Indonesia's successful palm oil exports lies not only in eliminating tariffs, but also in complying with non-tariff regulations. Currently, the government and business players are reportedly finalizing strategies to ensure that the EUDR implementation does not burden the palm oil industry, particularly smallholder farmers.
On the other hand, the Ministry of Trade clarified that the September 23, 2025, agenda was not a full signing, but rather a joint statement marking the end of discussions on the substance of the agreement.
"There's still a long process ahead, from legal scrubbing to translating the agreement into the various official languages of the European Union," explained Ni Made Kusuma Dewi, Head of the Public Relations Bureau at the Ministry of Trade.
Meanwhile, Coordinating Minister for Economic Affairs Airlangga Hartarto emphasized that once the IEU-CEPA officially comes into effect, approximately 80% of Indonesian products will enter the European Union market tariff-free. The same applies to European products entering Indonesia.
"This is a huge opportunity. Once signed, 80% of our products to Europe will have zero tariffs, and vice versa," Airlangga said at the Kumparan Green Initiative Conference 2025 in Jakarta. GAPKI
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Malaysia sets benchmark with FGV’s certified digital weighbridge system to secure palm oil trade
KUALA LUMPUR, Sept 24 — Every truckload of palm oil fresh fruit bunches begins its journey at the weighbridge. For decades, this stage has been prone to disputes, errors and even manipulation.
Now, Malaysia is leading the way with a fully certified digital weighbridge system developed by FGV Prodata Systems, the IT subsidiary of FGV Holdings Berhad, designed to ensure every kilogram is measured precisely and transparently.
Known as ProWeigher, the system has been deployed across FGV’s 66 mills nationwide and has achieved full certification under Malaysia’s Akta Timbang dan Sukat 1972 (Weights and Measures Act 1972).
Developed in partnership with the National Metrology Institute of Malaysia (NMIM) and SIRIM, it is recognised as legal-for-trade, meaning its data carries legal weight in commercial transactions.
Each reading is digitally encrypted, generating a secure checksum stored in a legally relevant database.
This means fruit bunches and palm kernel deliveries cannot be under-reported or manipulated once weighed — a major shift in an industry where trust at the weighbridge has often been contested.
The weighbridge is also directly integrated into the FGV Traceability of Product (FGVTOP) platform, which tracks palm oil from plantation polygons through to export consignments.
By anchoring compliance at the very first point of entry, the weighbridge ensures that the data flowing through the entire chain of custody is accurate and tamper-proof.
This is especially significant for Europe, where the EU Deforestation Regulation (EUDR) will soon require all palm oil to be proven deforestation-free and legally sourced.
“Europe wants to see that the system is credible and certified. That’s why we worked with NMIM and SIRIM to make sure our weighbridge meets international standards.
“Our Group CEO often reminds us that FGV must always move with speed and resilience. Speed, to ensure we comply quickly with every project related to global regulations, and resilience, because this industry demands a strong framework to withstand challenges. Those aspirations guide us at Prodata in everything we build,” said Muhammad Yazid. Malay Mail
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EU to delay anti-deforestation law by another year
By Kate Abnett and Makini Brice
- EU delays law again, citing IT system concerns
- U.S. and other major trade partners have opposed the law
- Law aims to curb global deforestation linked to EU consumption
- Environmental campaigners criticise delay
BRUSSELS, Sept 23 (Reuters) - The European Union will delay launching its anti-deforestation law for a second time, Environment Commissioner Jessika Roswall said on Tuesday, postponing the ban on imports of commodities such as palm oil linked to forest destruction for another year.
Brussels had already delayed the law by a year, but that had not quelled opposition from industry and trade partners such as Brazil, Indonesia and the United States, who say complying with the rules would be costly and hurt their exports to Europe.
Roswall told reporters the postponement was necessary to address concerns about the readiness of information-technology systems needed to support the law. The delay was not linked to U.S. concerns about the policy, she said.
"We have concern regarding the IT system, given the amount of information that we put into the system...That will...also give us time to look at the different risks," she said.
COMMODITIES LINKED TO FOREST DESTRUCTION
The EU deforestation law was due to take effect on December 30, and would have required operators selling goods including soy, beef and palm oil into EU markets to provide proof their products did not cause deforestation.
The world-first policy aims to end the 10% of global deforestation fuelled by EU consumption of imported goods, but is a politically contested part of Europe's green agenda.
As part of its trade deal with President Donald Trump, the EU committed to work to address U.S. producers' concerns over the regulation. The U.S. paper and pulp industry has previously demanded American products be exempted from the rules.
EU countries, including Poland and Austria, have said European producers cannot comply with its traceability rules.
In a letter to the chair of the European Parliament's environment committee, seen by Reuters, Roswall said the Commission feared the IT system risked "slowing down to unacceptable levels" which could disrupt trade.
Environmental campaigners criticised the EU decision.
"Every day this law is delayed equates to more forests razed, more wildfires and more extreme weather," said Nicole Polsterer, a campaigner at environmental group Fern. Reuters
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Europe, Indonesia seal sweeping trade pact for nearly all goods
The Commission estimates the deal will save EU exporters €600 million annually in levies on cars, machinery, chemicals, and pharmaceuticals
Sofia Sanchez Manzanaro
The EU and Indonesia sealed a long-awaited trade agreement on Tuesday that will remove tariffs on nearly all European exports to Southeast Asia’s largest economy and strengthen the bloc’s access to critical raw materials.
The deal scraps import duties on 98.5% of tariff lines and simplifies procedures for goods sent to Indonesia, which the Commission estimates would save EU exporters €600 million annually in levies on cars, machinery, chemicals, and pharmaceuticals.
The Comprehensive Economic Partnership Agreement (CEPA) also offers protections to 221 EU food products such as Roquefort cheese and Lübecker Marzipan.
Trade Commissioner Maroš Šefčovič joined Indonesian officials to announce the deal in Denpasar, Bali’s capital city, after nine years of negotiations.
Indonesia, the world’s fourth most populous nation, is a key supplier of raw materials needed for Europe’s clean-tech and steel industries. The agreement also eliminates tariffs on agri-food exports, including dairy, meat, fruit, vegetables, and processed foods.
“We have made a commitment to double down on diversification and partnerships, to further support EU jobs and boost growth,” Commission President Ursula von der Leyen said. The pact “creates new opportunities for businesses and farmers in a major and growing economy.”
Under the deal, Indonesia will be able to export a certain amount of palm oil, long criticised as a driver of deforestation, tariff-free to Europe. However, it includes legally binding sustainability provisions enforceable through dispute settlement.
US President Donald Trump’s recent tariff measures on both Europe and Indonesia prompted an acceleration in negotiations. Brussels has been moving quickly to broaden its trade relationships amid geopolitical upheaval and Washington’s protectionist turn. This agreement comes on the heels of the EU launching the ratification of trade deals with Mercosur and Mexico.
It must still garner approval from the Council and the European Parliament. Indonesia has said it hopes the process will be fast-tracked. Euractiv
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Indonesia: Palm oil sellers fear new barriers after EU deal
Fika Ramadhani
The European Union and Indonesia opened "an exciting new chapter" in trade this week, with the Indonesia-EU Comprehensive Economic Partnership Agreement (IEU-CEPA) being signed in Bali following years of diplomatic wrangling.
Palm oil exports have proven to be the most contentious issue during the talks. EU officials point out that producing palm oil is a major driver of deforestation and pollution. The trade dispute spilled into the arena of diplomacy and chilled ties between Jakarta and Brussels.
Recent global trade uncertainty, combined with US tariffs on countries in Europe and Asia, seem to have finally pushed the talks across the finish line. Brussels and Jakarta now hope to see the accord go into effect by 2027, allowing around 80% of Indonesia's exports to enter the EU tariff-free.
Although the new IEU-CEPA framework allows the European Union to buy Indonesia's palm oil at zero tariffs, this deal alone is not enough to guarantee smooth exports to Europe.
What's next after Indonesia's zero-tariffs deal with EU?
Starting in December, the European Union will demand palm oil imports to comply with the bloc's Deforestation Regulation (EUDR), a new legal framework aimed at fighting deforestation worldwide.
Exporters, including those in Indonesia, will be required to carry out due diligence and provide documentation proving that their palm oil did not come from recently deforested areas.
Though major companies may be able to deliver the necessary export certificates, smallholders — who control over 42% of Indonesia's palm oil plantations — are likely to struggle, risking exclusion from supply chains. Without proper support, this imbalance could leave independent farmers marginalized and likely weakened in any land conflicts with big corporations.
Small palm farmers likely to bear the brunt
Eddy Martono, chairman of the Indonesian Palm Oil Association (GAPKI), praised the IEU-CEPA deal as a vital gateway to global markets, but told DW that there would be further obstacles related to the EUDR.
"For large companies, especially GAPKI members, EUDR is not a major problem. The real challenge lies with smallholders, as the government has yet to provide clear rules regarding their land cultivation," Eddy said.
Eddy also called for a national traceability system in Indonesia, which would also be recognized by the EU, as a tool to minimize export rejection.
"When tariff barriers are gone but nontariff rules like EUDR are unmet, the zero-tariff facility becomes meaningless," he said.
Global markets 'wide open' with IEU-CEPA
Bhima Yudhistira, executive director of the Center of Economic and Law Studies (CELIOS), also warned that the EUDR could emerge as a significant barrier.
"What companies see as additional costs, European consumers view as necessities," Bhima told DW Indonesia. DW
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GAPKI welcomes the IEU-CEPA trade deal but warns zero tariffs meaningless under EUDR
JAKARTA — Good news has arrived from the negotiating table. The Indonesian government and the European Union have finally concluded discussions on the Indonesia–European Union Comprehensive Economic Partnership Agreement (IEU–CEPA).
The agreement, which will be announced on September 23, 2025, is expected to be a "golden ticket" for crude palm oil ( CPO ) and its derivatives to penetrate the European market with zero percent tariffs.
However, don't be too quick to relax. Even if tariff barriers are removed, palm oil exports still have to overcome a "high barrier" in the form of the European Union Deforestation Regulation ( EUDR).
"The IEU-CEPA is good news, but if the EUDR cannot be fulfilled, then zero tariffs are useless. Our exports will still be hampered," asserted Eddy Martono, Chairman of GAPKI.
Eddy emphasized that the key to Indonesia's successful palm oil exports lies not only in eliminating tariffs, but also in complying with non-tariff regulations. Currently, the government and business players are reportedly finalizing strategies to ensure that the EUDR implementation does not burden the palm oil industry, particularly smallholder farmers.
On the other hand, the Ministry of Trade clarified that the September 23, 2025, agenda was not a full signing, but rather a joint statement marking the end of discussions on the substance of the agreement.
"There's still a long process ahead, from legal scrubbing to translating the agreement into the various official languages of the European Union," explained Ni Made Kusuma Dewi, Head of the Public Relations Bureau at the Ministry of Trade.
Meanwhile, Coordinating Minister for Economic Affairs Airlangga Hartarto emphasized that once the IEU-CEPA officially comes into effect, approximately 80% of Indonesian products will enter the European Union market tariff-free. The same applies to European products entering Indonesia.
"This is a huge opportunity. Once signed, 80% of our products to Europe will have zero tariffs, and vice versa," Airlangga said at the Kumparan Green Initiative Conference 2025 in Jakarta. GAPKI
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Malaysia sets benchmark with FGV’s certified digital weighbridge system to secure palm oil trade
KUALA LUMPUR, Sept 24 — Every truckload of palm oil fresh fruit bunches begins its journey at the weighbridge. For decades, this stage has been prone to disputes, errors and even manipulation.
Now, Malaysia is leading the way with a fully certified digital weighbridge system developed by FGV Prodata Systems, the IT subsidiary of FGV Holdings Berhad, designed to ensure every kilogram is measured precisely and transparently.
Known as ProWeigher, the system has been deployed across FGV’s 66 mills nationwide and has achieved full certification under Malaysia’s Akta Timbang dan Sukat 1972 (Weights and Measures Act 1972).
Developed in partnership with the National Metrology Institute of Malaysia (NMIM) and SIRIM, it is recognised as legal-for-trade, meaning its data carries legal weight in commercial transactions.
Each reading is digitally encrypted, generating a secure checksum stored in a legally relevant database.
This means fruit bunches and palm kernel deliveries cannot be under-reported or manipulated once weighed — a major shift in an industry where trust at the weighbridge has often been contested.
The weighbridge is also directly integrated into the FGV Traceability of Product (FGVTOP) platform, which tracks palm oil from plantation polygons through to export consignments.
By anchoring compliance at the very first point of entry, the weighbridge ensures that the data flowing through the entire chain of custody is accurate and tamper-proof.
This is especially significant for Europe, where the EU Deforestation Regulation (EUDR) will soon require all palm oil to be proven deforestation-free and legally sourced.
“Europe wants to see that the system is credible and certified. That’s why we worked with NMIM and SIRIM to make sure our weighbridge meets international standards.
“Our Group CEO often reminds us that FGV must always move with speed and resilience. Speed, to ensure we comply quickly with every project related to global regulations, and resilience, because this industry demands a strong framework to withstand challenges. Those aspirations guide us at Prodata in everything we build,” said Muhammad Yazid. Malay Mail
---------
September 23, 2025
Indonesia, EU finalise trade deal after nine years of talks
By Sultan Anshori
NUSA DUA, Indonesia, Sept 23 (Reuters) - Indonesia and the European Union on Tuesday finalised their negotiations on a comprehensive economic partnership agreement after nine years of talks, aimed at boosting trade and investment.
The agreement will remove import duties on 98.5% of EU goods exported to Indonesia and simplify procedures for entry for EU products including cars and food products such as milk powder, cheeses, meats, chocolates and bakery items, the EU said.
For the EU, the deal will result in savings of 600 million euros ($707.40 million) of duties averaging 10% a year on EU exports.
Indonesian goods will enjoy zero tariffs in 90% of the EU market upon implementation, the Indonesian economic ministry said, which should boost shipments for palm oil, coffee, textile and clothing and other products.
Indonesia's Coordinating Minister for Economic Affairs Airlangga Hartarto said he is aiming for the pact to enter into force on January 1, 2027.
"As we look ahead for the next stage, the legal scrubbing, translation, ratification, we reaffirm the determination to bring this (agreement) into force at the earliest opportunities," Airlangga said at a signing ceremony in Bali.
Trade between Indonesia and the EU is expected to double in the first five years of implementation, Indonesia said.
In 2024, trade between the two parties was $30.1 billion, according to Indonesia's economic ministry.
"We are looking forward for a supply chain between Indonesia and Europe including for critical minerals, renewable energies, innovation, as well as for investment," Airlangga said.
Indonesia is in talks with European automakers on partnerships in battery and electric vehicle production in the Southeast Asian country, Airlangga told reporters.
EU Trade Commissioner Maros Sefcovic said in Bali the agreement would bolster investment into Indonesia by European companies and help diversify the supply chain, particularly for critical minerals, which Indonesia has in abundance.
In a separate statement, European Commission President Ursula von der Leyen said the agreement would help to provide "a stable and predictable supply of critical minerals, notably nickel and cobalt."
The Chairman of the Indonesian Palm Oil Association (GAPKI) Eddy Martono said the deal would remove tariff barriers to the EU, a major buyer of palm oil.
However, non-tariff barriers, including the EU Deforestation Regulation (EUDR), remain a hurdle for the industry, he said in a text message to Reuters.
Indonesia is the world's biggest palm oil producer and the EUDR requires its growers to provide documentation proving shipments did not come from areas deforested after 2020.
"There is still homework to be done, namely the EUDR which must also be resolved immediately because it will be implemented later this year," he said, which could reduce the effectiveness of the trade agreement. Reuters
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Geopolitics trumps deforestation as Brussels seals Indonesia trade deal
Relations between Brussels and Jakarta have long been overshadowed by rows over palm oil and raw materials
The EU finally closed a trade pact with the world’s fourth most populous nation on Tuesday morning in the luxury tourist escape of Bali – just don’t mention palm oil.
The end to nearly a decade of talks over a Comprehensive Economic Partnership Agreement (CEPA) between the EU and Indonesia, one of the world’s fastest growing economies, comes quick on the heels of US President Donald Trump’s decision to hit both with tariffs.
It’s therefore no surprise that the European Commission’s veteran dealmaker Maroš Šefčovič’s is moving to double down on relations with key Asian allies. Over recent years, the Commission has moved to build on its deals with Singapore and Vietnam by kicking off talks with Thailand and the Philippines, while trying to make progress on a mammoth pact with India.
The hope with the Indonesia deal is that slashing tariffs by as much as 98% will multiply the €27.3 billion in bilateral trade between the two recorded in 2024.
Experts say the deal with Jakarta is generous.
“It is by far the most ambitious FTA (free trade agreement) that the Indonesians have agreed to,” said Hosuk Lee-Makiyama, director of the European Centre for International Political economy (ECIPE) and a former diplomat, adding that concessions go beyond the recent EU-Mercosur agreement.
But fights over EU sustainability rules, palm oil imports and raw materials have defined Brussels-Jakarta relationship as much as tariff cuts. And it remains to be seen whether a signature in Bali is enough to stem concerns over green policies that have dogged talks from the start.
Palm oil wars
Beyond the trade triumph, the deal is still clouded by the elephant in the room – palm oil.
Indonesia is the world’s largest producer of the stuff and a key supplier to the EU of a material used in everything from snacks to toiletries and from animal feed to biofuels. However, exports to Europe also come with a toxic reputation for driving deforestation which has long held up relations.
“The deal reinforces an extractive model which has already caused immense harm to Indonesia’s forests,” said Perrine Fournier, campaigner at FERN, an NGO focusing on forest policy, ahead of the full signing in Bali.
The EU-Indonesia deal includes a zero tariff for palm oil within a limited quota. Fournier regrets that this concession by Brussels will likely “not be linked to sustainability requirements.”
Despite progress in curbing palm-linked deforestation over the last decade, the crop remains a key driver for forest loss, according to international non-profits and organisations tracking deforestation across Indonesia.
The timing of the deal is especially important, as it lands weeks before the EU’s anti-deforestation regulation (EUDR) is set to take effect on 30 December. Indonesia’s most important agricultural commodities – palm oil, coffee, rubber and cocoa – will all be covered, with importers having to prove with geolocation data that these have not contributed to deforestation.
But it remains to be seen if the trade deal will directly address concerns raised by farmers and Indonesian officials regarding a lack of financial and technical means for implementation. Indonesian diplomats told Euractiv that the trade deal would not directly tackle EUDR compliance.
Food for fuel
Legal disputes over energy and raw materials have also fuelled mistrust between Brussels and Jakarta.
The EU’s green regulations have been targeted at imports of palm oil based biofuels from Indonesia – which are significantly cheaper than EU-made alternatives. Since 2019, Brussels has imposed duties of up to 18% to discourage imports – arguing that producers receive state subsidies – and has restricted the use of crop-based fuels from Indonesia under the EU’s renewable energy rules.
Jakarta challenged these actions at the World Trade Organisation (WTO) and won, as it found Brussels’ actions discriminatory.
Lee-Makiyama said Brussels would abide by the decision. “The EU won’t appeal the cases. The WTO was clear on the EU’s tariffs being discriminatory with Indonesian imports.”
It doesn’t stop there either. Indonesia also holds some of the world’s biggest reserves of nickel – a critical raw material to produce batteries, for renewable energies, and defence and space technologies. But it has restricted its export since 2014 to ensure processing happens at home.
The EU has long wrangled with the ban, challenging the measure at the WTO – which ruled that this time Brussels was right. Indonesia has appealed, but because the WTO’s appeals body is currently paralysed after the US blocked the appointment of new judges, the case is stuck in limbo indefinitely.
The EU’s push to secure its access to nickel comes as part of a broader push to “de-risk” the bloc’s supply chains away from China, which maintains a chokehold over the refining and mining of many of the minerals required for the green transition.
Security logic
It’s already clear that the deal is about much more than just trade.
Brussels is seeking to secure alliances with more partners when it comes to security, and allies in the Indo-Pacific region are crucial to counter China’s influence. “Indonesia […] is one of the keystones of Indo-Pacific security,” said Lee-Makiyama. “They don’t want to put all the eggs in one basket – which ultimately comes down to containing China.”
Lizza Bomassi of the EU Institute for Security Studies told Euractiv that the deal can give Indonesia a “viable option” to China. “A visible, active EU presence is key to that,” she said.
There have already been big deals in the defence sector too.
During French President Emmanuel Macron’s visit at the end of May, Jakarta deepened ties with Paris with plans for orders of Rafale fighter jets, submarines, light frigates and Thales radars worth billions of euros. Jakarta is set to receive its first out of 42 French fighter jet at the beginning of 2026, while Indonesia struck a deal to built two submarines under the guidance of the French Naval Group, following the visit of Macron.
These intentions are showing that Indonesia sees France as a partner in its security and defence system, Lee-Makiyama said.
Defence ties can also make a trade deal more palatable for nations like France, which have been among the major opponents to Brussel’s free trade policies in recent years. “Such a free trade agreement is about showing credible engagement in a region where economics and security go hand-in-hand,” said Bomassi.
End game
But even after Šefčovič leaves the dreamy sunsets of surf of Bali behind, the deal is far from closed.
Brussels is expected to decouple CEPA’s trade elements to fast track its approval. The deal would only need support from 15 member states at the Council representing 65% of the population and a simple majority at the European Parliament.
Approval in Indonesia won’t be any easier. Ratification bills must overcome waves of committee hearings, consultation rounds and an unpredictable plenary vote, as well as ‘translation delays’ similar to those occurring in Brussels, according to ECIPE.
While no Indonesian FTA has been rejected so far, the think tank adds, sensitivities have often stymied the entry into force of the provisions. Deals with South Korea took nearly two years to ratify, while a pact with EFTA countries – Norway, Switzerland and Iceland – dragged on for three years.
Farmers – many of them at odds with the EU’s sustainability rules – account for millions of votes, and politics can be unpredictable, he added. “Their parliament is just as messy as ours and their farmers equally angry,” Lee-Makiyama said. EURACTIV
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EU forest monitoring law faces axe from right-wing coalition
EPP MEP Köhler confident majority will back rejection of forest law
The fate of a new law aimed at improving data on the EU’s forests hangs by a thread, as right-wing parties say they have gathered enough support to vote against the text on Tuesday.
The European Parliament is expected to take a first step towards burying the law, as the European People’s Party (EPP) and allied groups are set to back a centre-right amendment to reject the legislation outright.
Unveiled in 2023, the European Commission’s proposal aims to improve data collection and knowledge on the EU’s forests to strengthen their resilience to climate change and threats such as pests, droughts and wildfires.
Killing me softly
German MEP Stefan Köhler (EPP), who tabled the amendment, is confident that the rejection will go through. “We had some internal discussions” and “I think the majority is already on our side” to “get the rejection together,” he told Euractiv.
The text will be voted on by the Parliament’s agriculture (AGRI) and environment (ENVI) committees.
With regard to the ENVI committee, not only do right-wing groups European Conservatives and Reformists (ECR) and Europe of Sovereign Nations (ESN) support rejecting the text, but “other groups are also involved,” he added.
The MEP justifies the rejection by pointing to existing monitoring tools, the “inaccuracy” of satellite technology, and the desire to avoid “additional costs” for member states.
Such arguments are not new. Widespread opposition to the rules, notably from the German and Austrian EPP delegations, had been clear since the start of negotiations.
Forestry remains a national competence under EU law, and many member states – especially those with larger forested areas – remain protective of their prerogatives in this field.
Rapporteurs to the rescue
Facing a stalemate with the EPP, the Parliament’s lead MEPs Emma Wiesner (Renew) and Eric Sargiacomo (S&D) suspended negotiations on the file in early September and chose to proceed directly to the vote, hoping that divisions would emerge within the EPP.
They expect that the impact of this summer’s forest fires may persuade some EPP members to support the text, Sargiacomo told Euractiv.
But it won’t convince everyone. “Most forest fires are caused by humans. So, climate change is only partly to blame,” Köhler said.
Next steps
After Tuesday’s joint committee vote, the law will still have to be voted on in plenary. If the text is rejected again, the Commission might decide to withdraw the proposal – as it had already hinted when the Council adopted its position.
At least, that is what Köhler hopes. “That would be the logical consequence,” he said. EURACTIV
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GAPKI Welcomes Indonesia-EU Trade Pact, Calls for Smallholder Inclusion
The agreement is also an opportunity for the EU to address its measures on Indonesian biofuels and ensure its deforestation rules don't penalise smallholders.
JAKARTA , INDONESIA, September 23, 2025 /EINPresswire.com/ -- On the signing of the IEUCEPA agreement in Bali, Indonesia, Eddy Martono, chairman of GAPKI issued the following statement:
“The Indonesian Palm Oil Association (GAPKI) welcomes the conclusion of the IEUCEPA negotiations, marking a significant milestone in Indonesia-EU relations. We particularly commend the Indonesian negotiating team and the achievement of zero tariffs for palm oil exports to the EU, which recognizes palm oil's strategic importance to Indonesia and will create more competitive conditions for our producers, benefiting millions of Indonesians whose livelihoods depend on this sector.
“The IEUCEPA also provides a crucial opportunity for the EU to address its measures on Indonesian biofuels and bring them into compliance with WTO decisions.
“We urge the EU to use this partnership to ensure that trade policies are based on scientific evidence and international trade law, resolving the sector’s longstanding concerns constructively.
“The agreement also presents an important platform to address smallholder farmers' concerns regarding the EU Deforestation Regulation (EUDR). With Indonesia’s 2.7 million smallholders representing 40% of Indonesia's palm oil production, it is essential that EUDR implementation considers their capacity constraints and provides appropriate support mechanisms.
“If the EUDR continues to exclude smallholders from European supply chains, zero tariffs will be meaningless for Indonesia’s millions of farmers across palm oil, cocoa, coffee and rubber.
“We call upon both parties to develop practical solutions that enable smallholder compliance while maintaining their market access and livelihoods.
“GAPKI remains committed to sustainable palm oil production and looks forward to working within the IEUCEPA framework to demonstrate that economic development and environmental concerns can advance together.”
Fadhil Hasan/GAPKI
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EU weighs delaying ban on imports linked to deforestation
Trading partners, including the US, and member states are pressuring Brussels to postpone climate law for a second time
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The EU is discussing plans to postpone a ban on imports stemming from deforestation for a second time, after pressure from the US and other trading partners.
Several European capitals also back the delay as they argue their companies are not yet ready to comply with the legislation, according to three people familiar with the matter.
The law aims to stop European consumers from contributing to the climate crisis when purchasing products made by felling forests. It would ban imports like coffee, cocoa, rubber, wood and palm oil if the producers were unable to prove they were not grown in deforested areas.
It was first proposed in 2021 as a key part of the EU’s ambitious Green Deal climate law, which was watered down after farmers’ protests, concerns about the bloc’s flagging economy and a focus on defence investments in the wake of Russia’s war in Ukraine.
Last December, the European Commission postponed its implementation by 12 months to the end of this year, and it is now mulling a further delay of one or two years, the people said.
A final decision has yet to be taken, they added, while acknowledging there was intense pressure to extend the pause. Any further delay would require agreement from a majority of EU member states and the European parliament.
The US has condemned the legislation as have commodity producers such as Brazil and Indonesia, which have just agreed trade deals with the EU.
According to a trade deal the EU struck with the Trump administration this summer, Brussels agreed to “work to address the concerns of US producers and exporters” over the deforestation law. The EU also recognised that “production of the relevant commodities within the territory of the United States poses negligible risk to global deforestation”.
The American Loggers Council said this month the EU law was “coming apart at the seams” and was a “misguided” attempt to prevent global deforestation.
India has also raised the issue with EU officials during their trade talks.
Developing countries argue the law could lock out millions of smallholders from the EU market, as they lack the resources and technical knowledge to comply.
The commission has sought to quell concerns over its implementation by publishing an 81-page guidance that sets out how companies should collect geolocation data for their products.
It has also set up its own deforestation observatory based on European satellite imagery, although trading partners such as Australia have contested the data being used.
Poland, one of the most vocal member states against the EU’s green legislation, earlier this month called for a two-year delay.
“The current model imposes disproportionate burdens, especially in countries such as Poland, where the risk of deforestation is negligible,” according to a Polish government position paper.
Warsaw, along with Washington and several EU capitals, has been lobbying for a “zero-risk” category in which many member states would be included.
They are also pushing for small producers to be exempt from reporting and that due diligence obligations should only be imposed on the operator placing products on the EU market, rather than on the entire supply chain.
Industry is split over its support for the law.
Cocoa and rubber companies including Nestlé, Unilever, Michelin and Pirelli have all issued statements against delaying the law, while forestry lobbies, farmers and magazine publishers have called for it to be simplified and postponed.
Swedish Enterprise, an employers’ association with 60,000 members, said it was in favour of limiting the law’s “complex” due diligence requirements “to the operator first placing the product on the EU market”. FT
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Indonesia and Toyota are launching a program to convert palm oil waste into bioethanol
Indonesia’s Ministry of Industry (Kemenperin) has unveiled a technology initiative to convert empty palm oil fruit bunches into bioethanol. This project, based on advanced glucose extraction technology, transforms agricultural waste into a valuable renewable energy source, opening a new chapter in the country’s green industry development, according to Indonesian publication TanahAir.
Toyota Motor Manufacturing Indonesia, Indonesia’s leading research center for standardization and agro-industrial services (BBSPJIA), and the Bandung Institute of Technology are industrial partners in the recycling program.
Industry Minister Agus Gumiwan Kartasasmita emphasized the strategic importance of cross-sector collaboration to achieve success. “The production of bioethanol from palm oil waste on an industrial scale is a key priority for Indonesia. I am confident that the partnership between government, industry, and academia will form the foundation for the implementation of sustainable technologies,” he said.
The core of the project is the unique TKKS fractionation pilot plant, operated by BBSPJIA specialists. This plant is capable of converting palm oil waste not only into bioethanol but also into other in-demand products: glucose, xylose, and lignin.
BBSPJIA CEO Yuni Herlina Harahap explained the project’s significance: “This pilot complex is not just a plant, but a full-fledged R&D hub. It supports the industry in creating renewable energy and paves the way for future research in biomass-based bioenergy.”
The successful collaboration model with Toyota is expected to be scaled up to other palm oil-producing regions. This will transform millions of tons of useless waste into a powerful source of clean energy, fueling national economic growth and strengthening Indonesia’s position as a global leader in green technologies.
It was previously reported that Indonesia is calling on the EU to open its market to Indonesian palm oil biofuels. The trade agreement, as previously reported, will be signed next week after nine years of negotiations. UKRagraconsult
Indonesia, EU finalise trade deal after nine years of talks
By Sultan Anshori
- Deal removes import duties on 98.5% of EU goods to Indonesia
- Indonesian goods to enjoy zero tariffs in 90% of EU market
- Non-tariff barriers remain a challenge for palm oil industry
NUSA DUA, Indonesia, Sept 23 (Reuters) - Indonesia and the European Union on Tuesday finalised their negotiations on a comprehensive economic partnership agreement after nine years of talks, aimed at boosting trade and investment.
The agreement will remove import duties on 98.5% of EU goods exported to Indonesia and simplify procedures for entry for EU products including cars and food products such as milk powder, cheeses, meats, chocolates and bakery items, the EU said.
For the EU, the deal will result in savings of 600 million euros ($707.40 million) of duties averaging 10% a year on EU exports.
Indonesian goods will enjoy zero tariffs in 90% of the EU market upon implementation, the Indonesian economic ministry said, which should boost shipments for palm oil, coffee, textile and clothing and other products.
Indonesia's Coordinating Minister for Economic Affairs Airlangga Hartarto said he is aiming for the pact to enter into force on January 1, 2027.
"As we look ahead for the next stage, the legal scrubbing, translation, ratification, we reaffirm the determination to bring this (agreement) into force at the earliest opportunities," Airlangga said at a signing ceremony in Bali.
Trade between Indonesia and the EU is expected to double in the first five years of implementation, Indonesia said.
In 2024, trade between the two parties was $30.1 billion, according to Indonesia's economic ministry.
"We are looking forward for a supply chain between Indonesia and Europe including for critical minerals, renewable energies, innovation, as well as for investment," Airlangga said.
Indonesia is in talks with European automakers on partnerships in battery and electric vehicle production in the Southeast Asian country, Airlangga told reporters.
EU Trade Commissioner Maros Sefcovic said in Bali the agreement would bolster investment into Indonesia by European companies and help diversify the supply chain, particularly for critical minerals, which Indonesia has in abundance.
In a separate statement, European Commission President Ursula von der Leyen said the agreement would help to provide "a stable and predictable supply of critical minerals, notably nickel and cobalt."
The Chairman of the Indonesian Palm Oil Association (GAPKI) Eddy Martono said the deal would remove tariff barriers to the EU, a major buyer of palm oil.
However, non-tariff barriers, including the EU Deforestation Regulation (EUDR), remain a hurdle for the industry, he said in a text message to Reuters.
Indonesia is the world's biggest palm oil producer and the EUDR requires its growers to provide documentation proving shipments did not come from areas deforested after 2020.
"There is still homework to be done, namely the EUDR which must also be resolved immediately because it will be implemented later this year," he said, which could reduce the effectiveness of the trade agreement. Reuters
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Geopolitics trumps deforestation as Brussels seals Indonesia trade deal
Relations between Brussels and Jakarta have long been overshadowed by rows over palm oil and raw materials
The EU finally closed a trade pact with the world’s fourth most populous nation on Tuesday morning in the luxury tourist escape of Bali – just don’t mention palm oil.
The end to nearly a decade of talks over a Comprehensive Economic Partnership Agreement (CEPA) between the EU and Indonesia, one of the world’s fastest growing economies, comes quick on the heels of US President Donald Trump’s decision to hit both with tariffs.
It’s therefore no surprise that the European Commission’s veteran dealmaker Maroš Šefčovič’s is moving to double down on relations with key Asian allies. Over recent years, the Commission has moved to build on its deals with Singapore and Vietnam by kicking off talks with Thailand and the Philippines, while trying to make progress on a mammoth pact with India.
The hope with the Indonesia deal is that slashing tariffs by as much as 98% will multiply the €27.3 billion in bilateral trade between the two recorded in 2024.
Experts say the deal with Jakarta is generous.
“It is by far the most ambitious FTA (free trade agreement) that the Indonesians have agreed to,” said Hosuk Lee-Makiyama, director of the European Centre for International Political economy (ECIPE) and a former diplomat, adding that concessions go beyond the recent EU-Mercosur agreement.
But fights over EU sustainability rules, palm oil imports and raw materials have defined Brussels-Jakarta relationship as much as tariff cuts. And it remains to be seen whether a signature in Bali is enough to stem concerns over green policies that have dogged talks from the start.
Palm oil wars
Beyond the trade triumph, the deal is still clouded by the elephant in the room – palm oil.
Indonesia is the world’s largest producer of the stuff and a key supplier to the EU of a material used in everything from snacks to toiletries and from animal feed to biofuels. However, exports to Europe also come with a toxic reputation for driving deforestation which has long held up relations.
“The deal reinforces an extractive model which has already caused immense harm to Indonesia’s forests,” said Perrine Fournier, campaigner at FERN, an NGO focusing on forest policy, ahead of the full signing in Bali.
The EU-Indonesia deal includes a zero tariff for palm oil within a limited quota. Fournier regrets that this concession by Brussels will likely “not be linked to sustainability requirements.”
Despite progress in curbing palm-linked deforestation over the last decade, the crop remains a key driver for forest loss, according to international non-profits and organisations tracking deforestation across Indonesia.
The timing of the deal is especially important, as it lands weeks before the EU’s anti-deforestation regulation (EUDR) is set to take effect on 30 December. Indonesia’s most important agricultural commodities – palm oil, coffee, rubber and cocoa – will all be covered, with importers having to prove with geolocation data that these have not contributed to deforestation.
But it remains to be seen if the trade deal will directly address concerns raised by farmers and Indonesian officials regarding a lack of financial and technical means for implementation. Indonesian diplomats told Euractiv that the trade deal would not directly tackle EUDR compliance.
Food for fuel
Legal disputes over energy and raw materials have also fuelled mistrust between Brussels and Jakarta.
The EU’s green regulations have been targeted at imports of palm oil based biofuels from Indonesia – which are significantly cheaper than EU-made alternatives. Since 2019, Brussels has imposed duties of up to 18% to discourage imports – arguing that producers receive state subsidies – and has restricted the use of crop-based fuels from Indonesia under the EU’s renewable energy rules.
Jakarta challenged these actions at the World Trade Organisation (WTO) and won, as it found Brussels’ actions discriminatory.
Lee-Makiyama said Brussels would abide by the decision. “The EU won’t appeal the cases. The WTO was clear on the EU’s tariffs being discriminatory with Indonesian imports.”
It doesn’t stop there either. Indonesia also holds some of the world’s biggest reserves of nickel – a critical raw material to produce batteries, for renewable energies, and defence and space technologies. But it has restricted its export since 2014 to ensure processing happens at home.
The EU has long wrangled with the ban, challenging the measure at the WTO – which ruled that this time Brussels was right. Indonesia has appealed, but because the WTO’s appeals body is currently paralysed after the US blocked the appointment of new judges, the case is stuck in limbo indefinitely.
The EU’s push to secure its access to nickel comes as part of a broader push to “de-risk” the bloc’s supply chains away from China, which maintains a chokehold over the refining and mining of many of the minerals required for the green transition.
Security logic
It’s already clear that the deal is about much more than just trade.
Brussels is seeking to secure alliances with more partners when it comes to security, and allies in the Indo-Pacific region are crucial to counter China’s influence. “Indonesia […] is one of the keystones of Indo-Pacific security,” said Lee-Makiyama. “They don’t want to put all the eggs in one basket – which ultimately comes down to containing China.”
Lizza Bomassi of the EU Institute for Security Studies told Euractiv that the deal can give Indonesia a “viable option” to China. “A visible, active EU presence is key to that,” she said.
There have already been big deals in the defence sector too.
During French President Emmanuel Macron’s visit at the end of May, Jakarta deepened ties with Paris with plans for orders of Rafale fighter jets, submarines, light frigates and Thales radars worth billions of euros. Jakarta is set to receive its first out of 42 French fighter jet at the beginning of 2026, while Indonesia struck a deal to built two submarines under the guidance of the French Naval Group, following the visit of Macron.
These intentions are showing that Indonesia sees France as a partner in its security and defence system, Lee-Makiyama said.
Defence ties can also make a trade deal more palatable for nations like France, which have been among the major opponents to Brussel’s free trade policies in recent years. “Such a free trade agreement is about showing credible engagement in a region where economics and security go hand-in-hand,” said Bomassi.
End game
But even after Šefčovič leaves the dreamy sunsets of surf of Bali behind, the deal is far from closed.
Brussels is expected to decouple CEPA’s trade elements to fast track its approval. The deal would only need support from 15 member states at the Council representing 65% of the population and a simple majority at the European Parliament.
Approval in Indonesia won’t be any easier. Ratification bills must overcome waves of committee hearings, consultation rounds and an unpredictable plenary vote, as well as ‘translation delays’ similar to those occurring in Brussels, according to ECIPE.
While no Indonesian FTA has been rejected so far, the think tank adds, sensitivities have often stymied the entry into force of the provisions. Deals with South Korea took nearly two years to ratify, while a pact with EFTA countries – Norway, Switzerland and Iceland – dragged on for three years.
Farmers – many of them at odds with the EU’s sustainability rules – account for millions of votes, and politics can be unpredictable, he added. “Their parliament is just as messy as ours and their farmers equally angry,” Lee-Makiyama said. EURACTIV
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EU forest monitoring law faces axe from right-wing coalition
EPP MEP Köhler confident majority will back rejection of forest law
The fate of a new law aimed at improving data on the EU’s forests hangs by a thread, as right-wing parties say they have gathered enough support to vote against the text on Tuesday.
The European Parliament is expected to take a first step towards burying the law, as the European People’s Party (EPP) and allied groups are set to back a centre-right amendment to reject the legislation outright.
Unveiled in 2023, the European Commission’s proposal aims to improve data collection and knowledge on the EU’s forests to strengthen their resilience to climate change and threats such as pests, droughts and wildfires.
Killing me softly
German MEP Stefan Köhler (EPP), who tabled the amendment, is confident that the rejection will go through. “We had some internal discussions” and “I think the majority is already on our side” to “get the rejection together,” he told Euractiv.
The text will be voted on by the Parliament’s agriculture (AGRI) and environment (ENVI) committees.
With regard to the ENVI committee, not only do right-wing groups European Conservatives and Reformists (ECR) and Europe of Sovereign Nations (ESN) support rejecting the text, but “other groups are also involved,” he added.
The MEP justifies the rejection by pointing to existing monitoring tools, the “inaccuracy” of satellite technology, and the desire to avoid “additional costs” for member states.
Such arguments are not new. Widespread opposition to the rules, notably from the German and Austrian EPP delegations, had been clear since the start of negotiations.
Forestry remains a national competence under EU law, and many member states – especially those with larger forested areas – remain protective of their prerogatives in this field.
Rapporteurs to the rescue
Facing a stalemate with the EPP, the Parliament’s lead MEPs Emma Wiesner (Renew) and Eric Sargiacomo (S&D) suspended negotiations on the file in early September and chose to proceed directly to the vote, hoping that divisions would emerge within the EPP.
They expect that the impact of this summer’s forest fires may persuade some EPP members to support the text, Sargiacomo told Euractiv.
But it won’t convince everyone. “Most forest fires are caused by humans. So, climate change is only partly to blame,” Köhler said.
Next steps
After Tuesday’s joint committee vote, the law will still have to be voted on in plenary. If the text is rejected again, the Commission might decide to withdraw the proposal – as it had already hinted when the Council adopted its position.
At least, that is what Köhler hopes. “That would be the logical consequence,” he said. EURACTIV
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GAPKI Welcomes Indonesia-EU Trade Pact, Calls for Smallholder Inclusion
The agreement is also an opportunity for the EU to address its measures on Indonesian biofuels and ensure its deforestation rules don't penalise smallholders.
JAKARTA , INDONESIA, September 23, 2025 /EINPresswire.com/ -- On the signing of the IEUCEPA agreement in Bali, Indonesia, Eddy Martono, chairman of GAPKI issued the following statement:
“The Indonesian Palm Oil Association (GAPKI) welcomes the conclusion of the IEUCEPA negotiations, marking a significant milestone in Indonesia-EU relations. We particularly commend the Indonesian negotiating team and the achievement of zero tariffs for palm oil exports to the EU, which recognizes palm oil's strategic importance to Indonesia and will create more competitive conditions for our producers, benefiting millions of Indonesians whose livelihoods depend on this sector.
“The IEUCEPA also provides a crucial opportunity for the EU to address its measures on Indonesian biofuels and bring them into compliance with WTO decisions.
“We urge the EU to use this partnership to ensure that trade policies are based on scientific evidence and international trade law, resolving the sector’s longstanding concerns constructively.
“The agreement also presents an important platform to address smallholder farmers' concerns regarding the EU Deforestation Regulation (EUDR). With Indonesia’s 2.7 million smallholders representing 40% of Indonesia's palm oil production, it is essential that EUDR implementation considers their capacity constraints and provides appropriate support mechanisms.
“If the EUDR continues to exclude smallholders from European supply chains, zero tariffs will be meaningless for Indonesia’s millions of farmers across palm oil, cocoa, coffee and rubber.
“We call upon both parties to develop practical solutions that enable smallholder compliance while maintaining their market access and livelihoods.
“GAPKI remains committed to sustainable palm oil production and looks forward to working within the IEUCEPA framework to demonstrate that economic development and environmental concerns can advance together.”
Fadhil Hasan/GAPKI
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EU weighs delaying ban on imports linked to deforestation
Trading partners, including the US, and member states are pressuring Brussels to postpone climate law for a second time
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The EU is discussing plans to postpone a ban on imports stemming from deforestation for a second time, after pressure from the US and other trading partners.
Several European capitals also back the delay as they argue their companies are not yet ready to comply with the legislation, according to three people familiar with the matter.
The law aims to stop European consumers from contributing to the climate crisis when purchasing products made by felling forests. It would ban imports like coffee, cocoa, rubber, wood and palm oil if the producers were unable to prove they were not grown in deforested areas.
It was first proposed in 2021 as a key part of the EU’s ambitious Green Deal climate law, which was watered down after farmers’ protests, concerns about the bloc’s flagging economy and a focus on defence investments in the wake of Russia’s war in Ukraine.
Last December, the European Commission postponed its implementation by 12 months to the end of this year, and it is now mulling a further delay of one or two years, the people said.
A final decision has yet to be taken, they added, while acknowledging there was intense pressure to extend the pause. Any further delay would require agreement from a majority of EU member states and the European parliament.
The US has condemned the legislation as have commodity producers such as Brazil and Indonesia, which have just agreed trade deals with the EU.
According to a trade deal the EU struck with the Trump administration this summer, Brussels agreed to “work to address the concerns of US producers and exporters” over the deforestation law. The EU also recognised that “production of the relevant commodities within the territory of the United States poses negligible risk to global deforestation”.
The American Loggers Council said this month the EU law was “coming apart at the seams” and was a “misguided” attempt to prevent global deforestation.
India has also raised the issue with EU officials during their trade talks.
Developing countries argue the law could lock out millions of smallholders from the EU market, as they lack the resources and technical knowledge to comply.
The commission has sought to quell concerns over its implementation by publishing an 81-page guidance that sets out how companies should collect geolocation data for their products.
It has also set up its own deforestation observatory based on European satellite imagery, although trading partners such as Australia have contested the data being used.
Poland, one of the most vocal member states against the EU’s green legislation, earlier this month called for a two-year delay.
“The current model imposes disproportionate burdens, especially in countries such as Poland, where the risk of deforestation is negligible,” according to a Polish government position paper.
Warsaw, along with Washington and several EU capitals, has been lobbying for a “zero-risk” category in which many member states would be included.
They are also pushing for small producers to be exempt from reporting and that due diligence obligations should only be imposed on the operator placing products on the EU market, rather than on the entire supply chain.
Industry is split over its support for the law.
Cocoa and rubber companies including Nestlé, Unilever, Michelin and Pirelli have all issued statements against delaying the law, while forestry lobbies, farmers and magazine publishers have called for it to be simplified and postponed.
Swedish Enterprise, an employers’ association with 60,000 members, said it was in favour of limiting the law’s “complex” due diligence requirements “to the operator first placing the product on the EU market”. FT
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Indonesia and Toyota are launching a program to convert palm oil waste into bioethanol
Indonesia’s Ministry of Industry (Kemenperin) has unveiled a technology initiative to convert empty palm oil fruit bunches into bioethanol. This project, based on advanced glucose extraction technology, transforms agricultural waste into a valuable renewable energy source, opening a new chapter in the country’s green industry development, according to Indonesian publication TanahAir.
Toyota Motor Manufacturing Indonesia, Indonesia’s leading research center for standardization and agro-industrial services (BBSPJIA), and the Bandung Institute of Technology are industrial partners in the recycling program.
Industry Minister Agus Gumiwan Kartasasmita emphasized the strategic importance of cross-sector collaboration to achieve success. “The production of bioethanol from palm oil waste on an industrial scale is a key priority for Indonesia. I am confident that the partnership between government, industry, and academia will form the foundation for the implementation of sustainable technologies,” he said.
The core of the project is the unique TKKS fractionation pilot plant, operated by BBSPJIA specialists. This plant is capable of converting palm oil waste not only into bioethanol but also into other in-demand products: glucose, xylose, and lignin.
BBSPJIA CEO Yuni Herlina Harahap explained the project’s significance: “This pilot complex is not just a plant, but a full-fledged R&D hub. It supports the industry in creating renewable energy and paves the way for future research in biomass-based bioenergy.”
The successful collaboration model with Toyota is expected to be scaled up to other palm oil-producing regions. This will transform millions of tons of useless waste into a powerful source of clean energy, fueling national economic growth and strengthening Indonesia’s position as a global leader in green technologies.
It was previously reported that Indonesia is calling on the EU to open its market to Indonesian palm oil biofuels. The trade agreement, as previously reported, will be signed next week after nine years of negotiations. UKRagraconsult
September 22, 2025
Five Things To Know About Indonesia-EU Trade Agreement
By Eric BERNAUDEAU, Marchio GORBIANO
Indonesia and the European Union will sign a trade agreement on Tuesday after nearly a decade of negotiations as they seek to mitigate the effects of US President Donald Trump's tariff policy.
The agreement, to be signed on the resort island of Bali, will bring resource-rich Indonesia and the 27-member European bloc into closer economic ties.
It is the third trade agreement the EU has signed with southeast Asian countries, after Singapore and Vietnam.
Here are five things to know about the Indonesia-European Union Comprehensive Economic Partnership Agreement (CEPA):
Indonesia has been in talks with the EU since 2016 but negotiations for a trade deal initially saw little progress.
Issues such as palm oil and deforestation posed stumbling blocks but US President Donald Trump's sweeping tariff policy "created the urgency" to expedite an agreement, said Deni Friawan, researcher at the Centre for Strategic and International Studies (CSIS).
In July, President Prabowo Subianto travelled to Brussels and announced with EU chief Ursula von der Leyen that the two sides had reached a "political agreement" to conclude the deal after 19 rounds of negotiations.
Indonesian chief economic minister Airlangga Hartarto said uncertainties caused by the "tariff war and protectionism" between major countries pushed the two sides "to seek certainty through a stable bilateral agreement".
The agreement was expected to "mitigate risks from the impact of the global tariff war", Airlangga told AFP in a statement.
Around 80 percent of Indonesian exports to the EU will be tariff-free after the deal comes into force, Airlangga said in June.
It is expected to benefit Indonesia's top exports to the the bloc including palm oil, footwear, textiles and fisheries, he added.
Von der Leyen said in July the agreement would open new markets and "help strengthen the supply chains of critical raw materials that we need to power the clean and the digital transition".
"We want not only a secure supply, but we want responsible supply," she said.
"That means respect for the environment, respect for the local communities, and a clear focus on good jobs and local value creation."
The EU is Indonesia's fifth-largest trading partner with bilateral trade reaching $30.1 billion last year.
The agreement would further open up EU access to the Indonesian market of around 280 million people, Deni said.
"With the CEPA, it means that it will be easier for them (EU) to enter" Indonesia, he said, underlining the size of the market and its growing economy.
The deal would ensure Indonesian and EU businesses enjoyed equal legal protection, Airlangga said.
Ties had been frayed by issues including a proposed EU import ban on products linked to deforestation that has angered Indonesia, a major palm oil exporter.
Under the EU deforestation regulation, exports of a vast range of goods -- including soy, timber, palm oil, cattle, printing paper and rubber -- are prohibited if produced on land deforested after December 2020.
Airlangga said EU trade chief Maros Sefcovic had promised to give "special treatment" regarding the deforestation regulation for countries that have signed trade agreements with the bloc.
EU has postponed the rule's implementation to the end of this year after a backlash.
Activists are concerned the agreement would lead to more deforestation driven by increased demand for Indonesian palm oil.
"The remaining natural forests in palm oil concessions will potentially be cleared in the near future (and) converted into plantations," said Syahrul Fitra of Greenpeace Indonesia.
Brussels reportedly pushed to include provisions about deforestation in the agreement, but details have not been made public.
After the agreement's signing, the two sides are expected to carry out steps including legal checks and translation of the official documents, Airlangga said.
The deal will then have to be ratified by EU members, the European Parliament and Indonesia's parliament.
The agreement is expected to be implemented by 2027, Airlangga added.
The Barron's news department was not involved in the creation of the content above. This article was produced by AFP. For more information go to AFP.com.
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Malaysia's mangrove conservation yields positive results
TUMPAT: More than RM71 million has been allocated by the federal government for the planting and maintenance of mangrove trees and suitable species since 2006, said plantation industries and commodities minister Johari Ghani.
The allocation covers research and development, monitoring activities, and public awareness programmes, said Johari, who is also acting minister for natural resources and environmental sustainability.
“As of September this year, 3,820 hectares of coastal and mangrove forest areas have been planted with over nine million mangrove trees and other suitable species along the country’s coastline.
“This achievement is supported by more than 120 research studies that serve as key references, along with the active involvement of 13 civic organisations and local communities,” he said in a speech at a forestry carnival and celebrations to mark the international day for the conservation of mangroves.
Johari said the planting initiative at the Kelantan river delta at Pantai Senok has become an eco-tourism destination, while the charcoal industry in Larut Matang, Perak, continues to contribute to the national economy.
“In addition, research and learning centres in Kuala Selangor, as well as new economic opportunities in Kampung Pulau Ketam, Perlis, and three areas in Sarawak, have been gazetted as fully protected zones, generating over RM3 million annually. In Sabah, the areas planted since 2006 have become a vital source of seafood for local communities,” he said. FMT
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Malaysia prepares for risk reclassification via FAO submission
KUALA LUMPUR: Malaysia is preparing to submit its database on forests, agriculture and land use to the United Nations Food and Agriculture Organisation (FAO) next year.
This is part of a concerted national strategy to upgrade the country's current standard-risk classification, said Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani.
Johari said the government is currently collating the latest facts and progress of forestry data from all state governments, in order to get the European Union (EU) to formally recognise the achievement under its sustainability agenda.
"The next submission will be next year. Right now, we are collecting data from all the state governments. All states, from Perlis to Johor and all the way to Sarawak, must play their part.
"They are responsible for what happens within their own borders, especially on forest-related matters," he told a press conference at the launch of Malaysian Sustainable Palm Oil (MSPO) Impact Alliance here today.
They must submit this data to the National Resource and Environmental System and the ministry will review it before proceeding with the submission, Johari added.
Malaysia is currently classified by the EU as a "standard risk" country under its new EU Deforestration Regulation (EUDR), alongside Indonesia and Brazil.
The EUDR requires exporters of cocoa, coffee, palm oil, soybean, cattle, rubber and timber to the EU to ensure their products are deforestation-free and legally sourced.
Meanwhile, the MSPO Impact Alliance launched today is a multi-stakeholder platform to position and strengthen Malaysia's leadership in sustainable palm oil.
The initiative builds on MSPO as the country's national certification scheme and is designed to accelerate inclusive industry transformation.
The MSPO Impact Alliance is backed by 28 founding members .They include global FMCG companies, plantation growers, smallholder representatives, industry associations, civil societies, financial institutions, certification bodies, think tanks and international organisations.
"I understand that members will convene the first steering committee meeting in the coming weeks to shape the priorities of this journey.
"I am hopeful that this will mark the beginning of a meaningful collaboration and fresh ideas that will carry MSPO and the Malaysian palm oil industry to greater heights," Johari said.
Among the potential pilot initiatives under the MSPO Impact Alliance are initiatives to prepare smallholders for compliance with the EUDR, benchmarking MSPO standards against the responsible sourcing requirements of global FMCG companies and developing transparent cost sharing models to support smallholders' sustainability journey.
The MSPO Impact Alliance will also explore innovative financing instruments linked to certification, replanting strategies that restore biodiversity and a simplified complaints and grievance mechanism to strengthen worker protections. NST
Five Things To Know About Indonesia-EU Trade Agreement
By Eric BERNAUDEAU, Marchio GORBIANO
Indonesia and the European Union will sign a trade agreement on Tuesday after nearly a decade of negotiations as they seek to mitigate the effects of US President Donald Trump's tariff policy.
The agreement, to be signed on the resort island of Bali, will bring resource-rich Indonesia and the 27-member European bloc into closer economic ties.
It is the third trade agreement the EU has signed with southeast Asian countries, after Singapore and Vietnam.
Here are five things to know about the Indonesia-European Union Comprehensive Economic Partnership Agreement (CEPA):
Indonesia has been in talks with the EU since 2016 but negotiations for a trade deal initially saw little progress.
Issues such as palm oil and deforestation posed stumbling blocks but US President Donald Trump's sweeping tariff policy "created the urgency" to expedite an agreement, said Deni Friawan, researcher at the Centre for Strategic and International Studies (CSIS).
In July, President Prabowo Subianto travelled to Brussels and announced with EU chief Ursula von der Leyen that the two sides had reached a "political agreement" to conclude the deal after 19 rounds of negotiations.
Indonesian chief economic minister Airlangga Hartarto said uncertainties caused by the "tariff war and protectionism" between major countries pushed the two sides "to seek certainty through a stable bilateral agreement".
The agreement was expected to "mitigate risks from the impact of the global tariff war", Airlangga told AFP in a statement.
Around 80 percent of Indonesian exports to the EU will be tariff-free after the deal comes into force, Airlangga said in June.
It is expected to benefit Indonesia's top exports to the the bloc including palm oil, footwear, textiles and fisheries, he added.
Von der Leyen said in July the agreement would open new markets and "help strengthen the supply chains of critical raw materials that we need to power the clean and the digital transition".
"We want not only a secure supply, but we want responsible supply," she said.
"That means respect for the environment, respect for the local communities, and a clear focus on good jobs and local value creation."
The EU is Indonesia's fifth-largest trading partner with bilateral trade reaching $30.1 billion last year.
The agreement would further open up EU access to the Indonesian market of around 280 million people, Deni said.
"With the CEPA, it means that it will be easier for them (EU) to enter" Indonesia, he said, underlining the size of the market and its growing economy.
The deal would ensure Indonesian and EU businesses enjoyed equal legal protection, Airlangga said.
Ties had been frayed by issues including a proposed EU import ban on products linked to deforestation that has angered Indonesia, a major palm oil exporter.
Under the EU deforestation regulation, exports of a vast range of goods -- including soy, timber, palm oil, cattle, printing paper and rubber -- are prohibited if produced on land deforested after December 2020.
Airlangga said EU trade chief Maros Sefcovic had promised to give "special treatment" regarding the deforestation regulation for countries that have signed trade agreements with the bloc.
EU has postponed the rule's implementation to the end of this year after a backlash.
Activists are concerned the agreement would lead to more deforestation driven by increased demand for Indonesian palm oil.
"The remaining natural forests in palm oil concessions will potentially be cleared in the near future (and) converted into plantations," said Syahrul Fitra of Greenpeace Indonesia.
Brussels reportedly pushed to include provisions about deforestation in the agreement, but details have not been made public.
After the agreement's signing, the two sides are expected to carry out steps including legal checks and translation of the official documents, Airlangga said.
The deal will then have to be ratified by EU members, the European Parliament and Indonesia's parliament.
The agreement is expected to be implemented by 2027, Airlangga added.
The Barron's news department was not involved in the creation of the content above. This article was produced by AFP. For more information go to AFP.com.
---------
Malaysia's mangrove conservation yields positive results
TUMPAT: More than RM71 million has been allocated by the federal government for the planting and maintenance of mangrove trees and suitable species since 2006, said plantation industries and commodities minister Johari Ghani.
The allocation covers research and development, monitoring activities, and public awareness programmes, said Johari, who is also acting minister for natural resources and environmental sustainability.
“As of September this year, 3,820 hectares of coastal and mangrove forest areas have been planted with over nine million mangrove trees and other suitable species along the country’s coastline.
“This achievement is supported by more than 120 research studies that serve as key references, along with the active involvement of 13 civic organisations and local communities,” he said in a speech at a forestry carnival and celebrations to mark the international day for the conservation of mangroves.
Johari said the planting initiative at the Kelantan river delta at Pantai Senok has become an eco-tourism destination, while the charcoal industry in Larut Matang, Perak, continues to contribute to the national economy.
“In addition, research and learning centres in Kuala Selangor, as well as new economic opportunities in Kampung Pulau Ketam, Perlis, and three areas in Sarawak, have been gazetted as fully protected zones, generating over RM3 million annually. In Sabah, the areas planted since 2006 have become a vital source of seafood for local communities,” he said. FMT
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Malaysia prepares for risk reclassification via FAO submission
KUALA LUMPUR: Malaysia is preparing to submit its database on forests, agriculture and land use to the United Nations Food and Agriculture Organisation (FAO) next year.
This is part of a concerted national strategy to upgrade the country's current standard-risk classification, said Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani.
Johari said the government is currently collating the latest facts and progress of forestry data from all state governments, in order to get the European Union (EU) to formally recognise the achievement under its sustainability agenda.
"The next submission will be next year. Right now, we are collecting data from all the state governments. All states, from Perlis to Johor and all the way to Sarawak, must play their part.
"They are responsible for what happens within their own borders, especially on forest-related matters," he told a press conference at the launch of Malaysian Sustainable Palm Oil (MSPO) Impact Alliance here today.
They must submit this data to the National Resource and Environmental System and the ministry will review it before proceeding with the submission, Johari added.
Malaysia is currently classified by the EU as a "standard risk" country under its new EU Deforestration Regulation (EUDR), alongside Indonesia and Brazil.
The EUDR requires exporters of cocoa, coffee, palm oil, soybean, cattle, rubber and timber to the EU to ensure their products are deforestation-free and legally sourced.
Meanwhile, the MSPO Impact Alliance launched today is a multi-stakeholder platform to position and strengthen Malaysia's leadership in sustainable palm oil.
The initiative builds on MSPO as the country's national certification scheme and is designed to accelerate inclusive industry transformation.
The MSPO Impact Alliance is backed by 28 founding members .They include global FMCG companies, plantation growers, smallholder representatives, industry associations, civil societies, financial institutions, certification bodies, think tanks and international organisations.
"I understand that members will convene the first steering committee meeting in the coming weeks to shape the priorities of this journey.
"I am hopeful that this will mark the beginning of a meaningful collaboration and fresh ideas that will carry MSPO and the Malaysian palm oil industry to greater heights," Johari said.
Among the potential pilot initiatives under the MSPO Impact Alliance are initiatives to prepare smallholders for compliance with the EUDR, benchmarking MSPO standards against the responsible sourcing requirements of global FMCG companies and developing transparent cost sharing models to support smallholders' sustainability journey.
The MSPO Impact Alliance will also explore innovative financing instruments linked to certification, replanting strategies that restore biodiversity and a simplified complaints and grievance mechanism to strengthen worker protections. NST
September 21, 2025
Malaysian government-backed body launches platform on sustainable palm oil
KUALA LUMPUR, Sept. 21 (Xinhua) -- The Malaysian Sustainable Palm Oil (MSPO) has launched the MSPO Impact Alliance, a multi-stakeholder platform established to position and strengthen Malaysia's leadership in sustainable palm oil.
The MSPO Impact Alliance is backed by 28 founding members including plantation leaders, global fast-moving consumer goods companies, financial institutions, civil society partners, international organizations, and smallholder representatives.
The Malaysian government-backed body said in a statement on Friday that the MSPO Impact Alliance will serve as a structured platform for collaboration, envisioned as a hub for feedback, innovation, and exchange of collective expertise.
It will provide a formal channel for stakeholders to share input and ensure MSPO remains aligned with international benchmarks, while also acting as a testbed for new solutions such as advanced traceability, sustainable financing, cost-sharing models, and inclusive supply chain mechanisms aimed at delivering tangible improvements across the industry.
"Malaysia is committed to ensuring that palm oil continues to power economic growth and provide livelihoods, while meeting the highest international standards of sustainability," said Johari Abdul Ghani, the Minister of Plantation and Commodities of Malaysia. China
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Indonesia’s Middle Power At A Crossroads
Op-Ed by Simon Hutagalung
The “free and active” doctrine, established by Mohammad Hatta in 1948, has directed Indonesia to remain independent from alliances while building its influence in international organisations.
The doctrine remains active under President Prabowo Subianto in 2025, but Indonesia demonstrates increased assertiveness in its foreign policy. The nation aims to utilise its middle power position to amplify its global influence through innovative diplomatic strategies with Western nations, economic partnerships, and enhanced advocacy of its values.
For decades, Indonesia’s middle-power identity has been anchored in ASEAN. The 1976 Treaty of Amity and Cooperation, together with the 2019 ASEAN Outlook on the Indo-Pacific, functioned as essential diplomatic tools for Jakarta to establish agreements and preserve stability. Indonesia used to be the leader of ASEAN because it managed crises well and strengthened ASEAN’s position in international organisations. The Prabowo administration made its first diplomatic moves, which indicated a new direction by visiting China and the United States before ASEAN countries, and his presidential campaign focused more on domestic issues than ASEAN. The posture indicates that Indonesia wants to expand its influence beyond Southeast Asia while establishing itself as an independent global power.
Economic power stands as the foundation for this goal. With GDP approaching USD 1.6 trillion in 2025, Indonesia remains Southeast Asia’s largest economy and a significant global market, with more than 280 million citizens and a youthful median age. The economic and diplomatic relations between the United States and China have become increasingly difficult to manage. The European Union’s deforestation regulation restricting palm oil imports is viewed as coercive by Jakarta, while the United States’ Inflation Reduction Act creates supply chain challenges for critical minerals despite Indonesia’s large mineral reserves. In response, Jakarta has deepened ties with China and shown interest in BRICS and other South–South platforms as alternatives for economic cooperation. Financial software
The foreign policy of Prabowo Subianto contains a more defined set of values. The public supports the Palestinian cause, and Jakarta has consistently denounced Western positions which appear biased during the Israel–Gaza conflict. The Global South representation by Indonesia became more evident when it donated USD 15 million in humanitarian aid to Gaza in 2025. The city of Jakarta maintains its commitment to peace and security through its continued support of UN peacekeeping operations, which positions it as a stabilising force in global security governance.
The ability of Indonesia to project itself on the world stage faces restrictions from its structural framework. The strategic options become restricted because of inefficient bureaucratic systems, inadequate governance, and insufficient defence capabilities. Indonesia’s 2025 defence budget is roughly USD 25 billion—about 1.2 per cent of GDP—insufficient to eliminate capability gaps vis-à-vis larger militaries in the region. The modernisation of military forces remains a promise from Prabowo, but financial constraints, together with various social needs, have created delays in its execution. The nation faces two major obstacles which prevent it from achieving its goals because of insufficient infrastructure and inadequate human capital development. The nation faces two major obstacles that prevent it from achieving its goals because of its persistent poverty areas and its subpar educational performance relative to neighbouring regions. Eurasia Review
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5 Things To Know About Bumitama Agri (SGX: P8Z) – One Of The Few Remaining Pure Upstream Palm Oil Producer
SGX-listed Bumitama Agri Ltd is one of the leading Fresh Fruit Bunches (FFB) growers and producers of Crude Palm Oil (CPO) and Palm Kernel (PK) in Indonesia.
With 17 mills across Central and West Kalimantan as well as Riau, The Group manages close to 187,000 hectares across 17 mills, processing over 5 million MT of FFB, and a CPO yield of 4.1 metric tonnes per hectare.
In 2024, Bumitama recorded its highest-ever revenue of IDR 16.73 trillion, supported by market price rallies. At the same time, it kept costs in check through centralised procurement, extensive mechanisation, and enhanced supply chain efficiency – delivering steady dividends for shareholders.
Looking ahead, Bumitama continues to focus on raising productivity through agronomy, research, and mechanisation, while maintaining a strong commitment to environmental stewardship and community development. Here are 5 things investors need to know about Bumitama. Dollars and Sense
Malaysian government-backed body launches platform on sustainable palm oil
KUALA LUMPUR, Sept. 21 (Xinhua) -- The Malaysian Sustainable Palm Oil (MSPO) has launched the MSPO Impact Alliance, a multi-stakeholder platform established to position and strengthen Malaysia's leadership in sustainable palm oil.
The MSPO Impact Alliance is backed by 28 founding members including plantation leaders, global fast-moving consumer goods companies, financial institutions, civil society partners, international organizations, and smallholder representatives.
The Malaysian government-backed body said in a statement on Friday that the MSPO Impact Alliance will serve as a structured platform for collaboration, envisioned as a hub for feedback, innovation, and exchange of collective expertise.
It will provide a formal channel for stakeholders to share input and ensure MSPO remains aligned with international benchmarks, while also acting as a testbed for new solutions such as advanced traceability, sustainable financing, cost-sharing models, and inclusive supply chain mechanisms aimed at delivering tangible improvements across the industry.
"Malaysia is committed to ensuring that palm oil continues to power economic growth and provide livelihoods, while meeting the highest international standards of sustainability," said Johari Abdul Ghani, the Minister of Plantation and Commodities of Malaysia. China
---------
Indonesia’s Middle Power At A Crossroads
Op-Ed by Simon Hutagalung
The “free and active” doctrine, established by Mohammad Hatta in 1948, has directed Indonesia to remain independent from alliances while building its influence in international organisations.
The doctrine remains active under President Prabowo Subianto in 2025, but Indonesia demonstrates increased assertiveness in its foreign policy. The nation aims to utilise its middle power position to amplify its global influence through innovative diplomatic strategies with Western nations, economic partnerships, and enhanced advocacy of its values.
For decades, Indonesia’s middle-power identity has been anchored in ASEAN. The 1976 Treaty of Amity and Cooperation, together with the 2019 ASEAN Outlook on the Indo-Pacific, functioned as essential diplomatic tools for Jakarta to establish agreements and preserve stability. Indonesia used to be the leader of ASEAN because it managed crises well and strengthened ASEAN’s position in international organisations. The Prabowo administration made its first diplomatic moves, which indicated a new direction by visiting China and the United States before ASEAN countries, and his presidential campaign focused more on domestic issues than ASEAN. The posture indicates that Indonesia wants to expand its influence beyond Southeast Asia while establishing itself as an independent global power.
Economic power stands as the foundation for this goal. With GDP approaching USD 1.6 trillion in 2025, Indonesia remains Southeast Asia’s largest economy and a significant global market, with more than 280 million citizens and a youthful median age. The economic and diplomatic relations between the United States and China have become increasingly difficult to manage. The European Union’s deforestation regulation restricting palm oil imports is viewed as coercive by Jakarta, while the United States’ Inflation Reduction Act creates supply chain challenges for critical minerals despite Indonesia’s large mineral reserves. In response, Jakarta has deepened ties with China and shown interest in BRICS and other South–South platforms as alternatives for economic cooperation. Financial software
The foreign policy of Prabowo Subianto contains a more defined set of values. The public supports the Palestinian cause, and Jakarta has consistently denounced Western positions which appear biased during the Israel–Gaza conflict. The Global South representation by Indonesia became more evident when it donated USD 15 million in humanitarian aid to Gaza in 2025. The city of Jakarta maintains its commitment to peace and security through its continued support of UN peacekeeping operations, which positions it as a stabilising force in global security governance.
The ability of Indonesia to project itself on the world stage faces restrictions from its structural framework. The strategic options become restricted because of inefficient bureaucratic systems, inadequate governance, and insufficient defence capabilities. Indonesia’s 2025 defence budget is roughly USD 25 billion—about 1.2 per cent of GDP—insufficient to eliminate capability gaps vis-à-vis larger militaries in the region. The modernisation of military forces remains a promise from Prabowo, but financial constraints, together with various social needs, have created delays in its execution. The nation faces two major obstacles which prevent it from achieving its goals because of insufficient infrastructure and inadequate human capital development. The nation faces two major obstacles that prevent it from achieving its goals because of its persistent poverty areas and its subpar educational performance relative to neighbouring regions. Eurasia Review
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5 Things To Know About Bumitama Agri (SGX: P8Z) – One Of The Few Remaining Pure Upstream Palm Oil Producer
SGX-listed Bumitama Agri Ltd is one of the leading Fresh Fruit Bunches (FFB) growers and producers of Crude Palm Oil (CPO) and Palm Kernel (PK) in Indonesia.
With 17 mills across Central and West Kalimantan as well as Riau, The Group manages close to 187,000 hectares across 17 mills, processing over 5 million MT of FFB, and a CPO yield of 4.1 metric tonnes per hectare.
In 2024, Bumitama recorded its highest-ever revenue of IDR 16.73 trillion, supported by market price rallies. At the same time, it kept costs in check through centralised procurement, extensive mechanisation, and enhanced supply chain efficiency – delivering steady dividends for shareholders.
Looking ahead, Bumitama continues to focus on raising productivity through agronomy, research, and mechanisation, while maintaining a strong commitment to environmental stewardship and community development. Here are 5 things investors need to know about Bumitama. Dollars and Sense
September 20, 2025
MSPO launches platform to strengthen Malaysian leadership in palm oil
PETALING JAYA: Malaysian Sustainable Palm Oil has launched the MSPO Impact Alliance, a multi-stakeholder platform established to position and strengthen Malaysia’s leadership in sustainable palm oil.
Building on MSPO as the country’s national certification scheme, the platform is backed by 28 founding members including plantation leaders like SD Guthrie and FGV; global fast-moving consumer goods companies such as Mondelez, Nestlé, Unilever and Mars; financial institutions including Maybank and CIMB, international organisations, and smallholder representatives.
In a statement today, MSPO said the platform launched today in Kuala Lumpur will provide a formal channel for stakeholders to share input and ensure MSPO remains aligned with international benchmarks, while also acting as a testbed for new solutions.
“For members, this means being able to jointly shape the evolution of MSPO standards, participate in pilot initiatives that test practical solutions ahead of new global rules and contribute to national policy discussions that guide the future of Malaysia’s palm oil sector.
“In doing so, members will also reinforce their role in advancing responsible sourcing and inclusive supply chains, while contributing to Malaysia’s growing recognition as a trusted and transparent partner in global trade,” read the statement.
The scheme quoted plantation and commodities minister Johari Ghani as saying Malaysia is committed to ensuring palm oil continues to power economic growth and provide livelihoods while meeting the highest international standards of sustainability.
“The MSPO Impact Alliance demonstrates our determination to work hand in hand with a wide range of stakeholders to create inclusive solutions that will not only protect our environment but also strengthen our reputation as a trusted and responsible partner in global trade,” he said.
MSPO said the potential pilot initiatives under the platform include those to prepare smallholders for compliance with the European Union’s deforestation regulation, as well as benchmarking MSPO standards against the responsible sourcing requirements of global fast-moving consumer goods companies.
“The MSPO Impact Alliance will also explore innovative financing instruments linked to certification, replanting strategies that restore biodiversity and a simplified complaints and grievance mechanism designed to strengthen worker protections, including foreign workers,” it said.
MSPO chairman Haris Arshad said the alliance would ensure MSPO remains relevant, credible, and globally accepted by piloting practical initiatives and shaping policies together with its stakeholders.
“This is how we make sustainability inclusive by ensuring smallholders, workers and the industry all benefit from the journey,” he said. FMT
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Ministry discusses strategies to increase RI exports to EFTA countries
Jakarta (ANTARA) - Deputy Minister of Trade Dyah Roro Esti Widya Putri and Secretary General of the European Free Trade Association (EFTA) Kurt Jager discussed optimizing the utilization of the Indonesia–EFTA Comprehensive Economic Partnership Agreement (Indonesia–EFTA/IE CEPA).
During the discussion, they also discussed increasing market access for exports of Indonesia's superior products to EFTA member countries.
Putri said Indonesia is committed to boosting the utilization rate of the IE CEPA by exploring various ways to make it easier for businesses, including micro, small, and medium enterprises (MSMEs), to access its facilities.
"Indonesia is also encouraging the acceleration of the realization of tariff rate quota (TRQ) commitments, especially for palm oil products and their derivatives, through recognition of the Indonesian Sustainable Palm Oil (ISPO) standard," Putri said in a statement here on Friday.
In the meeting held in Geneva, Switzerland, Wednesday (9/17), Putri also highlighted opportunities to increase exports of MSME products, such as coffee, cocoa, and furniture to EFTA member countries.
She also appreciated the various capacity-building programs implemented to support the implementation of the IE CEPA and encouraged the expansion of similar collaborations to provide greater benefits for both parties and business actors.
She also conveyed plans to develop a more comprehensive information portal that would integrate data from Indonesian businesses and EFTA member countries.
"Currently, Indonesia has INATRADE and the FTA Center, but we see the need for a more comprehensive platform to make it easier for businesses to find trading partners and take advantage of IE CEPA facilities," she said.
On the same occasion, Jager explained that discussions on trade promotion and optimization of the IE CEPA utilization rate could be facilitated through the Joint Committee Meeting (JCM) and seminars on trade promotion.
Jager stated that efforts to optimize the utilization of the IE CEPA could be focused on specific sectors, such as textiles and footwear. Furthermore, Indonesia needs to understand the supply chain flow as a whole.
He also responded to the increasing opportunities for coffee exports for Indonesian MSMEs to EFTA member countries.
Jager said that Indonesia needs to understand market needs and determine the right time to promote these products. Kurt also encouraged Indonesia to increase foreign direct investment (FDI) to open up new business sectors.
He believes that this step needs to be accompanied by a proper understanding of the products and sectors needed by the EFTA market.
EFTA is a free trade association consisting of four European countries, namely Switzerland, Norway, Iceland, and Liechtenstein.
This association focuses on economic integration and free trade for its member countries, as well as with partner countries such as Indonesia. Antara News
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Indonesia promotes transition to clean, sustainable energy
Experts said developing ethanol biofuel from palm oil by-products will help Indonesia not only make the most of domestic raw materials but also strengthen its position in the global clean energy market, where demand for sustainable energy solutions is growing.
Jakarta (VNA) - The Indonesian government is turning palm oil waste, specifically empty fruit bunches (EFB), into bioethanol through a glucose extraction process to accelerate the country's energy transition.
Minister of Industry Agus Gumiwang Kartasasmita underlined the importance of multi-sectoral cooperation in realising environmentally friendly and sustainable technology, saying that it is necessary to have cross-sector synergy between the government and industry.
Andi Rizaldi, Head of the Industrial Services Standardisation and Policy Agency (BSKJI), explained that this initiative is being carried out through a partnership between the Centre for Standardisation and Agro-Industrial Services (BBSPJIA) and private company PT Toyota Motor Manufacturing Indonesia (TMMIN).
Collaborators from PT Rekayasa Industri and the Bandung Institute of Technology (ITB), strategic partners of BBSPJIA in developing renewable energy technology, are also involved, he added.
BBSPJIA head Yuni Herlina Harahap said this project is expected to promote the development of sustainable palm oil-based bioenergy technology and open opportunities for further research collaborations aimed at using biomass as an environmentally friendly energy source.
TMMIN Vice President Bob Azam noted that bioethanol derived from palm oil waste is not only an alternative energy source but also part of a circular economy, helping to reduce environmental impact while increasing the added value of the palm oil industry.
Experts said developing ethanol biofuel from palm oil by-products will help Indonesia not only make the most of domestic raw materials but also strengthen its position in the global clean energy market, where demand for sustainable energy solutions is growing. Vietnam Plus
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Jakarta. The Environment Ministry has disclosed that more than 200 hotels, including several in Bali, are still receiving a provisional Red rating under the Company Performance Rating Program (PROPER), indicating non-compliance with environmental regulations.
Rasio Ridho Sani, Deputy for Pollution and Environmental Damage Control at the ministry, said assessments have been carried out on 5,476 companies, with many, among them hospitality businesses in Bali, still falling short of requirements.
“Earlier, we reported that around 229 companies in the hospitality sector remain non-compliant under our provisional ranking,” Rasio said.
He explained that the Red rating is assigned to companies that fail to meet certain environmental standards. These businesses are now making efforts to address deficiencies, including filing objections, with a deadline set for Sep. 27.
According to Rasio, the rise in Red ratings this year reflects the introduction of new evaluation standards, particularly in waste management and carbon economic value. Hotels are now required to take greater responsibility for handling their waste, a pressing issue as several final disposal sites, including those in Bali, have already reached capacity.
“This is also one of the reasons some companies remain non-compliant, as the updated PROPER criteria now cover waste management,” he added.
Of the 5,476 companies assessed, the palm oil sector accounted for the largest share at 960 firms (18 percent), followed by hotels at 311 (6 percent), and textiles at 259 (5 percent).
Under PROPER, a Red rating signals poor environmental performance, showing failure to meet multiple regulations despite some remedial efforts. The lowest rating, Black, is reserved for companies that not only fail to comply but also cause pollution, while the highest ratings are Gold, Green, and Blue. Jakarta Globe
MSPO launches platform to strengthen Malaysian leadership in palm oil
PETALING JAYA: Malaysian Sustainable Palm Oil has launched the MSPO Impact Alliance, a multi-stakeholder platform established to position and strengthen Malaysia’s leadership in sustainable palm oil.
Building on MSPO as the country’s national certification scheme, the platform is backed by 28 founding members including plantation leaders like SD Guthrie and FGV; global fast-moving consumer goods companies such as Mondelez, Nestlé, Unilever and Mars; financial institutions including Maybank and CIMB, international organisations, and smallholder representatives.
In a statement today, MSPO said the platform launched today in Kuala Lumpur will provide a formal channel for stakeholders to share input and ensure MSPO remains aligned with international benchmarks, while also acting as a testbed for new solutions.
“For members, this means being able to jointly shape the evolution of MSPO standards, participate in pilot initiatives that test practical solutions ahead of new global rules and contribute to national policy discussions that guide the future of Malaysia’s palm oil sector.
“In doing so, members will also reinforce their role in advancing responsible sourcing and inclusive supply chains, while contributing to Malaysia’s growing recognition as a trusted and transparent partner in global trade,” read the statement.
The scheme quoted plantation and commodities minister Johari Ghani as saying Malaysia is committed to ensuring palm oil continues to power economic growth and provide livelihoods while meeting the highest international standards of sustainability.
“The MSPO Impact Alliance demonstrates our determination to work hand in hand with a wide range of stakeholders to create inclusive solutions that will not only protect our environment but also strengthen our reputation as a trusted and responsible partner in global trade,” he said.
MSPO said the potential pilot initiatives under the platform include those to prepare smallholders for compliance with the European Union’s deforestation regulation, as well as benchmarking MSPO standards against the responsible sourcing requirements of global fast-moving consumer goods companies.
“The MSPO Impact Alliance will also explore innovative financing instruments linked to certification, replanting strategies that restore biodiversity and a simplified complaints and grievance mechanism designed to strengthen worker protections, including foreign workers,” it said.
MSPO chairman Haris Arshad said the alliance would ensure MSPO remains relevant, credible, and globally accepted by piloting practical initiatives and shaping policies together with its stakeholders.
“This is how we make sustainability inclusive by ensuring smallholders, workers and the industry all benefit from the journey,” he said. FMT
---------
Ministry discusses strategies to increase RI exports to EFTA countries
Jakarta (ANTARA) - Deputy Minister of Trade Dyah Roro Esti Widya Putri and Secretary General of the European Free Trade Association (EFTA) Kurt Jager discussed optimizing the utilization of the Indonesia–EFTA Comprehensive Economic Partnership Agreement (Indonesia–EFTA/IE CEPA).
During the discussion, they also discussed increasing market access for exports of Indonesia's superior products to EFTA member countries.
Putri said Indonesia is committed to boosting the utilization rate of the IE CEPA by exploring various ways to make it easier for businesses, including micro, small, and medium enterprises (MSMEs), to access its facilities.
"Indonesia is also encouraging the acceleration of the realization of tariff rate quota (TRQ) commitments, especially for palm oil products and their derivatives, through recognition of the Indonesian Sustainable Palm Oil (ISPO) standard," Putri said in a statement here on Friday.
In the meeting held in Geneva, Switzerland, Wednesday (9/17), Putri also highlighted opportunities to increase exports of MSME products, such as coffee, cocoa, and furniture to EFTA member countries.
She also appreciated the various capacity-building programs implemented to support the implementation of the IE CEPA and encouraged the expansion of similar collaborations to provide greater benefits for both parties and business actors.
She also conveyed plans to develop a more comprehensive information portal that would integrate data from Indonesian businesses and EFTA member countries.
"Currently, Indonesia has INATRADE and the FTA Center, but we see the need for a more comprehensive platform to make it easier for businesses to find trading partners and take advantage of IE CEPA facilities," she said.
On the same occasion, Jager explained that discussions on trade promotion and optimization of the IE CEPA utilization rate could be facilitated through the Joint Committee Meeting (JCM) and seminars on trade promotion.
Jager stated that efforts to optimize the utilization of the IE CEPA could be focused on specific sectors, such as textiles and footwear. Furthermore, Indonesia needs to understand the supply chain flow as a whole.
He also responded to the increasing opportunities for coffee exports for Indonesian MSMEs to EFTA member countries.
Jager said that Indonesia needs to understand market needs and determine the right time to promote these products. Kurt also encouraged Indonesia to increase foreign direct investment (FDI) to open up new business sectors.
He believes that this step needs to be accompanied by a proper understanding of the products and sectors needed by the EFTA market.
EFTA is a free trade association consisting of four European countries, namely Switzerland, Norway, Iceland, and Liechtenstein.
This association focuses on economic integration and free trade for its member countries, as well as with partner countries such as Indonesia. Antara News
---------
Indonesia promotes transition to clean, sustainable energy
Experts said developing ethanol biofuel from palm oil by-products will help Indonesia not only make the most of domestic raw materials but also strengthen its position in the global clean energy market, where demand for sustainable energy solutions is growing.
Jakarta (VNA) - The Indonesian government is turning palm oil waste, specifically empty fruit bunches (EFB), into bioethanol through a glucose extraction process to accelerate the country's energy transition.
Minister of Industry Agus Gumiwang Kartasasmita underlined the importance of multi-sectoral cooperation in realising environmentally friendly and sustainable technology, saying that it is necessary to have cross-sector synergy between the government and industry.
Andi Rizaldi, Head of the Industrial Services Standardisation and Policy Agency (BSKJI), explained that this initiative is being carried out through a partnership between the Centre for Standardisation and Agro-Industrial Services (BBSPJIA) and private company PT Toyota Motor Manufacturing Indonesia (TMMIN).
Collaborators from PT Rekayasa Industri and the Bandung Institute of Technology (ITB), strategic partners of BBSPJIA in developing renewable energy technology, are also involved, he added.
BBSPJIA head Yuni Herlina Harahap said this project is expected to promote the development of sustainable palm oil-based bioenergy technology and open opportunities for further research collaborations aimed at using biomass as an environmentally friendly energy source.
TMMIN Vice President Bob Azam noted that bioethanol derived from palm oil waste is not only an alternative energy source but also part of a circular economy, helping to reduce environmental impact while increasing the added value of the palm oil industry.
Experts said developing ethanol biofuel from palm oil by-products will help Indonesia not only make the most of domestic raw materials but also strengthen its position in the global clean energy market, where demand for sustainable energy solutions is growing. Vietnam Plus
---------
Jakarta. The Environment Ministry has disclosed that more than 200 hotels, including several in Bali, are still receiving a provisional Red rating under the Company Performance Rating Program (PROPER), indicating non-compliance with environmental regulations.
Rasio Ridho Sani, Deputy for Pollution and Environmental Damage Control at the ministry, said assessments have been carried out on 5,476 companies, with many, among them hospitality businesses in Bali, still falling short of requirements.
“Earlier, we reported that around 229 companies in the hospitality sector remain non-compliant under our provisional ranking,” Rasio said.
He explained that the Red rating is assigned to companies that fail to meet certain environmental standards. These businesses are now making efforts to address deficiencies, including filing objections, with a deadline set for Sep. 27.
According to Rasio, the rise in Red ratings this year reflects the introduction of new evaluation standards, particularly in waste management and carbon economic value. Hotels are now required to take greater responsibility for handling their waste, a pressing issue as several final disposal sites, including those in Bali, have already reached capacity.
“This is also one of the reasons some companies remain non-compliant, as the updated PROPER criteria now cover waste management,” he added.
Of the 5,476 companies assessed, the palm oil sector accounted for the largest share at 960 firms (18 percent), followed by hotels at 311 (6 percent), and textiles at 259 (5 percent).
Under PROPER, a Red rating signals poor environmental performance, showing failure to meet multiple regulations despite some remedial efforts. The lowest rating, Black, is reserved for companies that not only fail to comply but also cause pollution, while the highest ratings are Gold, Green, and Blue. Jakarta Globe
September 19, 2025
Palm Oil Overtakes Crude Petroleum As Sarawak's Leading Export
KUCHING: The palm oil plantation sector has overtaken crude petroleum as Sarawak’s leading export contributor, strengthening its position as a key driver of the state’s economy.
In 2023 alone, the palm oil industry generated RM14.3 billion, representing 10.9 per cent of Sarawak’s total export value.
Permanent Secretary to the Ministry of Food Industry, Commodities and Regional Development, Datu Sirai Daha, said this milestone demonstrates not only palm oil’s critical role in the state’s Gross Domestic Product (GDP), but also Sarawak’s reputation as a global leader in sustainable palm oil production.
“Sarawak’s palm oil exports last year reached RM14.3 billion, or 10.9 per cent of the state’s overall export value. It has now surpassed crude petroleum, which has long dominated the state’s revenue,” he said.
He made the remarks when officiating the Sarawak Oil Palm Plantation Owners Association (SOPPOA) Government Engagement Forum on Thursday.
Datu Sirai highlighted that the industry’s achievements are supported by continuous efforts from plantation companies, including Sarawak Land Consolidation and Rehabilitation Authority (SALCRA), and smallholders.
Their contributions have not only boosted production, but also spurred rural development by bringing essential infrastructure such as roads, water, electricity, and telecommunications to previously isolated areas.
“The industry is not just about economic contribution, it is a catalyst for rural transformation and improving the standard of living of local communities,” he stressed.
Datu Sirai noted that the success of the palm oil sector has motivated the state government to reinforce collaboration with stakeholders to ensure Sarawak’s industry remains competitive in international markets through sustainable practices and compliance with global standards.
“The Sarawak government, through my ministry, will continue to support this sector so it can seize downstream opportunities, meet international standards, and sustain its significant contribution to Sarawak’s economy and development,” he said.
At the same time, he acknowledged that the industry must also address challenges in meeting the requirements of international markets, such as compliance with the European Union’s Deforestation Regulation (EUDR). -UKASnews Sarawak
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Sarawak pledges stronger collaboration with palm oil industry players to sustain global competitiveness
KUCHING (Sept 19): The Sarawak government has pledged to strengthen its collaboration with industry players to ensure the palm oil sector remains both competitive and sustainable.
This commitment was underscored by the Permanent Secretary to the State Ministry of Food Industry, Commodity and Regional Development, Datu Sirai Daha, at the inaugural Sarawak Oil Palm Plantation Owners Association (Soppoa) Government Engagement Forum 2025.
Addressing attendees at the hotel event here yesterday, Sirai emphasised the industry’s critical roles as a primary driver of the state’s economy.
“The ministry recognises the vital role of the palm oil industry in Sarawak, which is too important to be left without constant dialogue and cooperation,” he said.
He highlighted the adherence to international certification standards like the Malaysian Sustainable Palm Oil (MSPO) and the Roundtable on Sustainable Palm Oil (RSPO) is now essential for maintaining access to major global markets.
He also pointed to stringent regulations like the European Union Deforestation Regulation (EUDR), which requires producers to provide clear evidence that their operations are not linked to deforestation.
“At the same time, investors and consumers are measuring performance against environmental, social and governance (ESG) benchmarks,” he added, urging producers to balance economic growth with sustainability and prioritise worker welfare.
“The government remains committed to ensuring that the industry prospers while upholding the highest standards of environmental stewardship and social responsibility,” he emphasised. The Borneo Post
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Indonesian Women Smallholders Call For Inclusive Sustainability
LONDON, Sept. 18, 2025 /PRNewswire/ -- "Forest preservation must go hand in hand with protecting smallholders' livelihood. The UK Forest Risk Commodity regulation could serve as a bridge towards fair sustainability--a bridge that not only safeguards forests but also ensures that women smallholders are not left behind," said Umi Syamsiatun, a palm oil farmer from Merangin, Jambi province of Indonesia.
Umi was one of nine Indonesian women smallholders from various regions of Indonesia who joined the Multi-Stakeholder Event on Indonesian Sustainable Commodities at the Embassy of Indonesia in London on 17 September 2025, to voice the challenges faced by smallholders in meeting global sustainability regulations.
The event, organised by the Embassy in collaboration with Efeca and supported by the Partnerships for Forests, UK International Development, and the British Chamber of Commerce, brought together women smallholders across four major Indonesian export commodities: coffee, palm oil, cocoa and rubber.
As the backbone of supply chains, smallholders are the most vulnerable to the impacts of the European Union Deforestation Regulation (EUDR) and the planned UK Forest Risk Commodity (UK FRC) regulation.
The farmers expressed their hope that the EUDR and UK FRC can serve as a solution to the challenges they face on the ground. Compliance often requires costly certification and advanced technology, with expenses reaching hundreds of millions of Indonesian Rupiah. Likewise, the EUDR's digital documentation and geolocation requirements, such as polygon maps and precise GPS points, are difficult to meet in rural areas where internet infrastructure remains a challenge.
Indonesia's Ambassador to the UK, Desra Percaya, highlighted inclusivity as a critical element in the country's sustainability journey, "Inclusivity is key in this transformation journey, which means embracing more diverse narratives of the unheard, like the smallholders, is essential" he noted.
During the dialogue, Istiqamah, a woman coffee farmer from Aceh, expressed her hopes that her community's coffee would continue to reach the UK market. "Most of my entire village depends on coffee. It is the source that allows my children to get a good education, my family to access healthcare, and for us to live with dignity," she said. Press Release Hub
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Indonesia to speed up recognition of indigenous forests
Indonesia’s Forestry Minister Raja Juli Antoni said on Thursday that the Task Force for the Acceleration of Customary Forest Designation will speed up the legal recognition of customary forests, with at least 70,000 hectares expected to be formalised by the end of 2025.
The task force is mandated to cut through bureaucratic hurdles that have long delayed recognition of indigenous land rights.
“By the end of this year, hopefully we will see an additional 70,000 hectares,” Antoni told reporters in Jakarta.
Since 2016, the government has recognised 332,000 hectares of customary forests, but at least 1.4 million hectares remain eligible, he said.
“With the task force, we hope to identify and overcome the bottlenecks. In one year we will establish new patterns, so that in the following year the process will be even faster,” he said.
“What took eight years, we may surpass in a shorter time," he added. Antara News
Palm Oil Overtakes Crude Petroleum As Sarawak's Leading Export
KUCHING: The palm oil plantation sector has overtaken crude petroleum as Sarawak’s leading export contributor, strengthening its position as a key driver of the state’s economy.
In 2023 alone, the palm oil industry generated RM14.3 billion, representing 10.9 per cent of Sarawak’s total export value.
Permanent Secretary to the Ministry of Food Industry, Commodities and Regional Development, Datu Sirai Daha, said this milestone demonstrates not only palm oil’s critical role in the state’s Gross Domestic Product (GDP), but also Sarawak’s reputation as a global leader in sustainable palm oil production.
“Sarawak’s palm oil exports last year reached RM14.3 billion, or 10.9 per cent of the state’s overall export value. It has now surpassed crude petroleum, which has long dominated the state’s revenue,” he said.
He made the remarks when officiating the Sarawak Oil Palm Plantation Owners Association (SOPPOA) Government Engagement Forum on Thursday.
Datu Sirai highlighted that the industry’s achievements are supported by continuous efforts from plantation companies, including Sarawak Land Consolidation and Rehabilitation Authority (SALCRA), and smallholders.
Their contributions have not only boosted production, but also spurred rural development by bringing essential infrastructure such as roads, water, electricity, and telecommunications to previously isolated areas.
“The industry is not just about economic contribution, it is a catalyst for rural transformation and improving the standard of living of local communities,” he stressed.
Datu Sirai noted that the success of the palm oil sector has motivated the state government to reinforce collaboration with stakeholders to ensure Sarawak’s industry remains competitive in international markets through sustainable practices and compliance with global standards.
“The Sarawak government, through my ministry, will continue to support this sector so it can seize downstream opportunities, meet international standards, and sustain its significant contribution to Sarawak’s economy and development,” he said.
At the same time, he acknowledged that the industry must also address challenges in meeting the requirements of international markets, such as compliance with the European Union’s Deforestation Regulation (EUDR). -UKASnews Sarawak
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Sarawak pledges stronger collaboration with palm oil industry players to sustain global competitiveness
KUCHING (Sept 19): The Sarawak government has pledged to strengthen its collaboration with industry players to ensure the palm oil sector remains both competitive and sustainable.
This commitment was underscored by the Permanent Secretary to the State Ministry of Food Industry, Commodity and Regional Development, Datu Sirai Daha, at the inaugural Sarawak Oil Palm Plantation Owners Association (Soppoa) Government Engagement Forum 2025.
Addressing attendees at the hotel event here yesterday, Sirai emphasised the industry’s critical roles as a primary driver of the state’s economy.
“The ministry recognises the vital role of the palm oil industry in Sarawak, which is too important to be left without constant dialogue and cooperation,” he said.
He highlighted the adherence to international certification standards like the Malaysian Sustainable Palm Oil (MSPO) and the Roundtable on Sustainable Palm Oil (RSPO) is now essential for maintaining access to major global markets.
He also pointed to stringent regulations like the European Union Deforestation Regulation (EUDR), which requires producers to provide clear evidence that their operations are not linked to deforestation.
“At the same time, investors and consumers are measuring performance against environmental, social and governance (ESG) benchmarks,” he added, urging producers to balance economic growth with sustainability and prioritise worker welfare.
“The government remains committed to ensuring that the industry prospers while upholding the highest standards of environmental stewardship and social responsibility,” he emphasised. The Borneo Post
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Indonesian Women Smallholders Call For Inclusive Sustainability
LONDON, Sept. 18, 2025 /PRNewswire/ -- "Forest preservation must go hand in hand with protecting smallholders' livelihood. The UK Forest Risk Commodity regulation could serve as a bridge towards fair sustainability--a bridge that not only safeguards forests but also ensures that women smallholders are not left behind," said Umi Syamsiatun, a palm oil farmer from Merangin, Jambi province of Indonesia.
Umi was one of nine Indonesian women smallholders from various regions of Indonesia who joined the Multi-Stakeholder Event on Indonesian Sustainable Commodities at the Embassy of Indonesia in London on 17 September 2025, to voice the challenges faced by smallholders in meeting global sustainability regulations.
The event, organised by the Embassy in collaboration with Efeca and supported by the Partnerships for Forests, UK International Development, and the British Chamber of Commerce, brought together women smallholders across four major Indonesian export commodities: coffee, palm oil, cocoa and rubber.
As the backbone of supply chains, smallholders are the most vulnerable to the impacts of the European Union Deforestation Regulation (EUDR) and the planned UK Forest Risk Commodity (UK FRC) regulation.
The farmers expressed their hope that the EUDR and UK FRC can serve as a solution to the challenges they face on the ground. Compliance often requires costly certification and advanced technology, with expenses reaching hundreds of millions of Indonesian Rupiah. Likewise, the EUDR's digital documentation and geolocation requirements, such as polygon maps and precise GPS points, are difficult to meet in rural areas where internet infrastructure remains a challenge.
Indonesia's Ambassador to the UK, Desra Percaya, highlighted inclusivity as a critical element in the country's sustainability journey, "Inclusivity is key in this transformation journey, which means embracing more diverse narratives of the unheard, like the smallholders, is essential" he noted.
During the dialogue, Istiqamah, a woman coffee farmer from Aceh, expressed her hopes that her community's coffee would continue to reach the UK market. "Most of my entire village depends on coffee. It is the source that allows my children to get a good education, my family to access healthcare, and for us to live with dignity," she said. Press Release Hub
---------
Indonesia to speed up recognition of indigenous forests
Indonesia’s Forestry Minister Raja Juli Antoni said on Thursday that the Task Force for the Acceleration of Customary Forest Designation will speed up the legal recognition of customary forests, with at least 70,000 hectares expected to be formalised by the end of 2025.
The task force is mandated to cut through bureaucratic hurdles that have long delayed recognition of indigenous land rights.
“By the end of this year, hopefully we will see an additional 70,000 hectares,” Antoni told reporters in Jakarta.
Since 2016, the government has recognised 332,000 hectares of customary forests, but at least 1.4 million hectares remain eligible, he said.
“With the task force, we hope to identify and overcome the bottlenecks. In one year we will establish new patterns, so that in the following year the process will be even faster,” he said.
“What took eight years, we may surpass in a shorter time," he added. Antara News
September 18, 2025
EU, Indonesia to sign trade pact next week in Bali, Indonesian minister says
JAKARTA, Sept 17 (Reuters) - The European Union (EU) and Indonesia have finalised a trade agreement to be signed next week in Bali island, a senior minister from the Southeast Asian nation said on Wednesday.
The signing will occur on September 23, Indonesia's senior economic minister Airlangga Hartarto told Reuters.
"We plan to sign in Bali," Airlangga said.
The Financial Times reported on Tuesday that EU Trade Commissioner Maros Sefcovic will travel to Indonesia for the signing.
The EU Trade Office did not respond to a request for comment.
U.S. President Donald Trump's import tariffs on both parties accelerated the talks.
Indonesia will get zero tariffs for 80% of its export products to the EU and the removal of non-tariff barriers, and it will increase market access for the bloc's agricultural and manufactured goods, Indonesian officials have said.
Jakarta has also expressed hope the EU could accelerate the ratification process after the signing, which would come after nine years of negotiations, so that the deal could take effect by late 2026 or 2027.
In July, European Commission President Ursula von der Leyen said a political agreement had been reached to advance the EU-Indonesia free trade deal, known as the Comprehensive Economic Partnership Agreement (CEPA). Reuters
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China-ASEAN Expo attendees eye greater cooperation to counter rising protectionism
At the 22nd China-ASEAN Expo (CAEXPO), which kicked off on Wednesday in Nanning, South China's Guangxi Zhuang Autonomous Region, exhibitors and delegates from multiple ASEAN members are seeking greater cooperation with China to help mitigate external challenges posed by rising protectionism.
"The US administration's imposition of additional tariffs is reshaping the global trade landscape," Rapolo Hutabarat, head of the Agro-Industry Department of the Indonesian Palm Oil Association, told the Global Times on Wednesday. He expressed strong hope for expanding Indonesian palm oil exports to China, noting that the expo highlights the robust trade relations between the two countries and offers unprecedented access to each other's markets.
"China, with its huge market potential and stable supply chain, is our second-largest overseas market after India. To mitigate the impact of US tariffs, we must also explore new export destinations in Africa, Central Asia and the Middle East," Hutabarat noted.
His views were echoed by others exhibitors from Vietnam, Thailand and Indonesia, among the more than 3,200 exhibitors from 60 countries attending this year's expo.
Amid global economic sluggishness and rising trade protectionism, "we are doubling down on forging a more resilient supply chain. By leveraging Guangxi's logistics strengths and Malaysia's established role as an ASEAN hub, we can jointly build a diversified, robust network that enables multilateral transport and logistics infrastructure, translating directly into lower costs and higher efficiency for businesses on both sides," Andrew Goh Boon Kim, vice-president of the Federation of Malaysian Manufacturers, told the Global Times on Wednesday.
Guangxi's position as a strategic gateway to ASEAN is more important than ever, with strong logistics and connectivity capabilities under the Belt and Road Initiative, Goh said. "We believe our collaboration can create opportunities for industries in both Malaysia and China. We should strengthen two-way trade and actively promote high-value-added products, particularly in key sectors such as agriculture and high-tech manufacturing." Global Times
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Palm oil overtakes petroleum to become Sarawak’s leading export
KUCHING, Sept 18: Sarawak’s palm oil industry raked in RM14.3 billion in 2023, accounting for 10.9 percent of the State’s total exports and surpassing crude petroleum as the State’s leading export commodity.
In a Sarawak Public Communication Unit (Ukas) news report, permanent secretary of the Ministry of Food Industry, Commodities and Regional Development Datu Sirai Daha said the achievement demonstrates the sector’s critical role in driving the State’s economy while reinforcing Sarawak’s position as a global leader in sustainable palm oil production.
“The value of Sarawak’s palm oil exports last year reached RM14.3 billion, representing 10.9 percent of the state’s total exports. In fact, it has now overtaken crude petroleum exports, which for decades dominated the State’s revenue,” he said when officiating the Sarawak Oil Palm Plantation Owners Association (SOPPOA) Government Engagement Forum at Imperial Hotel today.
He noted that the success was made possible through the continuous efforts of plantation companies, including the Sarawak Land Consolidation and Rehabilitation Authority (SALCRA), and smallholders who not only boosted output but also spurred rural development.
Their initiatives have brought vital infrastructure such as roads, water supply, electricity, and telecommunications to previously remote areas.
“This industry is not merely an economic contributor but also a catalyst for rural transformation, significantly improving the living standards of local communities,” Datu Sirai added.
He stressed that the Sarawak government remains committed to supporting the sector to seize downstream opportunities, comply with international standards, and sustain its major contribution to Sarawak’s economy and development. Dayak Daily
EU, Indonesia to sign trade pact next week in Bali, Indonesian minister says
JAKARTA, Sept 17 (Reuters) - The European Union (EU) and Indonesia have finalised a trade agreement to be signed next week in Bali island, a senior minister from the Southeast Asian nation said on Wednesday.
The signing will occur on September 23, Indonesia's senior economic minister Airlangga Hartarto told Reuters.
"We plan to sign in Bali," Airlangga said.
The Financial Times reported on Tuesday that EU Trade Commissioner Maros Sefcovic will travel to Indonesia for the signing.
The EU Trade Office did not respond to a request for comment.
U.S. President Donald Trump's import tariffs on both parties accelerated the talks.
Indonesia will get zero tariffs for 80% of its export products to the EU and the removal of non-tariff barriers, and it will increase market access for the bloc's agricultural and manufactured goods, Indonesian officials have said.
Jakarta has also expressed hope the EU could accelerate the ratification process after the signing, which would come after nine years of negotiations, so that the deal could take effect by late 2026 or 2027.
In July, European Commission President Ursula von der Leyen said a political agreement had been reached to advance the EU-Indonesia free trade deal, known as the Comprehensive Economic Partnership Agreement (CEPA). Reuters
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China-ASEAN Expo attendees eye greater cooperation to counter rising protectionism
At the 22nd China-ASEAN Expo (CAEXPO), which kicked off on Wednesday in Nanning, South China's Guangxi Zhuang Autonomous Region, exhibitors and delegates from multiple ASEAN members are seeking greater cooperation with China to help mitigate external challenges posed by rising protectionism.
"The US administration's imposition of additional tariffs is reshaping the global trade landscape," Rapolo Hutabarat, head of the Agro-Industry Department of the Indonesian Palm Oil Association, told the Global Times on Wednesday. He expressed strong hope for expanding Indonesian palm oil exports to China, noting that the expo highlights the robust trade relations between the two countries and offers unprecedented access to each other's markets.
"China, with its huge market potential and stable supply chain, is our second-largest overseas market after India. To mitigate the impact of US tariffs, we must also explore new export destinations in Africa, Central Asia and the Middle East," Hutabarat noted.
His views were echoed by others exhibitors from Vietnam, Thailand and Indonesia, among the more than 3,200 exhibitors from 60 countries attending this year's expo.
Amid global economic sluggishness and rising trade protectionism, "we are doubling down on forging a more resilient supply chain. By leveraging Guangxi's logistics strengths and Malaysia's established role as an ASEAN hub, we can jointly build a diversified, robust network that enables multilateral transport and logistics infrastructure, translating directly into lower costs and higher efficiency for businesses on both sides," Andrew Goh Boon Kim, vice-president of the Federation of Malaysian Manufacturers, told the Global Times on Wednesday.
Guangxi's position as a strategic gateway to ASEAN is more important than ever, with strong logistics and connectivity capabilities under the Belt and Road Initiative, Goh said. "We believe our collaboration can create opportunities for industries in both Malaysia and China. We should strengthen two-way trade and actively promote high-value-added products, particularly in key sectors such as agriculture and high-tech manufacturing." Global Times
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Palm oil overtakes petroleum to become Sarawak’s leading export
KUCHING, Sept 18: Sarawak’s palm oil industry raked in RM14.3 billion in 2023, accounting for 10.9 percent of the State’s total exports and surpassing crude petroleum as the State’s leading export commodity.
In a Sarawak Public Communication Unit (Ukas) news report, permanent secretary of the Ministry of Food Industry, Commodities and Regional Development Datu Sirai Daha said the achievement demonstrates the sector’s critical role in driving the State’s economy while reinforcing Sarawak’s position as a global leader in sustainable palm oil production.
“The value of Sarawak’s palm oil exports last year reached RM14.3 billion, representing 10.9 percent of the state’s total exports. In fact, it has now overtaken crude petroleum exports, which for decades dominated the State’s revenue,” he said when officiating the Sarawak Oil Palm Plantation Owners Association (SOPPOA) Government Engagement Forum at Imperial Hotel today.
He noted that the success was made possible through the continuous efforts of plantation companies, including the Sarawak Land Consolidation and Rehabilitation Authority (SALCRA), and smallholders who not only boosted output but also spurred rural development.
Their initiatives have brought vital infrastructure such as roads, water supply, electricity, and telecommunications to previously remote areas.
“This industry is not merely an economic contributor but also a catalyst for rural transformation, significantly improving the living standards of local communities,” Datu Sirai added.
He stressed that the Sarawak government remains committed to supporting the sector to seize downstream opportunities, comply with international standards, and sustain its major contribution to Sarawak’s economy and development. Dayak Daily
September 17, 2025
EU and Indonesia agree to a trade deal to reduce reliance on America
Brussels and Jakarta to sign pact next week as they seek to reduce reliance on US
The EU and Indonesia have concluded talks on a trade deal and plan to sign it next week as they accelerate efforts to reduce their dependence on China and the US.
European trade commissioner Maroš Šefčovič is scheduled to travel to Indonesia to ink the agreement on September 23, according to officials in Brussels and Jakarta.
US President Donald Trump’s import tariffs on both accelerated the talks. Washington has forced Jakarta to accept a 19 per cent rate across the board and Brussels to agree to a 15 per cent rate on most products.
Indonesia, a fast-growing economy of almost 300mn people, is a top priority for the EU. It has a growing consumer market and big reserves of raw materials vital for the green industrial transition.
The bloc is Indonesia’s fifth-largest trading partner, with trade between the two reaching about $30bn last year.
Jakarta has said the agreement will grant 80 per cent of Indonesia’s export commodities a zero per cent tariff within one to two years of its implementation.
Indonesia is a resource-rich country, and the world’s top exporter of palm oil and nickel, which is critical to the production of electric vehicle batteries.
Airlangga Hartarto, Indonesia’s coordinating minister for economic affairs, said earlier this month that the agreement should be signed on 23 September, according to state-run news agency Antara.
Negotiations between the EU and Indonesia, south-east Asia’s largest economy, have been ongoing for nine years. Indonesia has cited the complexity of the agreement as the reason the talks dragged on so long.
Indonesia expects commodities to benefit from the agreement including palm oil, fatty acids, copper ore and footwear.
Indonesia will lower tariffs on EU industrial and agricultural exports such as cars and machinery.
Ursula von der Leyen, European Commission president, called for a swift deal in July after meeting President Prabowo Subianto of Indonesia.
“The agreement will open new markets and create more opportunities for our businesses. It will also help strengthen the supply chains of critical raw materials, essential for Europe’s clean tech and steel industry,” she said.
The deal should also encourage European investment in Indonesia, where Chinese companies dominate the steel and mining industry.
The agreement includes a commitment to the 2015 Paris agreement to cut carbon emissions, as well as other environmental and labour protections.
However, tensions remain over EU unilateral green polices. Jakarta is still asking for relief from a deforestation law that will take effect at the end of the year. Palm oil plantations will have to prove they are not occupying recently deforested land and the Indonesian government says small farmers will struggle to comply with the paperwork.
The two are also locked in disputes at the World Trade Organization. The EU has complained about Indonesia’s nickel export restrictions. Indonesia recently won a victory against countervailing EU duties on its biofuels.
The EU concluded a deal with the Mercosur bloc in South America in December and is in talks with several other countries including India, Malaysia, the Philippines and Australia. FT
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Benue state teams up with Chinese investors on Gov Alia Palm Project to Revive Oil Palm production
A delegation of Chinese investors has announced plans to work with the Benue State Government on the Alia Palm Project, a large-scale initiative aimed at revitalizing the state’s oil palm industry.
The group praised Benue’s fertile land and favourable climate, saying their experience in agro-industrial ventures across Asia and Africa would help ensure the project’s success.
Governor Hyacinth Alia, represented by his Special Adviser on Foreign Investment, Hon. Addingi Alex, confirmed that talks with the investors have been encouraging.
The partnership will cover extensive oil palm plantations, modern processing plants and full value-chain development to create jobs, raise revenue and empower local farmers.
Alia assured that Benue will provide land, infrastructure and investor-friendly policies while safeguarding local communities.
Plans also include high-yield nurseries and farmer training in modern cultivation methods moves experts say could position Benue among Nigeria’s top palm oil producers. Daily PostNG
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Special Report: No blanket extension for 3-MCPDE licensing, only case-by-case leeway
THE Malaysian Palm Oil Board (MPOB) will enforce licensing requirements to curb 3-monochloropropanediol ester (3-MCPDE) and glycidyl fatty acid esters (GE) in palm oil sold domestically from January 2026. No blanket extensions will be given, says director general Datuk Dr Ahmad Parveez Ghulam Kadir, but refineries may apply for more time if they show evidence that they are making progress towards meeting the requirement.
He explains that refineries that are in the process of procuring equipment or upgrading facilities may submit a written request to MPOB by Oct 31. Monthly progress reports must be provided as evidence of ongoing commitment until the required facilities are operational and capable of producing palm oil with reduced 3-MCPDE and GE levels. Approvals for such requests will be determined on a case-by-case basis.
“For us, the most important thing is that companies that have not complied must make sure they tell us when they can do so. They must also show effort that they have already started — for example, clearing the land, getting quotations, maybe appointing the contractor. They must give us proof that they have started the process of complying.
“The whole process will be on a case-by-case basis. We will approve each refinery individually. If they need, for example, 1½ years from the day they appoint the contractor to be ready, then they will need 1½ years. Those that supply a lot to the local market may need more time. So I said, ‘Okay, how long do you need? You prove it to me. What are you going to do?’” Ahmad Parveez tells The Edge in an interview.
“But the only thing is, I cannot force everybody to start on Jan 1, 2026, because many are not ready. And if they say they are not ready, they cannot supply. So what will happen to the Malaysian supply? That’s why a compromise is needed. That’s why now I have to do this [to achieve] the best win-win situation. At least now I can say most of them are willing. They are investing in crude palm oil (CPO) washing,” he adds.
3-MCPDE and GE are contaminants formed during the high-temperature refining of edible oils and fats. The contaminants drew global attention after the European Food Safety Authority (EFSA) released a 2016 report warning of potential health risks.
To address this, MPOB has capped 3-MCPDE levels in palm oil at 2.5 parts per million (ppm). While technologies exist to lower the contaminant, industry adoption has proven difficult due to cost and operational challenges. At present, CPO washing remains the most widely used method for reducing 3-MCPDE, whether carried out at mills or refineries.
The regulation was delayed after just 24% of refineries were found to be ready, Ahmad Parveez says. MPOB subsequently extended the grace period until Dec 31 to allow the industry more time to comply. The EdgeMY
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Del Llano Farms™ Achieves Seed Oil Free Certification
SCOTTSDALE, Ariz.--(BUSINESS WIRE)--Del Llano Farms™, a third-generation regenerative farm and leading producer of seedless tropical oils, has been officially certified by the Seed Oil Free Alliance. This milestone marks the introduction of the world’s first Tropical High Oleic™ Seedless Fruit Oil, free from canola, soybean, sunflower, safflower, corn, grapeseed, and all industrial seed oils.
The Seed Oil Free Certified™ designation covers Del Llano Farms™, flagship products including Tropical High Oleic™ Fruit Palm Olein, Red NOLI High Oleic™ Palm Olein, Ahhh Love Oil™ 10L, and Udter Butter™ – Golden Butter Pan & Grill 10L. Del Llano Farms™ Seedless Oils underwent comprehensive third-party testing, verifying they are seed-oil-free and meet international benchmarks for safety, authenticity, and high-heat stability.
“We call it the Red Olive of the Tropics™, the first High Oleic Fruit Oil that outperforms seed oils in every way,” said Roberto Herrera, CEO of Del Llano Farms. “We’re ready to partner with food companies, ingredient innovators, and chefs to build healthier, more sustainable products together.”
Del Llano Farms™, Tropical High Oleic™ Fruit Palm Olein is a unique category leader in health, performance, and sustainability. With a smoke point above 450°F (232°C), it surpasses olive, canola, and avocado oils, making it the cleanest and safest non-seed oil for high-heat cooking and frying. Rich in oleic acid, Vitamin E, and high in Beta carotene, it offers superior frying performance and sustainability, yielding 10–11 tons of oil per hectare annually.
“We are excited to certify Del Llano Farms™ because it represents exactly what this movement is about, radical transparency, integrity in sourcing, and healthier options for home cooks and chefs,” said Jonathan Rubin, CEO and founder of the Seed Oil Free Alliance. Business Wire
EU and Indonesia agree to a trade deal to reduce reliance on America
Brussels and Jakarta to sign pact next week as they seek to reduce reliance on US
The EU and Indonesia have concluded talks on a trade deal and plan to sign it next week as they accelerate efforts to reduce their dependence on China and the US.
European trade commissioner Maroš Šefčovič is scheduled to travel to Indonesia to ink the agreement on September 23, according to officials in Brussels and Jakarta.
US President Donald Trump’s import tariffs on both accelerated the talks. Washington has forced Jakarta to accept a 19 per cent rate across the board and Brussels to agree to a 15 per cent rate on most products.
Indonesia, a fast-growing economy of almost 300mn people, is a top priority for the EU. It has a growing consumer market and big reserves of raw materials vital for the green industrial transition.
The bloc is Indonesia’s fifth-largest trading partner, with trade between the two reaching about $30bn last year.
Jakarta has said the agreement will grant 80 per cent of Indonesia’s export commodities a zero per cent tariff within one to two years of its implementation.
Indonesia is a resource-rich country, and the world’s top exporter of palm oil and nickel, which is critical to the production of electric vehicle batteries.
Airlangga Hartarto, Indonesia’s coordinating minister for economic affairs, said earlier this month that the agreement should be signed on 23 September, according to state-run news agency Antara.
Negotiations between the EU and Indonesia, south-east Asia’s largest economy, have been ongoing for nine years. Indonesia has cited the complexity of the agreement as the reason the talks dragged on so long.
Indonesia expects commodities to benefit from the agreement including palm oil, fatty acids, copper ore and footwear.
Indonesia will lower tariffs on EU industrial and agricultural exports such as cars and machinery.
Ursula von der Leyen, European Commission president, called for a swift deal in July after meeting President Prabowo Subianto of Indonesia.
“The agreement will open new markets and create more opportunities for our businesses. It will also help strengthen the supply chains of critical raw materials, essential for Europe’s clean tech and steel industry,” she said.
The deal should also encourage European investment in Indonesia, where Chinese companies dominate the steel and mining industry.
The agreement includes a commitment to the 2015 Paris agreement to cut carbon emissions, as well as other environmental and labour protections.
However, tensions remain over EU unilateral green polices. Jakarta is still asking for relief from a deforestation law that will take effect at the end of the year. Palm oil plantations will have to prove they are not occupying recently deforested land and the Indonesian government says small farmers will struggle to comply with the paperwork.
The two are also locked in disputes at the World Trade Organization. The EU has complained about Indonesia’s nickel export restrictions. Indonesia recently won a victory against countervailing EU duties on its biofuels.
The EU concluded a deal with the Mercosur bloc in South America in December and is in talks with several other countries including India, Malaysia, the Philippines and Australia. FT
---------
Benue state teams up with Chinese investors on Gov Alia Palm Project to Revive Oil Palm production
A delegation of Chinese investors has announced plans to work with the Benue State Government on the Alia Palm Project, a large-scale initiative aimed at revitalizing the state’s oil palm industry.
The group praised Benue’s fertile land and favourable climate, saying their experience in agro-industrial ventures across Asia and Africa would help ensure the project’s success.
Governor Hyacinth Alia, represented by his Special Adviser on Foreign Investment, Hon. Addingi Alex, confirmed that talks with the investors have been encouraging.
The partnership will cover extensive oil palm plantations, modern processing plants and full value-chain development to create jobs, raise revenue and empower local farmers.
Alia assured that Benue will provide land, infrastructure and investor-friendly policies while safeguarding local communities.
Plans also include high-yield nurseries and farmer training in modern cultivation methods moves experts say could position Benue among Nigeria’s top palm oil producers. Daily PostNG
---------
Special Report: No blanket extension for 3-MCPDE licensing, only case-by-case leeway
THE Malaysian Palm Oil Board (MPOB) will enforce licensing requirements to curb 3-monochloropropanediol ester (3-MCPDE) and glycidyl fatty acid esters (GE) in palm oil sold domestically from January 2026. No blanket extensions will be given, says director general Datuk Dr Ahmad Parveez Ghulam Kadir, but refineries may apply for more time if they show evidence that they are making progress towards meeting the requirement.
He explains that refineries that are in the process of procuring equipment or upgrading facilities may submit a written request to MPOB by Oct 31. Monthly progress reports must be provided as evidence of ongoing commitment until the required facilities are operational and capable of producing palm oil with reduced 3-MCPDE and GE levels. Approvals for such requests will be determined on a case-by-case basis.
“For us, the most important thing is that companies that have not complied must make sure they tell us when they can do so. They must also show effort that they have already started — for example, clearing the land, getting quotations, maybe appointing the contractor. They must give us proof that they have started the process of complying.
“The whole process will be on a case-by-case basis. We will approve each refinery individually. If they need, for example, 1½ years from the day they appoint the contractor to be ready, then they will need 1½ years. Those that supply a lot to the local market may need more time. So I said, ‘Okay, how long do you need? You prove it to me. What are you going to do?’” Ahmad Parveez tells The Edge in an interview.
“But the only thing is, I cannot force everybody to start on Jan 1, 2026, because many are not ready. And if they say they are not ready, they cannot supply. So what will happen to the Malaysian supply? That’s why a compromise is needed. That’s why now I have to do this [to achieve] the best win-win situation. At least now I can say most of them are willing. They are investing in crude palm oil (CPO) washing,” he adds.
3-MCPDE and GE are contaminants formed during the high-temperature refining of edible oils and fats. The contaminants drew global attention after the European Food Safety Authority (EFSA) released a 2016 report warning of potential health risks.
To address this, MPOB has capped 3-MCPDE levels in palm oil at 2.5 parts per million (ppm). While technologies exist to lower the contaminant, industry adoption has proven difficult due to cost and operational challenges. At present, CPO washing remains the most widely used method for reducing 3-MCPDE, whether carried out at mills or refineries.
The regulation was delayed after just 24% of refineries were found to be ready, Ahmad Parveez says. MPOB subsequently extended the grace period until Dec 31 to allow the industry more time to comply. The EdgeMY
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Del Llano Farms™ Achieves Seed Oil Free Certification
SCOTTSDALE, Ariz.--(BUSINESS WIRE)--Del Llano Farms™, a third-generation regenerative farm and leading producer of seedless tropical oils, has been officially certified by the Seed Oil Free Alliance. This milestone marks the introduction of the world’s first Tropical High Oleic™ Seedless Fruit Oil, free from canola, soybean, sunflower, safflower, corn, grapeseed, and all industrial seed oils.
The Seed Oil Free Certified™ designation covers Del Llano Farms™, flagship products including Tropical High Oleic™ Fruit Palm Olein, Red NOLI High Oleic™ Palm Olein, Ahhh Love Oil™ 10L, and Udter Butter™ – Golden Butter Pan & Grill 10L. Del Llano Farms™ Seedless Oils underwent comprehensive third-party testing, verifying they are seed-oil-free and meet international benchmarks for safety, authenticity, and high-heat stability.
“We call it the Red Olive of the Tropics™, the first High Oleic Fruit Oil that outperforms seed oils in every way,” said Roberto Herrera, CEO of Del Llano Farms. “We’re ready to partner with food companies, ingredient innovators, and chefs to build healthier, more sustainable products together.”
Del Llano Farms™, Tropical High Oleic™ Fruit Palm Olein is a unique category leader in health, performance, and sustainability. With a smoke point above 450°F (232°C), it surpasses olive, canola, and avocado oils, making it the cleanest and safest non-seed oil for high-heat cooking and frying. Rich in oleic acid, Vitamin E, and high in Beta carotene, it offers superior frying performance and sustainability, yielding 10–11 tons of oil per hectare annually.
“We are excited to certify Del Llano Farms™ because it represents exactly what this movement is about, radical transparency, integrity in sourcing, and healthier options for home cooks and chefs,” said Jonathan Rubin, CEO and founder of the Seed Oil Free Alliance. Business Wire
September 16, 2025
Indonesia urges EU support on deforestation rules
Brussels and Jakarta are expected to conclude a free trade agreement in Indonesia next week
Indonesia still has major concerns over the EU’s anti-deforestation rules and their impact on smallholder farmers – even as ties between Jakarta and Brussels reach a high point ahead of next week’s signature of a trade and political deal.
Indonesia is a leading producer of cocoa, palm oil, coffee, and rubber – all covered by the EU’s anti-deforestation regulation (EUDR), which takes effect on 30 December. The rules will require companies to prove, using geolocation data, that products sold on the EU market do not come from deforested land.
Jakarta fears the burden will fall disproportionately on its nearly eight million smallholder farmers. Officials are stepping up pressure on the European Commission to provide more support for implementation.
“EUDR is there, and there’s nothing we can do about it. Even if we wanted to revise it, this is a regulation that we have to comply with,” said Erma Rheindrayani, director for Americas and Europe at Indonesia’s Foreign Affairs Ministry, speaking at an embassy event on Monday. She stressed that the focus must now be on “implementation, so smallholders don’t suffer.”
Febriani Sumbung, a cocoa farmer from West Papua who leads a cooperative of 170 producers, warned of heavy costs. “We recently tried to map out polygons. It cost thousands of dollars – and even then, not all farmers were included,” she said.
A delegation of nine female smallholders, accompanied by Indonesian officials, will raise the issue today directly with EU officials at the Commission’s environment (DG ENV) and international partnerships (DG INTPA) directorates.
Indonesian diplomats said they are not asking for a formal delay to the rules and underlined that no concessions on EUDR are foreseen in the EU-Indonesia Comprehensive Economic Partnership Agreement (CEPA). “At the moment no, but we are hoping for that,” one diplomat said.
According to the diplomats, some palm oil buyers are already shifting to Malaysia – the world’s second-largest palm oil producer – where meeting geolocation requirements is seen as easier.
Brussels and Jakarta are expected to conclude CEPA in Indonesia on 23 September, though the host city has yet to be confirmed, according to multiple sources. Euractiv
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Indonesia develops bioethanol from palm oil waste for energy swift
Jakarta (ANTARA) - The Indonesian government is turning palm oil waste, specifically empty fruit bunches (EFB), into bioethanol through a glucose extraction process to accelerate the country's energy transition.
Industry Minister Agus Gumiwang Kartasasmita said that collaboration is key to realizing environmentally friendly and sustainable technology.
"We need cross-sector synergy between the government and industry," he said in a statement issued on Tuesday.
Andi Rizaldi, Head of the Industrial Services Standardization and Policy Agency (BSKJI), explained that this initiative is being carried out through a partnership between the Center for Standardization and Agro-Industrial Services (BBSPJIA) and private company PT Toyota Motor Manufacturing Indonesia (TMMIN).
Collaborators from PT Rekayasa Industri and the Bandung Institute of Technology (ITB), strategic partners of BBSPJIA in developing renewable energy technology, are also involved, he added.
"We are committed to supporting the development of standardization and industrial services that can drive the industrial sector toward greater competitiveness and environmental sustainability," Rizaldi said.
He added that BBSPJIA plays a crucial role as a technical institution focused on converting agro-industrial waste into valuable products. Using its EFB Fractionation Pilot Plant, the agency can transform EFB waste into bioethanol, glucose, xylose, lignin, and other derivatives.
BBSPJIA head Yuni Herlina Harahap highlighted that the pilot plant serves as a research and development platform to support the industry in producing renewable energy from palm oil waste, which has long been underutilized.
"This project is expected to promote the development of sustainable palm oil-based bioenergy technology and open opportunities for further research collaborations aimed at using biomass as an environmentally friendly energy source," she said.
All parties involved have agreed to explore collaboration opportunities that contribute to national technological advancement and strengthen Indonesia’s position in the global clean energy market.
TMMIN Vice President Bob Azam noted that bioethanol derived from palm oil waste is not only an alternative energy source but also part of a circular economy, helping to reduce environmental impact while increasing the added value of the palm oil industry.
"We appreciate BBSPJIA's role as a research institution in providing real technological solutions and innovations to tackle future energy challenges," he added. Antara News
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PTPN IV to build first biomethane gas factory from palm oil waste in Simalungun
JAKARTA The construction of the first compressed Biometan Gas Plant (CBG) in Indonesia that utilizes liquid waste from the oil palm mill has officially started.
The project, which was initiated by PT Perkebunan Nusantara IV PalmCo, sub-holding plantations under PTPN III Persero, is expected to be an important milestone in the development of renewable energy from palm oil commodities.
The laying of the CBG factory's first stone at the Tinjowan Palm Oil Factory (PKS), Simalungun, took place last weekend. This factory is the result of a collaboration between PalmCo and PT reNIKOLA Primary Energy, a green energy company from Malaysia.
PalmCo President Director, Jatmiko K. Santosa, said this project is a big milestone for companies in implementing palm oil-based green energy solutions.
"With a production capacity of around 162,000 MMBTU per year, the Tinjowan CBG plant has the potential to reduce carbon emissions to 30,000 tons of CO2 each year, equivalent to the emissions of thousands of motorized vehicles," said Jatmiko in his statement, Monday, September 15.
Jatmiko said that the biometan gas produced comes from processing Palm Oil Mill Effluent (POME), liquid waste has been an environmental challenge for the palm oil industry. Through the purification process, biogas is transformed into a quality biometan equivalent to natural gas.
"This is also an example of circular economic practice, converting waste into clean energy with economic value," he said.
This factory with a strategic investment value is scheduled to be completed in 14 months and will start full operation in the fourth quarter of 2026. The net energy generated will be supplied to PT Pertagas Niaga (PTGN), a subsidiary of Pertamina Gas Negara (PGN), with a 10 year sale and purchase contract scheme and a Build-Own-Operate-Transfer (BOOT) model.
Jatmiko said this step is in line with the PalmCo decarbonization roadmap which targets an emission reduction of up to 54.46 percent of the business scenario as usual (business as usual) until 2030.
\PalmCo itself has already developed new renewable energy through biogas from palm oil waste, starting in 2019 using Palm Oil Mill Effluent from palm oil factories in Riau.
"The groundbreaking of the CBG factory is a starting point to expand similar programs to 20 other factories under PalmCo," said Jatmiko. VOI
Indonesia urges EU support on deforestation rules
Brussels and Jakarta are expected to conclude a free trade agreement in Indonesia next week
Indonesia still has major concerns over the EU’s anti-deforestation rules and their impact on smallholder farmers – even as ties between Jakarta and Brussels reach a high point ahead of next week’s signature of a trade and political deal.
Indonesia is a leading producer of cocoa, palm oil, coffee, and rubber – all covered by the EU’s anti-deforestation regulation (EUDR), which takes effect on 30 December. The rules will require companies to prove, using geolocation data, that products sold on the EU market do not come from deforested land.
Jakarta fears the burden will fall disproportionately on its nearly eight million smallholder farmers. Officials are stepping up pressure on the European Commission to provide more support for implementation.
“EUDR is there, and there’s nothing we can do about it. Even if we wanted to revise it, this is a regulation that we have to comply with,” said Erma Rheindrayani, director for Americas and Europe at Indonesia’s Foreign Affairs Ministry, speaking at an embassy event on Monday. She stressed that the focus must now be on “implementation, so smallholders don’t suffer.”
Febriani Sumbung, a cocoa farmer from West Papua who leads a cooperative of 170 producers, warned of heavy costs. “We recently tried to map out polygons. It cost thousands of dollars – and even then, not all farmers were included,” she said.
A delegation of nine female smallholders, accompanied by Indonesian officials, will raise the issue today directly with EU officials at the Commission’s environment (DG ENV) and international partnerships (DG INTPA) directorates.
Indonesian diplomats said they are not asking for a formal delay to the rules and underlined that no concessions on EUDR are foreseen in the EU-Indonesia Comprehensive Economic Partnership Agreement (CEPA). “At the moment no, but we are hoping for that,” one diplomat said.
According to the diplomats, some palm oil buyers are already shifting to Malaysia – the world’s second-largest palm oil producer – where meeting geolocation requirements is seen as easier.
Brussels and Jakarta are expected to conclude CEPA in Indonesia on 23 September, though the host city has yet to be confirmed, according to multiple sources. Euractiv
---------
Indonesia develops bioethanol from palm oil waste for energy swift
Jakarta (ANTARA) - The Indonesian government is turning palm oil waste, specifically empty fruit bunches (EFB), into bioethanol through a glucose extraction process to accelerate the country's energy transition.
Industry Minister Agus Gumiwang Kartasasmita said that collaboration is key to realizing environmentally friendly and sustainable technology.
"We need cross-sector synergy between the government and industry," he said in a statement issued on Tuesday.
Andi Rizaldi, Head of the Industrial Services Standardization and Policy Agency (BSKJI), explained that this initiative is being carried out through a partnership between the Center for Standardization and Agro-Industrial Services (BBSPJIA) and private company PT Toyota Motor Manufacturing Indonesia (TMMIN).
Collaborators from PT Rekayasa Industri and the Bandung Institute of Technology (ITB), strategic partners of BBSPJIA in developing renewable energy technology, are also involved, he added.
"We are committed to supporting the development of standardization and industrial services that can drive the industrial sector toward greater competitiveness and environmental sustainability," Rizaldi said.
He added that BBSPJIA plays a crucial role as a technical institution focused on converting agro-industrial waste into valuable products. Using its EFB Fractionation Pilot Plant, the agency can transform EFB waste into bioethanol, glucose, xylose, lignin, and other derivatives.
BBSPJIA head Yuni Herlina Harahap highlighted that the pilot plant serves as a research and development platform to support the industry in producing renewable energy from palm oil waste, which has long been underutilized.
"This project is expected to promote the development of sustainable palm oil-based bioenergy technology and open opportunities for further research collaborations aimed at using biomass as an environmentally friendly energy source," she said.
All parties involved have agreed to explore collaboration opportunities that contribute to national technological advancement and strengthen Indonesia’s position in the global clean energy market.
TMMIN Vice President Bob Azam noted that bioethanol derived from palm oil waste is not only an alternative energy source but also part of a circular economy, helping to reduce environmental impact while increasing the added value of the palm oil industry.
"We appreciate BBSPJIA's role as a research institution in providing real technological solutions and innovations to tackle future energy challenges," he added. Antara News
---------
PTPN IV to build first biomethane gas factory from palm oil waste in Simalungun
JAKARTA The construction of the first compressed Biometan Gas Plant (CBG) in Indonesia that utilizes liquid waste from the oil palm mill has officially started.
The project, which was initiated by PT Perkebunan Nusantara IV PalmCo, sub-holding plantations under PTPN III Persero, is expected to be an important milestone in the development of renewable energy from palm oil commodities.
The laying of the CBG factory's first stone at the Tinjowan Palm Oil Factory (PKS), Simalungun, took place last weekend. This factory is the result of a collaboration between PalmCo and PT reNIKOLA Primary Energy, a green energy company from Malaysia.
PalmCo President Director, Jatmiko K. Santosa, said this project is a big milestone for companies in implementing palm oil-based green energy solutions.
"With a production capacity of around 162,000 MMBTU per year, the Tinjowan CBG plant has the potential to reduce carbon emissions to 30,000 tons of CO2 each year, equivalent to the emissions of thousands of motorized vehicles," said Jatmiko in his statement, Monday, September 15.
Jatmiko said that the biometan gas produced comes from processing Palm Oil Mill Effluent (POME), liquid waste has been an environmental challenge for the palm oil industry. Through the purification process, biogas is transformed into a quality biometan equivalent to natural gas.
"This is also an example of circular economic practice, converting waste into clean energy with economic value," he said.
This factory with a strategic investment value is scheduled to be completed in 14 months and will start full operation in the fourth quarter of 2026. The net energy generated will be supplied to PT Pertagas Niaga (PTGN), a subsidiary of Pertamina Gas Negara (PGN), with a 10 year sale and purchase contract scheme and a Build-Own-Operate-Transfer (BOOT) model.
Jatmiko said this step is in line with the PalmCo decarbonization roadmap which targets an emission reduction of up to 54.46 percent of the business scenario as usual (business as usual) until 2030.
\PalmCo itself has already developed new renewable energy through biogas from palm oil waste, starting in 2019 using Palm Oil Mill Effluent from palm oil factories in Riau.
"The groundbreaking of the CBG factory is a starting point to expand similar programs to 20 other factories under PalmCo," said Jatmiko. VOI
September 15, 2025
India's August palm oil imports hit 1-year high on festive demand, price advantage
MUMBAI, Sept 15 (Reuters) - India's palm oil imports jumped in August to their highest level in more than a year, as competitive pricing relative to soyoil prompted refiners to step up purchases ahead of the festive season, a leading trade body said on Monday.
Higher palm oil imports by India, the world's largest buyer of vegetable oils, are expected to help top producers Indonesia and Malaysia reduce inventories and support benchmark Malaysian palm oil futures.
India's palm oil imports in August rose 15.76% to 990,528 metric tons, reaching their highest point since July 2024, the Solvent Extractors' Association of India (SEA) said.
Imports of soyoil decreased 25.27% to 367,917 tons, the lowest level in four months, and sunflower oil imports rose 28.53% to a seven-month high of 257,080 tons, the industry trade body said.
In August, India imported 6,000 tons of canola oil for the first time in nearly five years, the SEA said. Reuters
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Indonesia increases palm oil exports by 69% in July
In Ukraine, UkrAgroConsult reported that In July, Indonesia exported 2.99 million tons of palm oil, up 69% from last year (1.77 million tons), but slightly below June (3.04 million tons), according to analysts at Oil World.
The country’s main exports were to India – 655 thousand tons, of which 621 thousand tons were crude palm oil, as well as to China – 388 thousand tons, Pakistan – 361 thousand tons, and the EU – 194 thousand tons.
According to the Central Bureau of Statistics of Indonesia, from January to July, the country exported 13.64 million tons of unrefined and refined oil, up 10.95% from a year earlier. Biofuels Digest
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EU nod to MSPO tightens Malaysia's grip on palm oil market
KUALA LUMPUR: The European Union's (EU) nod to the Malaysian Sustainable Palm Oil (MSPO) certification has given Malaysia a shot in the arm in its trade talks with the bloc.
Economists say the green light tightens Malaysia's grip on the European market, putting a valuable market more firmly in play.
Doris Liew, who specialises in Southeast Asian development, said EU policies had long clouded prospects for Malaysia's palm oil industry.
"This has forced us to diversify aggressively into alternative markets including India, China, and the Middle East.
"Now, with MSPO accepted as a credible pathway for compliance, one of the world's largest and most value-driven markets is firmly back within reach," she told Business Times.
Eurocham Malaysia chief executive officer Karl Godderis said EU businesses welcomed the MSPO recognition, but stressed that palm-oil products formed only a small share of Malaysia's exports to the EU.
"Malaysia exports €24 billion (about RM118.45 billion) worth of goods to the EU, of which palm-oil related products are less than €2 billion (RM9.87 billion).
"We remain focused on an overall free trade agreement (FTA) agreement that allows the total export potential to grow significantly," he said.
Asked whether Malaysia's "standard risk" classification under the EU Deforestation Regulation (EUDR) should change following the MSPO recognition, Godderis said he was "not an expert on classification criteria". Pressed for a general view, he replied: "No opinion".
The EU remains the single largest structured market for palm oil, with revenues worth US$6.6 (about RM27.75 billion) billion in 2023.
It is projected to expand at nearly five per cent annually to 2030, reaching over US$9 billion (RM37.84 billion).
Liew said buyers in Europe demand credible, traceable and deforestation-free supply.
"With MSPO now aligned with EU expectations, Malaysia is positioned to compete on quality and compliance, not just cost. Business Times
India's August palm oil imports hit 1-year high on festive demand, price advantage
- Summary
- Palm oil imports rise 15.8% m/m to 990,528 tons
- Soyoil imports fall 25.3% m/m to 367,917 tons
- Sunflower oil imports rise 28.5% m/m to 257,080 tons
MUMBAI, Sept 15 (Reuters) - India's palm oil imports jumped in August to their highest level in more than a year, as competitive pricing relative to soyoil prompted refiners to step up purchases ahead of the festive season, a leading trade body said on Monday.
Higher palm oil imports by India, the world's largest buyer of vegetable oils, are expected to help top producers Indonesia and Malaysia reduce inventories and support benchmark Malaysian palm oil futures.
India's palm oil imports in August rose 15.76% to 990,528 metric tons, reaching their highest point since July 2024, the Solvent Extractors' Association of India (SEA) said.
Imports of soyoil decreased 25.27% to 367,917 tons, the lowest level in four months, and sunflower oil imports rose 28.53% to a seven-month high of 257,080 tons, the industry trade body said.
In August, India imported 6,000 tons of canola oil for the first time in nearly five years, the SEA said. Reuters
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Indonesia increases palm oil exports by 69% in July
In Ukraine, UkrAgroConsult reported that In July, Indonesia exported 2.99 million tons of palm oil, up 69% from last year (1.77 million tons), but slightly below June (3.04 million tons), according to analysts at Oil World.
The country’s main exports were to India – 655 thousand tons, of which 621 thousand tons were crude palm oil, as well as to China – 388 thousand tons, Pakistan – 361 thousand tons, and the EU – 194 thousand tons.
According to the Central Bureau of Statistics of Indonesia, from January to July, the country exported 13.64 million tons of unrefined and refined oil, up 10.95% from a year earlier. Biofuels Digest
---------
EU nod to MSPO tightens Malaysia's grip on palm oil market
KUALA LUMPUR: The European Union's (EU) nod to the Malaysian Sustainable Palm Oil (MSPO) certification has given Malaysia a shot in the arm in its trade talks with the bloc.
Economists say the green light tightens Malaysia's grip on the European market, putting a valuable market more firmly in play.
Doris Liew, who specialises in Southeast Asian development, said EU policies had long clouded prospects for Malaysia's palm oil industry.
"This has forced us to diversify aggressively into alternative markets including India, China, and the Middle East.
"Now, with MSPO accepted as a credible pathway for compliance, one of the world's largest and most value-driven markets is firmly back within reach," she told Business Times.
Eurocham Malaysia chief executive officer Karl Godderis said EU businesses welcomed the MSPO recognition, but stressed that palm-oil products formed only a small share of Malaysia's exports to the EU.
"Malaysia exports €24 billion (about RM118.45 billion) worth of goods to the EU, of which palm-oil related products are less than €2 billion (RM9.87 billion).
"We remain focused on an overall free trade agreement (FTA) agreement that allows the total export potential to grow significantly," he said.
Asked whether Malaysia's "standard risk" classification under the EU Deforestation Regulation (EUDR) should change following the MSPO recognition, Godderis said he was "not an expert on classification criteria". Pressed for a general view, he replied: "No opinion".
The EU remains the single largest structured market for palm oil, with revenues worth US$6.6 (about RM27.75 billion) billion in 2023.
It is projected to expand at nearly five per cent annually to 2030, reaching over US$9 billion (RM37.84 billion).
Liew said buyers in Europe demand credible, traceable and deforestation-free supply.
"With MSPO now aligned with EU expectations, Malaysia is positioned to compete on quality and compliance, not just cost. Business Times
September 12, 2025
Indonesia's State Owned Agrinas adds sprawling palm areas, plans dozens more mills
JAKARTA, Sept 12 (Reuters) - Indonesia handed over 674,178 hectares (1.7 million acres) of palm oil plantations to state firm Agrinas Palma Nusantara on Friday, taking to 1.5 million hectares (3.7 million acres) the total area of land given to the company.
The handover solidifies Agrinas' status as the world's largest palm oil company by land size. A government task force said Agrinas now has the potential to produce 5.7 million metric tons of crude palm oil annually.
The company aims to start expanding its palm oil processing capacity to augment output that now falls short of that potential, however, Director Zulham Syakwan Koto told reporters, without giving details.
"We currently have 17 mills," Zulham said. "However, with such a large area, we plan to have dozens more in the future. More will be added next year."
The output will be used for the government's cheap cooking oil programme in the short term and for bioenergy in the longer term, he added.
Some areas handed over to Agrinas are in damaged condition and it is working to return them to normal, he said. Reuters
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Malaysia's Planted Oil Palm Area to hit 5.64 mln hectares in 2025 up from 5.61
KUALA LUMPUR, Sept 11 (Bernama) -- The total planted oil palm area is forecast at 5.64 million hectares, slightly up from 5.61 million hectares in 2024, said Plantation and Commodities Deputy Minister Datuk Chan Foong Hin.
He said this growth is mainly attributed to an increase in immature areas resulting from earlier replanting activities.
“In the first half of 2025, the palm oil industry generated RM53.43 billion in exports, a 9.3 per cent surge compared with the same period last year.
“Overall, the industry contributed 2.3 per cent to the national gross domestic product, underpinned by a smallholder network that cultivates 26.4 per cent of planted oil palm land and supports nearly 450,000 families,” he said during the opening ceremony of Agri Malaysia 2025.
However, he noted emerging structural challenges, most notably low replanting rates averaging only two per cent, falling short of the four per cent annual target, which poses long-term risks to productivity and export continuity.
“In response, the government has allocated RM100 million in matching grants for 2025 and is proposing a substantial RM1.4 billion five-year replanting fund (2026–2030) to bolster smallholder capacity and ensure our palm oil export base remains resilient and sustainable,” he said. Bernama
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Japan’s Kaneka breaks ground on first biomass steam plant in Malaysia
Japan’s petrochemical major Kaneka broke ground on its first biomass steam plant in Malaysia on Sept. 11, in partnership with local renewable developer BAC Renewable Energy (BACRE).
The facility is scheduled to begin operations in the third quarter of 2026 and is expected to cut 30,000 tons of CO₂ equivalent annually, supporting Kaneka (Malaysia) Sdn Bhd’s progress toward its 2050 net-zero target.
Biofuels replace natural gas, delivering low-carbon steam
This RM31 million (about USD 7.36 million) Biomass Steam Plant is located within Kaneka Malaysia’s chemical industrial complex in the Gebeng Industrial Estate. Developed under a 20-year Steam Supply and Purchase Agreement (SSPA), the plant will supply Kaneka Malaysia with up to 30 tonnes per hour (TPH) of green steam, replacing conventional natural gas-based steam generation.
Hiroyuki Nishimoto, MD of Kaneka Malaysia commented “This green steam initiative reflects our commitment to sustainability and innovation. Working with BACRE’s Biomass Steam Plant allows us to significantly reduce our carbon footprint. This is also a breakthrough for Kaneka Corporation, Japan by having its first biomass steam plant here in Kaneka Malaysia”
Kaneka Malaysia has set an ambitious target to reduce its greenhouse gas (GHG) emissions by 70% by 2030, as part of its broader commitment to achieving Net Zero by 2050.
Hasnoel Ramly, Director of BACRE Sdn Bhd, remarked, “This project reflects BACRE’s mission to turn palm waste into a reliable and sustainable energy resource. We are building and operating this facility with a vision to set a benchmark for industrial decarbonisation in Malaysia. It is not only about supplying steam to Kaneka; it is about driving change in how industries source their energy.”
The project is made possible through a strategic collaboration involving Kaneka Malaysia as the offtaker and landowner, and BACRE’s subsidiary BACRE Gebeng Sdn Bhd as the project developer, owner, and operator.
Knight Frank Project Services will be the turnkey contractor responsible for end-to-end project delivery. Boilermech Sdn Bhd is the boiler technology and system integration provider. Bank Islam Malaysia Berhad serves as the project financier. While Emnes contributing as a strategic partner to facilitate cross-sector coordination and sustainability integration.
Biomass steam plant cuts 30,000 tons of emissions annually Recessary
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India's Health Ministry clarifies standards on vegetable fats and limits in food products
As the concern about vegetable fat and its limit in food products is growing amongst the people, the Union Health Ministry has stated that there is no specific limit set by the Food Safety and Standards Authority of India (FSSAI), except for chocolate.
The Union Health Ministry, in a written statement to Parliament, has said, “As per the Food Safety and Standards (Food Products Standards and Food Additives) Regulations, 2011, there are no specific permissible limits of vegetable fat prescribed for processed foods. However, in chocolate 5% of vegetable fats is allowed and it is aligned with Codex standards.”
However, class titles may be used under the FSS Regulations specified under the FSS Labelling and Display Regulations.
These class titles include edible vegetable oil (to provide name of the specific edible oil such as mustard oil and groundnut oil), edible vegetable fat (to provide type of vegetable fat like interesterified vegetable fat, fractionated fat, hydrogenated oils, partially hydrogenated oils, margarine and fat spreads, such as mixed fat spreads, vegetable fat spreads) and animal fat/oil other than milk fat (to provide name of the source of fat, pork fat, lard and beef fat or extract thereof shall be declared by specific means).
Further, as per sub regulation 5(3)(b) of Food Safety and Standards (Labelling and Display) Regulations, 2020, it is mandatory to mention the total fat (g), saturated fat (g), trans fat (other than naturally occurring trans fat) (g) and cholesterol (mg) on the label.
As per the Union Health Ministry, Bureau of Indian Standards (BIS) through its Oils and Oilseeds Sectional Committee, has formulated Indian Standards on edible oils and fats, which specify the quality and safety requirements.
These include the specifications for the limit of moisture content, colour, refractive index, specific gravity, saponification value, iodine value, acid value, unsaponifiable matter, polenske value, flash point, residual hexane, limits of aflatoxins and heavy metals.
“As per BIS Rule 2016, all Indian Standards are subject to periodic review, at least once in five years of its publication or review, to determine the need for revision, amendment, reaffirmation or withdrawal. Accordingly, the above Indian Standards are periodically reviewed by the concerned sectional committees to update them as per latest advancements,” the statement concluded.
Meanwhile, the Government also shared that Indian Council of Medical Research (ICMR) has no data on the extent, volume and pattern of usage of vegetable fats including hydrogenated oils and palm oil in various categories of processed foods.
"Ultra processed foods are usually High in Fat, Sugar and Salt (HFSS) and they tend to be high especially in saturated and/or trans fats, salt and added sugars which are detrimental to health," the ministry observed while adding that commonly, palm oil (high in saturated fats) and partially hydrogenated vegetable oil (high in trans fats) are used as the source of fat in processed foods to increase their shelf life. FNB News
Indonesia's State Owned Agrinas adds sprawling palm areas, plans dozens more mills
JAKARTA, Sept 12 (Reuters) - Indonesia handed over 674,178 hectares (1.7 million acres) of palm oil plantations to state firm Agrinas Palma Nusantara on Friday, taking to 1.5 million hectares (3.7 million acres) the total area of land given to the company.
The handover solidifies Agrinas' status as the world's largest palm oil company by land size. A government task force said Agrinas now has the potential to produce 5.7 million metric tons of crude palm oil annually.
The company aims to start expanding its palm oil processing capacity to augment output that now falls short of that potential, however, Director Zulham Syakwan Koto told reporters, without giving details.
"We currently have 17 mills," Zulham said. "However, with such a large area, we plan to have dozens more in the future. More will be added next year."
The output will be used for the government's cheap cooking oil programme in the short term and for bioenergy in the longer term, he added.
Some areas handed over to Agrinas are in damaged condition and it is working to return them to normal, he said. Reuters
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Malaysia's Planted Oil Palm Area to hit 5.64 mln hectares in 2025 up from 5.61
KUALA LUMPUR, Sept 11 (Bernama) -- The total planted oil palm area is forecast at 5.64 million hectares, slightly up from 5.61 million hectares in 2024, said Plantation and Commodities Deputy Minister Datuk Chan Foong Hin.
He said this growth is mainly attributed to an increase in immature areas resulting from earlier replanting activities.
“In the first half of 2025, the palm oil industry generated RM53.43 billion in exports, a 9.3 per cent surge compared with the same period last year.
“Overall, the industry contributed 2.3 per cent to the national gross domestic product, underpinned by a smallholder network that cultivates 26.4 per cent of planted oil palm land and supports nearly 450,000 families,” he said during the opening ceremony of Agri Malaysia 2025.
However, he noted emerging structural challenges, most notably low replanting rates averaging only two per cent, falling short of the four per cent annual target, which poses long-term risks to productivity and export continuity.
“In response, the government has allocated RM100 million in matching grants for 2025 and is proposing a substantial RM1.4 billion five-year replanting fund (2026–2030) to bolster smallholder capacity and ensure our palm oil export base remains resilient and sustainable,” he said. Bernama
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Japan’s Kaneka breaks ground on first biomass steam plant in Malaysia
Japan’s petrochemical major Kaneka broke ground on its first biomass steam plant in Malaysia on Sept. 11, in partnership with local renewable developer BAC Renewable Energy (BACRE).
The facility is scheduled to begin operations in the third quarter of 2026 and is expected to cut 30,000 tons of CO₂ equivalent annually, supporting Kaneka (Malaysia) Sdn Bhd’s progress toward its 2050 net-zero target.
Biofuels replace natural gas, delivering low-carbon steam
This RM31 million (about USD 7.36 million) Biomass Steam Plant is located within Kaneka Malaysia’s chemical industrial complex in the Gebeng Industrial Estate. Developed under a 20-year Steam Supply and Purchase Agreement (SSPA), the plant will supply Kaneka Malaysia with up to 30 tonnes per hour (TPH) of green steam, replacing conventional natural gas-based steam generation.
Hiroyuki Nishimoto, MD of Kaneka Malaysia commented “This green steam initiative reflects our commitment to sustainability and innovation. Working with BACRE’s Biomass Steam Plant allows us to significantly reduce our carbon footprint. This is also a breakthrough for Kaneka Corporation, Japan by having its first biomass steam plant here in Kaneka Malaysia”
Kaneka Malaysia has set an ambitious target to reduce its greenhouse gas (GHG) emissions by 70% by 2030, as part of its broader commitment to achieving Net Zero by 2050.
Hasnoel Ramly, Director of BACRE Sdn Bhd, remarked, “This project reflects BACRE’s mission to turn palm waste into a reliable and sustainable energy resource. We are building and operating this facility with a vision to set a benchmark for industrial decarbonisation in Malaysia. It is not only about supplying steam to Kaneka; it is about driving change in how industries source their energy.”
The project is made possible through a strategic collaboration involving Kaneka Malaysia as the offtaker and landowner, and BACRE’s subsidiary BACRE Gebeng Sdn Bhd as the project developer, owner, and operator.
Knight Frank Project Services will be the turnkey contractor responsible for end-to-end project delivery. Boilermech Sdn Bhd is the boiler technology and system integration provider. Bank Islam Malaysia Berhad serves as the project financier. While Emnes contributing as a strategic partner to facilitate cross-sector coordination and sustainability integration.
Biomass steam plant cuts 30,000 tons of emissions annually Recessary
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India's Health Ministry clarifies standards on vegetable fats and limits in food products
As the concern about vegetable fat and its limit in food products is growing amongst the people, the Union Health Ministry has stated that there is no specific limit set by the Food Safety and Standards Authority of India (FSSAI), except for chocolate.
The Union Health Ministry, in a written statement to Parliament, has said, “As per the Food Safety and Standards (Food Products Standards and Food Additives) Regulations, 2011, there are no specific permissible limits of vegetable fat prescribed for processed foods. However, in chocolate 5% of vegetable fats is allowed and it is aligned with Codex standards.”
However, class titles may be used under the FSS Regulations specified under the FSS Labelling and Display Regulations.
These class titles include edible vegetable oil (to provide name of the specific edible oil such as mustard oil and groundnut oil), edible vegetable fat (to provide type of vegetable fat like interesterified vegetable fat, fractionated fat, hydrogenated oils, partially hydrogenated oils, margarine and fat spreads, such as mixed fat spreads, vegetable fat spreads) and animal fat/oil other than milk fat (to provide name of the source of fat, pork fat, lard and beef fat or extract thereof shall be declared by specific means).
Further, as per sub regulation 5(3)(b) of Food Safety and Standards (Labelling and Display) Regulations, 2020, it is mandatory to mention the total fat (g), saturated fat (g), trans fat (other than naturally occurring trans fat) (g) and cholesterol (mg) on the label.
As per the Union Health Ministry, Bureau of Indian Standards (BIS) through its Oils and Oilseeds Sectional Committee, has formulated Indian Standards on edible oils and fats, which specify the quality and safety requirements.
These include the specifications for the limit of moisture content, colour, refractive index, specific gravity, saponification value, iodine value, acid value, unsaponifiable matter, polenske value, flash point, residual hexane, limits of aflatoxins and heavy metals.
“As per BIS Rule 2016, all Indian Standards are subject to periodic review, at least once in five years of its publication or review, to determine the need for revision, amendment, reaffirmation or withdrawal. Accordingly, the above Indian Standards are periodically reviewed by the concerned sectional committees to update them as per latest advancements,” the statement concluded.
Meanwhile, the Government also shared that Indian Council of Medical Research (ICMR) has no data on the extent, volume and pattern of usage of vegetable fats including hydrogenated oils and palm oil in various categories of processed foods.
"Ultra processed foods are usually High in Fat, Sugar and Salt (HFSS) and they tend to be high especially in saturated and/or trans fats, salt and added sugars which are detrimental to health," the ministry observed while adding that commonly, palm oil (high in saturated fats) and partially hydrogenated vegetable oil (high in trans fats) are used as the source of fat in processed foods to increase their shelf life. FNB News
September 11, 2025
EU acknowledges MSPO as credible, inclusive sustainability standard supporting EUDR compliance
KUALA LUMPUR, Sept. 10 (Xinhua) -- The European Union (EU) has officially acknowledged the Malaysian Sustainable Palm Oil (MSPO) certification as a credible sustainability standard with a high-standard digital traceability system that can facilitate operators' compliance with the EU Deforestation Regulation (EUDR), Malaysian government-owned MSPO said Wednesday.
MSPO said in a statement that this acknowledgement reinforces its role as Malaysia's national framework for sustainable palm oil and highlights its contribution to global trade and responsible sourcing.
Audited by independent third-party certification bodies, MSPO is a mandatory standard that spans the entire palm oil value chain, from smallholders and growers to mills, dealers, and processors.
It ensures legality, transparency, inclusivity, and accountability at every stage, aligning production with international market requirements and guaranteeing integrity and credibility.
Anchored by a strict cut-off date of Dec. 31, 2019, prohibiting deforestation for certification, MSPO gives buyers and regulators confidence that certified palm oil is legally sourced and deforestation-free.
With its digital traceability system, MSPO enables full supply chain visibility and strengthens trust among global stakeholders.
"MSPO provides assurance on legality, cut-off date compliance, and digital traceability, while ensuring that more than half a million smallholders are fully part of the sustainability agenda. It demonstrates that Malaysia can meet global market expectations without leaving anyone behind," said Johari Abdul Ghani, Malaysia's minister of plantation and commodities. Xinhua
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EU clears Malaysia's palm oil certification for new deforestation rule
KUALA LUMPUR (Reuters) -The European Union has recognised the Malaysian Sustainable Palm Oil (MSPO) certification as a credible standard that can facilitate compliance with EU's new deforestation regulation, the Malaysian certification body said on Wednesday.
The acknowledgement reinforces MSPO’s role as Malaysia’s national framework for sustainable palm oil and highlights its contribution to global trade and responsible sourcing, the certification body said in a statement.
The new EU regulation, due to come into effect in December, requires companies selling soy, beef, palm oil, wood, cocoa and coffee, and some products like leather, chocolate and furniture, to ensure that land associated with those products has not been subject to deforestation since the end of 2020.
MSPO began as a voluntary scheme for sustainable palm oil certification in Malaysia, the world's second-largest palm oil exporter. It was made mandatory for the palm oil industry in January 2020, with audits conducted by independent third-party certification bodies to ensure compliance and credibility.
The certification body said MSPO gives buyers and regulators the confidence that certified palm oil is legally sourced and deforestation-free, adding that its digital tracking system enables full supply chain visibility and strengthens trust among global stakeholders.
Plantation and Commodities Minister Johari Abdul Ghani said that the recognition affirms Malaysia’s leadership in sustainable palm oil and ensures that more than half a million smallholders are fully tied into the sustainability agenda.
"The EU’s acknowledgement also underscores MSPO’s credibility as a trusted and future-ready standard," he said in a statement.
"It assures global buyers that Malaysian palm oil is legally sourced, traceable, and sustainable, anchored in the livelihoods of smallholders and backed by a mandatory national framework." Global Banking and Finance
---------
Malaysia’s palm oil standard gains EU nod against deforestation
nvezz.com - The Malaysian Sustainable Palm Oil certification has been officially recognised by the European Union as a robust and trustworthy standard.
This crucial acknowledgment, announced by the Malaysian certification body on Wednesday, signifies that MSPO can effectively aid in meeting the stringent requirements of the EU’s newly enacted deforestation regulation, according to a Reuters report.
This development is a significant step towards ensuring that palm oil products entering the European market are sourced sustainably and do not contribute to deforestation, aligning with the EU’s commitment to environmental protection and responsible global trade practices.
In a statement, the certification body affirmed that the acknowledgement solidifies MSPO’s position as Malaysia’s national framework for sustainable palm oil.
It also underscores MSPO’s significant contribution to responsible sourcing and global trade. Investing
---------
September 10, 2025
EU acknowledges Malaysia’s MSPO certification as trusted standard for sustainable, deforestation-free palm oil
KUALA LUMPUR (Sept 10): The European Union (EU) has officially recognised the Malaysian Sustainable Palm Oil (MSPO) certification as a reliable sustainability standard with a strong digital traceability system. This helps palm oil producers meet the EU Deforestation Regulation (EUDR) requirements.
The acknowledgement, made following the visit of European Commissioner for Environment, Water Resilience and a Competitive Circular Economy Jessika Roswall to Malaysia last week, strengthens MSPO’s position as the country’s national sustainability framework for palm oil.
Audited by independent third-party certification bodies, MSPO is a mandatory standard covering the entire palm oil value chain, from smallholders and growers to mills, dealers and processors.
The certification requires legality, transparency, inclusivity and accountability at every stage, while aligning with international market requirements.
Introduced in 2015, the certification also embeds a strict cut-off date of Dec 31, 2019, prohibiting forest clearing for certification purposes, ensuring that certified palm oil is deforestation-free and legally sourced.
Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani said the EU’s acknowledgement affirms Malaysia’s leadership in the global push for sustainable palm oil.
“MSPO provides assurance on legality, cut-off date compliance, and digital traceability, while ensuring that more than half a million smallholders are fully part of the sustainability agenda. It demonstrates that Malaysia can meet global market expectations without leaving anyone behind,” he said in a statement.
"The EU’s acknowledgement also underscores MSPO’s credibility as a trusted and future-ready standard. It assures global buyers that Malaysian palm oil is legally sourced, traceable, and sustainable, anchored in the livelihoods of smallholders and backed by a mandatory national framework," Johari added.
The EU and Malaysia have agreed to continue close cooperation ahead of the EUDR’s entry into force, to ensure operators sourcing commodities such as palm oil, rubber, timber and cocoa are prepared to meet their obligations.
In an EU-Malaysia joint statement last Friday, Roswall also commended Malaysia’s efforts in reducing deforestation levels to unprecedented lows and reaffirmed the EU’s readiness to support joint initiatives, including projects to help smallholder farmers supply traceable, sustainable commodities to the EU market. The EdgeMY
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Indonesia pushes for lower U.S. tariffs with palm oil export offer
Jakarta (ANTARA) - Ambassador of the Republic of Indonesia to the United States, Dwisuryo Indroyono Soesilo, revealed that the Indonesian delegation is proposing palm oil exports as part of efforts to further reduce the current 19 percent U.S. reciprocal tariffs.
In an exclusive interview with ANTARA in Jakarta on Tuesday, Ambassador Soesilo explained that in the second week of September, the Indonesian delegation will propose a tariff reduction by offering several key commodities not produced in the United States, with palm oil among the top items.
“For the moment, Indonesia will propose reduced tariffs for commodities that are not produced in the U.S. For example, the U.S. needs a lot of palm oil. So, if we export palm oil, hopefully the tariff will not remain at 19 percent but will be reduced further,” he stated.
Other commodities Indonesia intends to propose include shrimp — which already accounts for nearly US$2 billion in exports — as well as timber, furniture, copper, and nickel. The ambassador also highlighted opportunities to boost exports in the garment and apparel sectors, noting that the U.S. holds a large market for these products.
“Actually, Indonesia has a very good competitive edge to increase our textile, apparel, and garment exports to the U.S. From our side, let’s work more efficiently. Our exports in this sector can be expanded,” Soesilo added.
Although he did not confirm whether Indonesia is aiming for a zero percent tariff, he emphasized the hope that by offering key export commodities, Indonesia believes the reciprocal tariff can be reduced again.
“We will see. Let us give our delegation in the U.S. time to discuss with their counterparts to find the best way forward for both countries,” he remarked. Antara News
---------
Indonesia's Palm Oil Association Calls For EUDR to Recognise ISPO, Exempt Smallholders
“[The EUDR’s] stringent reporting and record-keeping obligations undeniably create new administrative burdens for EU importers …However, these burdens are transmitted along the supply chain: Indonesian producers and exporters are the ones who must gather, verify, and supply the requisite information to their EU buyers, or else those buyers cannot lawfully import the goods. The Indonesian government itself has noted that the EUDR imposes a heavy administrative burden on smallholder farmers in particular. In short, what may appear as paperwork requirements in Brussels are in reality substantial on-the-ground obligations for producers in Indonesia.”
“The most severe impacts of these requirements will fall on Indonesia’s hundreds of thousands of independent smallholder farmers … meeting the EUDR’s traceability and geolocation demands is an immense challenge for these rural farmers. Many smallholders have not formally registered their land plots or mapped GPS coordinates, making it difficult to prove the precise origin and legality of their harvests. Issues such as unclear land tenure (overlapping claims, missing titles) further complicate compliance. Digital literacy and internet connectivity in remote farming areas are often limited, hindering the adoption of traceability tools.”
“Recent research found only around 1% of Indonesian smallholders are currently able to fully meet the traceability and legality standards set out by the EU. In other words, without significant changes or support, the vast majority of our small farmers are effectively unprepared for EUDR compliance. The consequence of this compliance gap is that Indonesian smallholders risk being excluded from EU supply chains altogether.”
“We therefore urge the European Commission to consider regulatory flexibilities and support mechanisms within the EUDR framework to mitigate these unintended consequences. In particular, we propose two measures: Indonesia Palm Oil Facts
---------
209,033 oil palm smallholders nationwide obtain MSPO certification, says MPOB
KOTA KINABALU: A total of 209,033 oil palm smallholders nationwide, covering 747,012ha of plantations, have obtained Malaysian Sustainable Palm Oil (MSPO) certification as of Aug 31.
The Malaysian Palm Oil Board (MPOB) said that of the total, 29,918 are smallholders in Sabah, covering an area of 184,564ha.
"The Madani government has allocated more than RM2mil in the Pitas district, Sabah, to strengthen smallholders' participation in the sustainable palm oil value chain," it said in a statement Tuesday (Sept 9).
It added that at the MSPO strengthening programme in the Pitas district on Monday (Sept 8), Deputy Plantation and Commodities Minister Datuk Chan Foong Hin presented a cheque of RM713,322 to eight recipients under the Oil Palm Smallholder Replanting Financing Incentive Scheme (TSPKS) 2.0, covering a replanting area of 39.63ha.
TSPKS 2.0 is a matching grant scheme provided by the government through MPOB, specifically for smallholders with planting areas of less than 10ha.
"To date, a total of 707 applications for the incentive scheme, covering an area of 3,034.20ha, have been approved for Sabah," the MPOB said.
It added that it will continue providing support services and guidance on sustainable palm oil certification to private smallholders nationwide through the MPOB Tunas offices. The StarMY
---------
RSPO–APKASINDO Partnership to Boost Inclusive Growth, Certification, and Market Access for Oil Palm Smallholders
Landmark agreement marks a shared commitment to ensure that smallholder farmers are not left behind, through the provision of training, access to finance, and sustainability-based incentives
The Roundtable on Sustainable Palm Oil (RSPO) and the Indonesian Palm Oil Farmers Association (APKASINDO) have signed a landmark Memorandum of Understanding (MoU) to accelerate inclusive growth, certification, and market access for Indonesia's smallholder farmers. With smallholders contributing around 40% of the nation's palm oil production, this partnership marks an important step towards strengthening Indonesia's global leadership in sustainable palm oil.
Indonesia is the world's largest producer of palm oil, contributing 55% of global supply. Yet, while nearly half of production comes from smallholders, their yields remain much lower, at an average of two to three tonnes per hectare compared with six to eight tonnes per hectare in larger estates. This gap, combined with limited access to finance and certification systems,
presents significant risks to both livelihoods and national competitiveness.
Against this backdrop, RSPO and APKASINDO have jointly committed to inclusive growth which goes beyond boosting productivity, encompassing fair participation, empowerment, and the resilience of rural economies, ensuring that millions of small holders are not left behind amid rising global demands for sustainability and traceability. Sawit Indonesia
---------
Grappling with traceability in palm oil supply chains
09-Sep-2025 by Augustus Bambridge-Sutton
With the EUDR fast approaching, what’s preventing manufacturers from tracing palm oil?
https://www.foodnavigator.com/Article/2025/09/09/eudr-palm-oil-traceability-challenges/
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Palm Oil Tocotrienols: Nature’s Secret For Skin And Longevity
As a dermatologist, I often remind patients that the skin is not only our largest organ but also a mirror of our internal health. Every day, our skin faces oxidative stress from ultraviolet (UV) radiation, environmental pollutants, and chronic inflammation. Over time, these stressors accelerate skin ageing, trigger pigmentation, and increase the risk of conditions such as eczema and delayed wound healing. While topical care is important, optimal skin health must also be supported from within.
One natural compound that has gained increasing attention in dermatology is tocotrienols, a lesser-known form of vitamin E. Unlike the more common tocopherols, tocotrienols often demonstrate stronger antioxidant and anti-inflammatory properties in experimental systems. They are present in several plant oils, but palm oil, rice bran oil, and annatto are among the richest known sources. Tocotrienols can penetrate deeper into the skin’s lipid layers, providing enhanced defense against free radical damage and helping skin cells cope with external and internal stressors.
A recent review in Food Research International highlighted the therapeutic potential of palm oil–derived tocotrienols for inflammation and chronic disease management. The authors emphasized their roles in reducing oxidative stress and systemic inflammation—two central drivers of chronic diseases such as diabetes, cardiovascular disease, and neurodegenerative conditions, as well as premature skin ageing.
From a dermatology perspective, the benefits are multifaceted. Tocotrienols help protect skin cells from UV-induced damage, thereby slowing the breakdown of collagen and elastin, which are essential for firmness and elasticity. In animal models, dietary tocotrienol supplementation significantly reduced UVB-induced skin damage, sunburn severity, and even tumour formation under chronic sun exposure. Business TodayMY
EU acknowledges MSPO as credible, inclusive sustainability standard supporting EUDR compliance
KUALA LUMPUR, Sept. 10 (Xinhua) -- The European Union (EU) has officially acknowledged the Malaysian Sustainable Palm Oil (MSPO) certification as a credible sustainability standard with a high-standard digital traceability system that can facilitate operators' compliance with the EU Deforestation Regulation (EUDR), Malaysian government-owned MSPO said Wednesday.
MSPO said in a statement that this acknowledgement reinforces its role as Malaysia's national framework for sustainable palm oil and highlights its contribution to global trade and responsible sourcing.
Audited by independent third-party certification bodies, MSPO is a mandatory standard that spans the entire palm oil value chain, from smallholders and growers to mills, dealers, and processors.
It ensures legality, transparency, inclusivity, and accountability at every stage, aligning production with international market requirements and guaranteeing integrity and credibility.
Anchored by a strict cut-off date of Dec. 31, 2019, prohibiting deforestation for certification, MSPO gives buyers and regulators confidence that certified palm oil is legally sourced and deforestation-free.
With its digital traceability system, MSPO enables full supply chain visibility and strengthens trust among global stakeholders.
"MSPO provides assurance on legality, cut-off date compliance, and digital traceability, while ensuring that more than half a million smallholders are fully part of the sustainability agenda. It demonstrates that Malaysia can meet global market expectations without leaving anyone behind," said Johari Abdul Ghani, Malaysia's minister of plantation and commodities. Xinhua
---------
EU clears Malaysia's palm oil certification for new deforestation rule
KUALA LUMPUR (Reuters) -The European Union has recognised the Malaysian Sustainable Palm Oil (MSPO) certification as a credible standard that can facilitate compliance with EU's new deforestation regulation, the Malaysian certification body said on Wednesday.
The acknowledgement reinforces MSPO’s role as Malaysia’s national framework for sustainable palm oil and highlights its contribution to global trade and responsible sourcing, the certification body said in a statement.
The new EU regulation, due to come into effect in December, requires companies selling soy, beef, palm oil, wood, cocoa and coffee, and some products like leather, chocolate and furniture, to ensure that land associated with those products has not been subject to deforestation since the end of 2020.
MSPO began as a voluntary scheme for sustainable palm oil certification in Malaysia, the world's second-largest palm oil exporter. It was made mandatory for the palm oil industry in January 2020, with audits conducted by independent third-party certification bodies to ensure compliance and credibility.
The certification body said MSPO gives buyers and regulators the confidence that certified palm oil is legally sourced and deforestation-free, adding that its digital tracking system enables full supply chain visibility and strengthens trust among global stakeholders.
Plantation and Commodities Minister Johari Abdul Ghani said that the recognition affirms Malaysia’s leadership in sustainable palm oil and ensures that more than half a million smallholders are fully tied into the sustainability agenda.
"The EU’s acknowledgement also underscores MSPO’s credibility as a trusted and future-ready standard," he said in a statement.
"It assures global buyers that Malaysian palm oil is legally sourced, traceable, and sustainable, anchored in the livelihoods of smallholders and backed by a mandatory national framework." Global Banking and Finance
---------
Malaysia’s palm oil standard gains EU nod against deforestation
nvezz.com - The Malaysian Sustainable Palm Oil certification has been officially recognised by the European Union as a robust and trustworthy standard.
This crucial acknowledgment, announced by the Malaysian certification body on Wednesday, signifies that MSPO can effectively aid in meeting the stringent requirements of the EU’s newly enacted deforestation regulation, according to a Reuters report.
This development is a significant step towards ensuring that palm oil products entering the European market are sourced sustainably and do not contribute to deforestation, aligning with the EU’s commitment to environmental protection and responsible global trade practices.
In a statement, the certification body affirmed that the acknowledgement solidifies MSPO’s position as Malaysia’s national framework for sustainable palm oil.
It also underscores MSPO’s significant contribution to responsible sourcing and global trade. Investing
---------
September 10, 2025
EU acknowledges Malaysia’s MSPO certification as trusted standard for sustainable, deforestation-free palm oil
KUALA LUMPUR (Sept 10): The European Union (EU) has officially recognised the Malaysian Sustainable Palm Oil (MSPO) certification as a reliable sustainability standard with a strong digital traceability system. This helps palm oil producers meet the EU Deforestation Regulation (EUDR) requirements.
The acknowledgement, made following the visit of European Commissioner for Environment, Water Resilience and a Competitive Circular Economy Jessika Roswall to Malaysia last week, strengthens MSPO’s position as the country’s national sustainability framework for palm oil.
Audited by independent third-party certification bodies, MSPO is a mandatory standard covering the entire palm oil value chain, from smallholders and growers to mills, dealers and processors.
The certification requires legality, transparency, inclusivity and accountability at every stage, while aligning with international market requirements.
Introduced in 2015, the certification also embeds a strict cut-off date of Dec 31, 2019, prohibiting forest clearing for certification purposes, ensuring that certified palm oil is deforestation-free and legally sourced.
Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani said the EU’s acknowledgement affirms Malaysia’s leadership in the global push for sustainable palm oil.
“MSPO provides assurance on legality, cut-off date compliance, and digital traceability, while ensuring that more than half a million smallholders are fully part of the sustainability agenda. It demonstrates that Malaysia can meet global market expectations without leaving anyone behind,” he said in a statement.
"The EU’s acknowledgement also underscores MSPO’s credibility as a trusted and future-ready standard. It assures global buyers that Malaysian palm oil is legally sourced, traceable, and sustainable, anchored in the livelihoods of smallholders and backed by a mandatory national framework," Johari added.
The EU and Malaysia have agreed to continue close cooperation ahead of the EUDR’s entry into force, to ensure operators sourcing commodities such as palm oil, rubber, timber and cocoa are prepared to meet their obligations.
In an EU-Malaysia joint statement last Friday, Roswall also commended Malaysia’s efforts in reducing deforestation levels to unprecedented lows and reaffirmed the EU’s readiness to support joint initiatives, including projects to help smallholder farmers supply traceable, sustainable commodities to the EU market. The EdgeMY
---------
Indonesia pushes for lower U.S. tariffs with palm oil export offer
Jakarta (ANTARA) - Ambassador of the Republic of Indonesia to the United States, Dwisuryo Indroyono Soesilo, revealed that the Indonesian delegation is proposing palm oil exports as part of efforts to further reduce the current 19 percent U.S. reciprocal tariffs.
In an exclusive interview with ANTARA in Jakarta on Tuesday, Ambassador Soesilo explained that in the second week of September, the Indonesian delegation will propose a tariff reduction by offering several key commodities not produced in the United States, with palm oil among the top items.
“For the moment, Indonesia will propose reduced tariffs for commodities that are not produced in the U.S. For example, the U.S. needs a lot of palm oil. So, if we export palm oil, hopefully the tariff will not remain at 19 percent but will be reduced further,” he stated.
Other commodities Indonesia intends to propose include shrimp — which already accounts for nearly US$2 billion in exports — as well as timber, furniture, copper, and nickel. The ambassador also highlighted opportunities to boost exports in the garment and apparel sectors, noting that the U.S. holds a large market for these products.
“Actually, Indonesia has a very good competitive edge to increase our textile, apparel, and garment exports to the U.S. From our side, let’s work more efficiently. Our exports in this sector can be expanded,” Soesilo added.
Although he did not confirm whether Indonesia is aiming for a zero percent tariff, he emphasized the hope that by offering key export commodities, Indonesia believes the reciprocal tariff can be reduced again.
“We will see. Let us give our delegation in the U.S. time to discuss with their counterparts to find the best way forward for both countries,” he remarked. Antara News
---------
Indonesia's Palm Oil Association Calls For EUDR to Recognise ISPO, Exempt Smallholders
- GAPKI has made a submission to the European Commission’s inquiry on simplifying administrative burdens for environmental reporting, focusing specifically on the EU Deforestation Regulation.
- The submission notes the significant costs imposed on smallholder farmers across Indonesia, and calls on the EU to exclude smallholders from reporting requirements, and recognise ISPO as a path to compliance under the regulation.
“[The EUDR’s] stringent reporting and record-keeping obligations undeniably create new administrative burdens for EU importers …However, these burdens are transmitted along the supply chain: Indonesian producers and exporters are the ones who must gather, verify, and supply the requisite information to their EU buyers, or else those buyers cannot lawfully import the goods. The Indonesian government itself has noted that the EUDR imposes a heavy administrative burden on smallholder farmers in particular. In short, what may appear as paperwork requirements in Brussels are in reality substantial on-the-ground obligations for producers in Indonesia.”
“The most severe impacts of these requirements will fall on Indonesia’s hundreds of thousands of independent smallholder farmers … meeting the EUDR’s traceability and geolocation demands is an immense challenge for these rural farmers. Many smallholders have not formally registered their land plots or mapped GPS coordinates, making it difficult to prove the precise origin and legality of their harvests. Issues such as unclear land tenure (overlapping claims, missing titles) further complicate compliance. Digital literacy and internet connectivity in remote farming areas are often limited, hindering the adoption of traceability tools.”
“Recent research found only around 1% of Indonesian smallholders are currently able to fully meet the traceability and legality standards set out by the EU. In other words, without significant changes or support, the vast majority of our small farmers are effectively unprepared for EUDR compliance. The consequence of this compliance gap is that Indonesian smallholders risk being excluded from EU supply chains altogether.”
“We therefore urge the European Commission to consider regulatory flexibilities and support mechanisms within the EUDR framework to mitigate these unintended consequences. In particular, we propose two measures: Indonesia Palm Oil Facts
---------
209,033 oil palm smallholders nationwide obtain MSPO certification, says MPOB
KOTA KINABALU: A total of 209,033 oil palm smallholders nationwide, covering 747,012ha of plantations, have obtained Malaysian Sustainable Palm Oil (MSPO) certification as of Aug 31.
The Malaysian Palm Oil Board (MPOB) said that of the total, 29,918 are smallholders in Sabah, covering an area of 184,564ha.
"The Madani government has allocated more than RM2mil in the Pitas district, Sabah, to strengthen smallholders' participation in the sustainable palm oil value chain," it said in a statement Tuesday (Sept 9).
It added that at the MSPO strengthening programme in the Pitas district on Monday (Sept 8), Deputy Plantation and Commodities Minister Datuk Chan Foong Hin presented a cheque of RM713,322 to eight recipients under the Oil Palm Smallholder Replanting Financing Incentive Scheme (TSPKS) 2.0, covering a replanting area of 39.63ha.
TSPKS 2.0 is a matching grant scheme provided by the government through MPOB, specifically for smallholders with planting areas of less than 10ha.
"To date, a total of 707 applications for the incentive scheme, covering an area of 3,034.20ha, have been approved for Sabah," the MPOB said.
It added that it will continue providing support services and guidance on sustainable palm oil certification to private smallholders nationwide through the MPOB Tunas offices. The StarMY
---------
RSPO–APKASINDO Partnership to Boost Inclusive Growth, Certification, and Market Access for Oil Palm Smallholders
Landmark agreement marks a shared commitment to ensure that smallholder farmers are not left behind, through the provision of training, access to finance, and sustainability-based incentives
The Roundtable on Sustainable Palm Oil (RSPO) and the Indonesian Palm Oil Farmers Association (APKASINDO) have signed a landmark Memorandum of Understanding (MoU) to accelerate inclusive growth, certification, and market access for Indonesia's smallholder farmers. With smallholders contributing around 40% of the nation's palm oil production, this partnership marks an important step towards strengthening Indonesia's global leadership in sustainable palm oil.
Indonesia is the world's largest producer of palm oil, contributing 55% of global supply. Yet, while nearly half of production comes from smallholders, their yields remain much lower, at an average of two to three tonnes per hectare compared with six to eight tonnes per hectare in larger estates. This gap, combined with limited access to finance and certification systems,
presents significant risks to both livelihoods and national competitiveness.
Against this backdrop, RSPO and APKASINDO have jointly committed to inclusive growth which goes beyond boosting productivity, encompassing fair participation, empowerment, and the resilience of rural economies, ensuring that millions of small holders are not left behind amid rising global demands for sustainability and traceability. Sawit Indonesia
---------
Grappling with traceability in palm oil supply chains
09-Sep-2025 by Augustus Bambridge-Sutton
With the EUDR fast approaching, what’s preventing manufacturers from tracing palm oil?
https://www.foodnavigator.com/Article/2025/09/09/eudr-palm-oil-traceability-challenges/
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Palm Oil Tocotrienols: Nature’s Secret For Skin And Longevity
As a dermatologist, I often remind patients that the skin is not only our largest organ but also a mirror of our internal health. Every day, our skin faces oxidative stress from ultraviolet (UV) radiation, environmental pollutants, and chronic inflammation. Over time, these stressors accelerate skin ageing, trigger pigmentation, and increase the risk of conditions such as eczema and delayed wound healing. While topical care is important, optimal skin health must also be supported from within.
One natural compound that has gained increasing attention in dermatology is tocotrienols, a lesser-known form of vitamin E. Unlike the more common tocopherols, tocotrienols often demonstrate stronger antioxidant and anti-inflammatory properties in experimental systems. They are present in several plant oils, but palm oil, rice bran oil, and annatto are among the richest known sources. Tocotrienols can penetrate deeper into the skin’s lipid layers, providing enhanced defense against free radical damage and helping skin cells cope with external and internal stressors.
A recent review in Food Research International highlighted the therapeutic potential of palm oil–derived tocotrienols for inflammation and chronic disease management. The authors emphasized their roles in reducing oxidative stress and systemic inflammation—two central drivers of chronic diseases such as diabetes, cardiovascular disease, and neurodegenerative conditions, as well as premature skin ageing.
From a dermatology perspective, the benefits are multifaceted. Tocotrienols help protect skin cells from UV-induced damage, thereby slowing the breakdown of collagen and elastin, which are essential for firmness and elasticity. In animal models, dietary tocotrienol supplementation significantly reduced UVB-induced skin damage, sunburn severity, and even tumour formation under chronic sun exposure. Business TodayMY
September 09, 2025
13MP Vital Platform For Malaysia In Securing Position As Global Leader For Sustainable Palm Oil
KUALA LUMPUR, Sept 9 (Bernama) -- The 13th Malaysia Plan (13MP) offers a vital platform to accelerate Malaysia’s transition towards a climate-resilient, innovation-driven future, securing the country’s position as a global leader in sustainable palm oil production, says the Malaysian Palm Oil Board (MPOB)
Viewing the five-year road map as comprehensive and forward-looking, its director general Datuk Dr Ahmad Parveez Ghulam Kadir said it aligns closely with the board’s mission to build a resilient, sustainable and competitive palm oil industry.
“We welcome the 13MP's strong commitment to revitalising and modernising Malaysia’s palm oil sector and is committed to collaborate closely with the government, smallholders and industry stakeholders to ensure the successful implementation of these initiatives,” he told Bernama recently.
Ahmad Parveez said the board also lauded the government as it emphasises modernisation through mechanisation, automation as well as research and development (R&D).
“The focus on advanced technologies such as artificial intelligence (AI), robotics, the Internet of Things (IoT), and precision farming is crucial to boosting yields, improving operational efficiency, and transitioning the sector from labour-intensive to capital-intensive.
“These initiatives will help alleviate labour shortages, reduce dependency on foreign workers and strengthen Malaysia’s global competitiveness,” he said. Bernama
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China remains ASEAN's largest trading partner for 16 consecutive years
BEIJING, Sept. 8 (Xinhua) -- China has continued to be the largest trading partner of the Association of Southeast Asian Nations (ASEAN) for 16 consecutive years, a commerce official said Monday.
Trade between China and the ASEAN reached 597 billion U.S. dollars in the first seven months of this year, up 8.2 percent year on year and accounting for 16.7 percent of China's total foreign trade for the same period, according to Vice Minister of Commerce Yan Dong.
As of the end of July, the cumulative two-way investment exceeded 450 billion U.S. dollars, Yan said.
Meanwhile, Chinese companies have been active in contracting infrastructure projects in ASEAN countries, with a cumulative turnover of 480 billion dollars by the end of July.
Yan spoke at a press conference on the 22nd China-ASEAN Expo. Scheduled from Sept. 17 to 21, the expo will take place in Nanning, the capital of south China's Guangxi Zhuang Autonomous Region.
The expo features an exhibition area of nearly 160,000 square meters this year, with about 3,200 enterprises from 45 countries already confirming their participation.
Pavilions showcasing artificial intelligence and new quality productive forces will be newly set up in this year's expo, along with new sections dedicated to the blue economy and premium foreign trade products.
China will deepen regional cooperation with the ASEAN, expand import of ASEAN products such as tropical fruits, coffee, rubber, and palm oil, and strengthen the cross-border e-commerce partnership with ASEAN countries, said Yan. Xinhua
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Oil Palm Smallholders: Their Stories, Their Legacy
Despite playing an essential role in the global supply chain of palm oil, and supporting regional and national economy, discussions on oil palm smallholders are limited in mainstream conversations.
This article is part of our special report Palm Oil: Balancing sustainability, livelihoods, and global demand.
Despite playing an essential role in the global supply chain of palm oil, and supporting regional and national economy, discussions on oil palm smallholders are limited in mainstream conversations. They are the people depending their livelihood on the commodity, from providing food for their family to enabling their children and grandchildren to pursue higher education and ultimately, to change their lives for the better. Thus, behind every bottle of cooking oil or bar of soap lies the story that impacts millions of lives.
In Indonesia, the world’s largest palm oil producer, smallholders account for about 41% of total oil palm planted areas. In Malaysia, the second largest producer, smallholders account for about 27%. It has been long overdue that we acknowledge their contribution in supporting the heart of the industry and enhancing the development of their communities. For many of the smallholders, oil palm is more than a crop, it is a legacy, a livelihood, and a symbol of resilience passed from one generation to the next. The smallholders deserve support, genuine fairness and empowerment to shape their own futures.
For most smallholders, oil palm farming is not a path to wealth but often their only means of survival, to make ends meet. In Indonesia and Malaysia, smallholders are officially defined as those owning up to 25 hectares and 40.47 hectares of oil palm land, respectively. Although definition of smallholders varies between countries, in reality, most smallholders own only two to three hectares. The limited land ownership, coupled with lower average yields compared to larger plantation companies, leaves smallholders at a disadvantage with modest incomes, despite their critical role in the palm oil supply chain. EURACTIV
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Forest 500 report finds only 9% of companies assessed have a public commitment to not tolerate attacks on defenders
"Defending forests shouldn't cost lives: Forest 500 assesses corporate zero tolerance policies," 8 September 2025
... Global Canopy’s annual Forest 500 assessment looks at six human rights criteria closely associated with preventing deforestation. Three indicators are interconnected with deforestation as violations of these rights frequently happen around the point of forest loss. They are: Free, Prior and Informed Consent (FPIC); zero tolerance for threats and violence against forest, land and human rights defenders; and customary rights to land, resources and territory.
Among them, zero tolerance is least likely to be addressed by companies: only 9% of the 500 companies assessed have a public commitment in place for at least one forest risk commodity. By comparison, 37% of companies have committed to FPIC, and 24% have commitments to respect the customary rights of IPLCs to land, resources and territory.
... Only 47 Forest 500 companies have commitments for zero tolerance. Companies in the palm oil (12%) and cocoa (12%) supply chains are more likely to have commitments. Commitments are scarce in the beef (7%), soy (9%) and timber (3%) sectors, although these industries are linked to abuses in Latin America. According to BHRRC, 40% of attacks against human rights defenders over the last decade took place in Latin America, with Brazil recording the highest number of killings worldwide.
... Only six of the Forest 500 companies publish evidence of due diligence and progress reporting on eradicating violence and threats from their supply chains. They are Colgate-Palmolive Co., Hershey Co., Unilever PLC, Wilmar International Ltd, Mercedes-Benz Group and Ahold Delhaize. Business Humanrights
13MP Vital Platform For Malaysia In Securing Position As Global Leader For Sustainable Palm Oil
KUALA LUMPUR, Sept 9 (Bernama) -- The 13th Malaysia Plan (13MP) offers a vital platform to accelerate Malaysia’s transition towards a climate-resilient, innovation-driven future, securing the country’s position as a global leader in sustainable palm oil production, says the Malaysian Palm Oil Board (MPOB)
Viewing the five-year road map as comprehensive and forward-looking, its director general Datuk Dr Ahmad Parveez Ghulam Kadir said it aligns closely with the board’s mission to build a resilient, sustainable and competitive palm oil industry.
“We welcome the 13MP's strong commitment to revitalising and modernising Malaysia’s palm oil sector and is committed to collaborate closely with the government, smallholders and industry stakeholders to ensure the successful implementation of these initiatives,” he told Bernama recently.
Ahmad Parveez said the board also lauded the government as it emphasises modernisation through mechanisation, automation as well as research and development (R&D).
“The focus on advanced technologies such as artificial intelligence (AI), robotics, the Internet of Things (IoT), and precision farming is crucial to boosting yields, improving operational efficiency, and transitioning the sector from labour-intensive to capital-intensive.
“These initiatives will help alleviate labour shortages, reduce dependency on foreign workers and strengthen Malaysia’s global competitiveness,” he said. Bernama
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China remains ASEAN's largest trading partner for 16 consecutive years
BEIJING, Sept. 8 (Xinhua) -- China has continued to be the largest trading partner of the Association of Southeast Asian Nations (ASEAN) for 16 consecutive years, a commerce official said Monday.
Trade between China and the ASEAN reached 597 billion U.S. dollars in the first seven months of this year, up 8.2 percent year on year and accounting for 16.7 percent of China's total foreign trade for the same period, according to Vice Minister of Commerce Yan Dong.
As of the end of July, the cumulative two-way investment exceeded 450 billion U.S. dollars, Yan said.
Meanwhile, Chinese companies have been active in contracting infrastructure projects in ASEAN countries, with a cumulative turnover of 480 billion dollars by the end of July.
Yan spoke at a press conference on the 22nd China-ASEAN Expo. Scheduled from Sept. 17 to 21, the expo will take place in Nanning, the capital of south China's Guangxi Zhuang Autonomous Region.
The expo features an exhibition area of nearly 160,000 square meters this year, with about 3,200 enterprises from 45 countries already confirming their participation.
Pavilions showcasing artificial intelligence and new quality productive forces will be newly set up in this year's expo, along with new sections dedicated to the blue economy and premium foreign trade products.
China will deepen regional cooperation with the ASEAN, expand import of ASEAN products such as tropical fruits, coffee, rubber, and palm oil, and strengthen the cross-border e-commerce partnership with ASEAN countries, said Yan. Xinhua
---------
Oil Palm Smallholders: Their Stories, Their Legacy
Despite playing an essential role in the global supply chain of palm oil, and supporting regional and national economy, discussions on oil palm smallholders are limited in mainstream conversations.
This article is part of our special report Palm Oil: Balancing sustainability, livelihoods, and global demand.
Despite playing an essential role in the global supply chain of palm oil, and supporting regional and national economy, discussions on oil palm smallholders are limited in mainstream conversations. They are the people depending their livelihood on the commodity, from providing food for their family to enabling their children and grandchildren to pursue higher education and ultimately, to change their lives for the better. Thus, behind every bottle of cooking oil or bar of soap lies the story that impacts millions of lives.
In Indonesia, the world’s largest palm oil producer, smallholders account for about 41% of total oil palm planted areas. In Malaysia, the second largest producer, smallholders account for about 27%. It has been long overdue that we acknowledge their contribution in supporting the heart of the industry and enhancing the development of their communities. For many of the smallholders, oil palm is more than a crop, it is a legacy, a livelihood, and a symbol of resilience passed from one generation to the next. The smallholders deserve support, genuine fairness and empowerment to shape their own futures.
For most smallholders, oil palm farming is not a path to wealth but often their only means of survival, to make ends meet. In Indonesia and Malaysia, smallholders are officially defined as those owning up to 25 hectares and 40.47 hectares of oil palm land, respectively. Although definition of smallholders varies between countries, in reality, most smallholders own only two to three hectares. The limited land ownership, coupled with lower average yields compared to larger plantation companies, leaves smallholders at a disadvantage with modest incomes, despite their critical role in the palm oil supply chain. EURACTIV
---------
Forest 500 report finds only 9% of companies assessed have a public commitment to not tolerate attacks on defenders
"Defending forests shouldn't cost lives: Forest 500 assesses corporate zero tolerance policies," 8 September 2025
... Global Canopy’s annual Forest 500 assessment looks at six human rights criteria closely associated with preventing deforestation. Three indicators are interconnected with deforestation as violations of these rights frequently happen around the point of forest loss. They are: Free, Prior and Informed Consent (FPIC); zero tolerance for threats and violence against forest, land and human rights defenders; and customary rights to land, resources and territory.
Among them, zero tolerance is least likely to be addressed by companies: only 9% of the 500 companies assessed have a public commitment in place for at least one forest risk commodity. By comparison, 37% of companies have committed to FPIC, and 24% have commitments to respect the customary rights of IPLCs to land, resources and territory.
... Only 47 Forest 500 companies have commitments for zero tolerance. Companies in the palm oil (12%) and cocoa (12%) supply chains are more likely to have commitments. Commitments are scarce in the beef (7%), soy (9%) and timber (3%) sectors, although these industries are linked to abuses in Latin America. According to BHRRC, 40% of attacks against human rights defenders over the last decade took place in Latin America, with Brazil recording the highest number of killings worldwide.
... Only six of the Forest 500 companies publish evidence of due diligence and progress reporting on eradicating violence and threats from their supply chains. They are Colgate-Palmolive Co., Hershey Co., Unilever PLC, Wilmar International Ltd, Mercedes-Benz Group and Ahold Delhaize. Business Humanrights
September 06, 2025
EU, Malaysia join forces on deforestation-free trade
KUALA LUMPUR: The European Union (EU) and Malaysia will strengthen cooperation to help operators sourcing palm oil, rubber, timber and cocoa prepare for the upcoming EU Deforestation Regulation (EUDR).
In a statement on its website, the Delegation of the European Union to Malaysia said the collaboration aims to deliver mutual benefits for stakeholders on both sides, particularly in ensuring the smooth trade of deforestation-free and legally sourced commodities.
"European Commissioner for Environment, Water Resilience and a Competitive Circular Economy, Jessika Roswall, expressed strong appreciation for Malaysia's efforts to align its national sustainability certification schemes with EUDR requirements," it said.
The statement said that the Malaysian Sustainable Palm Oil (MSPO) certification had been recognised as a credible sustainability scheme with a high-standard digital traceability system, which could help EU operators sourcing palm oil from Malaysia met compliance requirements. New Straits Times
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Malaysia on track for low risk classification under EUDR with MSPO
KUALA LANGAT: Malaysia is advancing toward recognition as a low-risk country in palm oil production through its mandatory Malaysian Sustainable Palm Oil certification programme.
Plantations and Commodities Minister Datuk Seri Johari Abdul Ghani confirmed the government is compiling current data to demonstrate sustainability progress to the European Union.
“One of the processes is the continued submission of accurate data,” he told reporters after accompanying European Commissioner Jessika Rosswall on a visit to palm oil facilities.
Johari explained that different ministries previously managed plantation oversight and forestry data reporting to the Food and Agriculture Organization.
He emphasised that detailed methodology determines whether countries receive low, standard, or high-risk classifications under European Union regulations.
The minister identified the national traceability system as a key development that monitors palm oil from plantations through mills and refineries. The SunMY
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Von der Leyen’s Trump deal guts EU’s anti-deforestation law
As if it wasn’t already in a jam over the delayed rollout of its anti-deforestation regulation, the European Union could have made things a whole lot worse in its desperation to appease Donald Trump.
It had been humiliating enough for Ursula von der Leyen to hot foot it to a Scottish golf course in July and be forced to sign a deal that set tariffs on US goods from Europe at 15 percent across the board.
Two weeks later came a Joint Statement which appeared to do the White House another favour; promising the US special treatment absolving its timber and soy industries of any burdensome due diligence in the relation to EU Deforestation Regulations (EUDR).
Under EUDR, from December 2025 companies will have to check that any imports of specific commodities like cattle, cocoa, coffee, palm oil, rubber, soy and wood are not linked to any deforestation in the past five years.
When it was established earlier this year. the benchmarking system made just four countries at ‘high risk’ of deforestation, 50 were ‘standard risk’ and 140 fell under the ‘low risk’ tier.
Many EU countries objected to their ‘low-risk’ rating, arguing they should be deemed of ‘no risk’, even though some had a questionable history of forest degradation, meaning they would be subjected to minimal checks.
It led to calls for a new ‘no risk’ or ‘negligible risk’ being passed by the European Parliament in a non-binding vote in July, since when the commission has done nothing to revise legislation.
So it was a surprise to see in an official statement (from the commission) that the US ‘poses negligible risk to global deforestation’. EU Observer
EU, Malaysia join forces on deforestation-free trade
KUALA LUMPUR: The European Union (EU) and Malaysia will strengthen cooperation to help operators sourcing palm oil, rubber, timber and cocoa prepare for the upcoming EU Deforestation Regulation (EUDR).
In a statement on its website, the Delegation of the European Union to Malaysia said the collaboration aims to deliver mutual benefits for stakeholders on both sides, particularly in ensuring the smooth trade of deforestation-free and legally sourced commodities.
"European Commissioner for Environment, Water Resilience and a Competitive Circular Economy, Jessika Roswall, expressed strong appreciation for Malaysia's efforts to align its national sustainability certification schemes with EUDR requirements," it said.
The statement said that the Malaysian Sustainable Palm Oil (MSPO) certification had been recognised as a credible sustainability scheme with a high-standard digital traceability system, which could help EU operators sourcing palm oil from Malaysia met compliance requirements. New Straits Times
---------
Malaysia on track for low risk classification under EUDR with MSPO
KUALA LANGAT: Malaysia is advancing toward recognition as a low-risk country in palm oil production through its mandatory Malaysian Sustainable Palm Oil certification programme.
Plantations and Commodities Minister Datuk Seri Johari Abdul Ghani confirmed the government is compiling current data to demonstrate sustainability progress to the European Union.
“One of the processes is the continued submission of accurate data,” he told reporters after accompanying European Commissioner Jessika Rosswall on a visit to palm oil facilities.
Johari explained that different ministries previously managed plantation oversight and forestry data reporting to the Food and Agriculture Organization.
He emphasised that detailed methodology determines whether countries receive low, standard, or high-risk classifications under European Union regulations.
The minister identified the national traceability system as a key development that monitors palm oil from plantations through mills and refineries. The SunMY
---------
Von der Leyen’s Trump deal guts EU’s anti-deforestation law
As if it wasn’t already in a jam over the delayed rollout of its anti-deforestation regulation, the European Union could have made things a whole lot worse in its desperation to appease Donald Trump.
It had been humiliating enough for Ursula von der Leyen to hot foot it to a Scottish golf course in July and be forced to sign a deal that set tariffs on US goods from Europe at 15 percent across the board.
Two weeks later came a Joint Statement which appeared to do the White House another favour; promising the US special treatment absolving its timber and soy industries of any burdensome due diligence in the relation to EU Deforestation Regulations (EUDR).
Under EUDR, from December 2025 companies will have to check that any imports of specific commodities like cattle, cocoa, coffee, palm oil, rubber, soy and wood are not linked to any deforestation in the past five years.
When it was established earlier this year. the benchmarking system made just four countries at ‘high risk’ of deforestation, 50 were ‘standard risk’ and 140 fell under the ‘low risk’ tier.
Many EU countries objected to their ‘low-risk’ rating, arguing they should be deemed of ‘no risk’, even though some had a questionable history of forest degradation, meaning they would be subjected to minimal checks.
It led to calls for a new ‘no risk’ or ‘negligible risk’ being passed by the European Parliament in a non-binding vote in July, since when the commission has done nothing to revise legislation.
So it was a surprise to see in an official statement (from the commission) that the US ‘poses negligible risk to global deforestation’. EU Observer
September 05, 2025
Malaysia Targets Low-Risk Palm Oil Status Under EU Rules
PETALING JAYA: Malaysia is on the right track to be classified as a “low risk” country in palm oil production, particularly with its mandatory Malaysian Sustainable Palm Oil (MSPO) certification, says plantation and commodities minister Johari Ghani.
Malaysia is currently classified as “standard risk” under the European Union Deforestation Regulation (EUDR).
Johari said one of the key measures that could improve a nation’s commodity classification was the MSPO certification, which was made mandatory in Malaysia in 2020.
The EUDR requires exporters of cocoa, coffee, palm oil, soybean, cattle, rubber and timber to the EU to ensure that their products are deforestation-free and legally sourced.
In a Bernama report, Johari said the MSPO certification allowed the country to demonstrate its sustainability practices and the effectiveness of its traceability system, as well as prove that none of its products originated from deforested land.
The EUDR requires exporters of cocoa, coffee, palm oil, soybean, cattle, rubber and timber to the EU to ensure that their products are deforestation-free and legally sourced.
In a Bernama report, Johari said the MSPO certification allowed the country to demonstrate its sustainability practices and the effectiveness of its traceability system, as well as prove that none of its products originated from deforested land. FMT
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US loggers and Latin America try to defang EU forestry law
The EU’s landmark anti-deforestation law could be a victim of the bloc’s new trade deals with the United States and the South American Mercosur bloc, with the EU Commission under concerted pressure to water it down further.
As part of the agreement between the EU and US president Donald Trump in July to resolve the threat of 30 percent tariffs on European exports, officials are now working on a way to “address the concerns of US producers and exporters regarding the EU Deforestation Regulation,” with the aim of “avoiding undue impact on US–EU trade.”
The EU law is “coming apart at the seams” and “if the EU keeps stepping backwards, they’ll eventually get to where they need to be and quit tilting at windmills,” said the American Loggers Council (ALC) in a statement on Tuesday (2 September).
The law was originally designed to require sellers of products such as beef, coffee, chocolate, palm oil, and wood to demonstrate that their goods were traceable to land that has not been deforested after 31 December 2020.
A list of 194 countries’ designations was published by the European Commission in May, with 50 listed as ‘standard risk’ and 140 as ‘low risk’.
The compliance burden for each country depends on the risk designation, but only Belarus, North Korea, Myanmar, and Russia — all of them countries facing EU sanctions for other reasons — were listed as high risk.
And though the US has been classified as ‘low risk’ by the EU executive, US trade officials are lobbying for a new ‘negligible risk’ category that would exempt their companies from the due diligence requirements altogether.
Meanwhile, the Mercosur agreement, which the EU Commission formally passed for ratification on Wednesday, includes a “rebalancing mechanism” that could allow its five members to challenge EU measures, such as the anti-deforestation regulation or carbon border tax, that could negatively impact Mercosur's trade interests.
Laura Restrepo Alameda, Advocacy Coordinator at Climate Action Network Latin America, an NGO, warned on Wednesday that the deforestation law was “among the files most at risk.”
Global Forest Watch reported record global forest loss in 2024 - nearly seven million hectares of tropical primary forest were lost last year, close to double the figure for 2023. Brazil accounted for over 40 percent of the total, part of this due to its cattle ranching and soybean industries. However, Brazil was given the ‘standard risk’ designation by the EU executive in May.
Companies sourcing from low-risk countries must prove their products are deforestation-free but are not required to assess or actively manage deforestation risks.
The commission was already under pressure to water down a law which was originally intended to enter into force in January 2025, but was delayed by one year by the EU institutions last November. EU Observer
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EUDR implementation comes laden with potential unintended consequences
Experts Mongabay spoke to agree the EUDR promises to become a landmark legislative tool for curbing commodities supply chain-related deforestation at the international level. But those analysts also warn of “unintended consequences” built into the law that could imperil the initiative’s objectives and effectiveness and in some cases raise the risk of further deforestation or land use change spreading to other ecosystems.
Once it is implemented, the EUDR requires producers of a wide range of commodities — including cattle, cocoa, coffee, palm oil, rubber, soy and wood — prove their products are not being sourced from land deforested after Dec. 31, 2020.
EUDR implementation was delayed in 2024 when transnational companies and commodity producing nations complained to the EU of being unprepared for the law. That hiatus raised widespread concerns the delay might be used for “watering down” the statute.
But the postponement could also allow time for potential EUDR defects to be addressed. The Rainforest Alliance, for example, which has supported the law from its inception, “definitely saw the unintended consequences from the start,” says Fanny Gauttier, the NGO’s European public affairs lead. Mongabay
Malaysia Targets Low-Risk Palm Oil Status Under EU Rules
PETALING JAYA: Malaysia is on the right track to be classified as a “low risk” country in palm oil production, particularly with its mandatory Malaysian Sustainable Palm Oil (MSPO) certification, says plantation and commodities minister Johari Ghani.
Malaysia is currently classified as “standard risk” under the European Union Deforestation Regulation (EUDR).
Johari said one of the key measures that could improve a nation’s commodity classification was the MSPO certification, which was made mandatory in Malaysia in 2020.
The EUDR requires exporters of cocoa, coffee, palm oil, soybean, cattle, rubber and timber to the EU to ensure that their products are deforestation-free and legally sourced.
In a Bernama report, Johari said the MSPO certification allowed the country to demonstrate its sustainability practices and the effectiveness of its traceability system, as well as prove that none of its products originated from deforested land.
The EUDR requires exporters of cocoa, coffee, palm oil, soybean, cattle, rubber and timber to the EU to ensure that their products are deforestation-free and legally sourced.
In a Bernama report, Johari said the MSPO certification allowed the country to demonstrate its sustainability practices and the effectiveness of its traceability system, as well as prove that none of its products originated from deforested land. FMT
----------
US loggers and Latin America try to defang EU forestry law
The EU’s landmark anti-deforestation law could be a victim of the bloc’s new trade deals with the United States and the South American Mercosur bloc, with the EU Commission under concerted pressure to water it down further.
As part of the agreement between the EU and US president Donald Trump in July to resolve the threat of 30 percent tariffs on European exports, officials are now working on a way to “address the concerns of US producers and exporters regarding the EU Deforestation Regulation,” with the aim of “avoiding undue impact on US–EU trade.”
The EU law is “coming apart at the seams” and “if the EU keeps stepping backwards, they’ll eventually get to where they need to be and quit tilting at windmills,” said the American Loggers Council (ALC) in a statement on Tuesday (2 September).
The law was originally designed to require sellers of products such as beef, coffee, chocolate, palm oil, and wood to demonstrate that their goods were traceable to land that has not been deforested after 31 December 2020.
A list of 194 countries’ designations was published by the European Commission in May, with 50 listed as ‘standard risk’ and 140 as ‘low risk’.
The compliance burden for each country depends on the risk designation, but only Belarus, North Korea, Myanmar, and Russia — all of them countries facing EU sanctions for other reasons — were listed as high risk.
And though the US has been classified as ‘low risk’ by the EU executive, US trade officials are lobbying for a new ‘negligible risk’ category that would exempt their companies from the due diligence requirements altogether.
Meanwhile, the Mercosur agreement, which the EU Commission formally passed for ratification on Wednesday, includes a “rebalancing mechanism” that could allow its five members to challenge EU measures, such as the anti-deforestation regulation or carbon border tax, that could negatively impact Mercosur's trade interests.
Laura Restrepo Alameda, Advocacy Coordinator at Climate Action Network Latin America, an NGO, warned on Wednesday that the deforestation law was “among the files most at risk.”
Global Forest Watch reported record global forest loss in 2024 - nearly seven million hectares of tropical primary forest were lost last year, close to double the figure for 2023. Brazil accounted for over 40 percent of the total, part of this due to its cattle ranching and soybean industries. However, Brazil was given the ‘standard risk’ designation by the EU executive in May.
Companies sourcing from low-risk countries must prove their products are deforestation-free but are not required to assess or actively manage deforestation risks.
The commission was already under pressure to water down a law which was originally intended to enter into force in January 2025, but was delayed by one year by the EU institutions last November. EU Observer
---------
EUDR implementation comes laden with potential unintended consequences
- The European Union’s regulation on deforestation-free products (EUDR) is set to enter into force at the end of 2025, after a one-year delay. Experts say this tool is needed to address deforestation within the bloc’s commodities supply chains, but experts say the EUDR, unless revised, may come with unintended consequences.
- A shift of deforestation-linked commodities from the EU to nonregulated markets (known as leakage) could undermine the EUDR, while smallholder farmers could be sidelined to more easily meet the regulation’s goals, worsening social problems, risking land use change and even causing harm to ecosystems beyond forests.
- Experts propose a range of measures to address these problems in advance of EUDR implementation, including direct forest protection, inclusion of other vulnerable ecosystems in the legislation and greater efforts by government and companies to help smallholders adapt to regulatory requirements.
Experts Mongabay spoke to agree the EUDR promises to become a landmark legislative tool for curbing commodities supply chain-related deforestation at the international level. But those analysts also warn of “unintended consequences” built into the law that could imperil the initiative’s objectives and effectiveness and in some cases raise the risk of further deforestation or land use change spreading to other ecosystems.
Once it is implemented, the EUDR requires producers of a wide range of commodities — including cattle, cocoa, coffee, palm oil, rubber, soy and wood — prove their products are not being sourced from land deforested after Dec. 31, 2020.
EUDR implementation was delayed in 2024 when transnational companies and commodity producing nations complained to the EU of being unprepared for the law. That hiatus raised widespread concerns the delay might be used for “watering down” the statute.
But the postponement could also allow time for potential EUDR defects to be addressed. The Rainforest Alliance, for example, which has supported the law from its inception, “definitely saw the unintended consequences from the start,” says Fanny Gauttier, the NGO’s European public affairs lead. Mongabay
September 02, 2025
Agroecology as a path to justice: ‘How we treat the Earth is how we treat each other’
The NOW Partners Foundation is dedicated to sustainably implementing agroecology across the globe and helping protect and care for the earth - starting with the most basic part of the environment: the soil beneath our feet.
Amidst the rampant environmental degradation and undeniable economic inequality that ravage our world, the global movement to regenerate the soil and farmers’ livelihoods is bringing new life and new hope.
In fact, soil is at the forefront of a revolution grounded in nature, as it was before greed and chemicals began changing things for the worst. From the Brazilian Amazon to the valleys of Andhra Pradesh; from the Zambian plains to the villages of Sri Lanka, farmers and foresters are using groundbreaking agroecological innovations to regeenrate the soil and with it a more secure, sustainable and prosperous future for themselves and the planet.
This is the vision of NOW Partners Foundation (NOW), a global partnership specialized in co-developing, adapting and scaling innovation approaches that integrate positive impact on people and planet with economic success. NOW Partners is dedicated to sustainably implementing agroecology across the globe. Walter Link chairs NOW. “Together with our partners, we demonstrate that a new mainstream of agriculture is possible,” Link tells Vatican News, not as a dream but as a data-backed reality. “The highly innovative agroecology methods we are working with,” he says, “are not only better for the earth, but significantly increase the income of farmers. These adaptive and scalable methods regenerate the soil, enhance biodiversity, and resolve our dependency on chemical farming inputs that are costly and have many negative side effects.”
A hands-on approach
Agroecology, as NOW practises and promotes it, is not a nostalgic return to ‘how things were’. It is innovative, scientific, high-yield, high-impact, and deeply human- and nature-centred. The Foundation, in fact, is pivotal in the international scaling of the incredibly successful Andhra Pradesh Community-Managed Natural Farming (APCNF) that outperforms chemical farming in diverse crops, geographies and climates.
In Andhra Pradesh, APCNF has opened up a new future for already more than one million farmers, significantly increasing the quantity and diversity of their incomes. By 2030, over 65% of all farmers in Andhra Pradesh will use APCNF, demonstrating that agroecology can become the new mainstream of agriculture in a state that is larger than Italy. NOW and APCNF combine their strengths to adapt and scale the method internationally. Their respectful adaptation approach does not mean mere replication. It requires listening to farmers and communities and adapting to diverse natural conditions and human cultures.
Fertile ground in all senses
In Brazil, too, NOW has found fertile ground (in all senses) as the country is emerging as a role model of sustainable development. Paulo Teixeira, the Minister of Agrarian Development and Family Farming, who work closely with NOW, tells Vatican News that Brazil is undergoing a “very auspicious moment for agriculture.” The country has not only launched a national harvest plan, he explains, but has significantly reduced deforestation, introduced a bold programme to phase out chemical pesticides, and invested in reforestation through agroforestry and supports the transition of family farmers to agroecology. Vatican News
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Air France receives latest Airbus A220 following special SAF delivery flight
On August 25, 2025, Air France received its 46th Airbus A220-300 in Paris, following the aircraft’s delivery flight from Airbus’ Mirabel final assembly plant in Canada. The ferry flight marked a first for both the type and the airline, as the aircraft was delivered with a blend containing 50% sustainable aviation fuel (SAF), certified directly by Airbus.
A statement issued by the carrier said, “This milestone reflects the Air France-KLM Group’s commitment to accelerate the decarbonization of air transport. This landmark flight not only confirms Airbus’ capability to provide Proofs of Sustainability (PoS) directly to customers and operators but also supports the industry’s commitment to decarbonisation. With PoS credits for a 50% SAF blend applied through the mass balance process, this ferry flight conducted by Air France’s 46th A220-300 named “Vaison-La-Romaine” (and registered F-HPNU) represented more than 25 tonnes reduction in lifecycle greenhouse gas (GHG) emissions compared to fossil fuels.”
Alongside performing the groundbreaking SAF flight, another joint initiative between the Group and the manufacturer is enabling Airbus employees to reduce the carbon footprint of their business travel by supporting the production of SAF. This voluntary commitment is part of Air France-KLM’s “SAF Corporate” program, which facilitates the financing and purchase of SAF. Since joining the program in November 2023, Airbus has cut its emissions by more than 2,000 tons of CO₂ through the purchase of over 670 tons of SAF. Aero Time
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Civil societies tells Mondelez to not support delay of EUDR
The call from civil society comes as figures from the European Commission show more than a million hectares of forest have burned so far this year in Europe’s worst forest fires on record, with carbon emissions having tripled on last year’s figures
More than two dozen civil society groups from around the world are criticizing U.S. chocolate and snack giant Mondelēz for its recent call to delay the EU Deforestation Regulation (EUDR), a law that bans the import into the European Union of seven key commodities – including beef, soy, cocoa, rubber and palm oil – if they are linked to deforestation or forest degradation.
The letter comes as figures released by the European Commission, the lead political body for the EUDR, reveal that since the start of the year, 1,025,036 hectares of forest across Europe have been burnt, compared to 222,132 hectares in the same period in 2024. Additionally, 38.68 Mt of CO2 has been emitted since the beginning of the year, more than tripling the figure of 11.46 Mt for the same period last year.
“Mondelēz claims to still support the goals of the EUDR, but its recent actions are at odds with that statement,” the civil society coalition letter says. “Any further delay fundamentally threatens the regulation by postponing critical action and opening the entire regulatory framework for re-examination, debate, and further dilatory tactics.”
A Mondelēz spokesperson recently called for a further 12-month delay to implementation of the EUDR, which has already been postponed by 12 months and is currently scheduled to take effect on December 30 of this year. Mighty Earth
Agroecology as a path to justice: ‘How we treat the Earth is how we treat each other’
The NOW Partners Foundation is dedicated to sustainably implementing agroecology across the globe and helping protect and care for the earth - starting with the most basic part of the environment: the soil beneath our feet.
Amidst the rampant environmental degradation and undeniable economic inequality that ravage our world, the global movement to regenerate the soil and farmers’ livelihoods is bringing new life and new hope.
In fact, soil is at the forefront of a revolution grounded in nature, as it was before greed and chemicals began changing things for the worst. From the Brazilian Amazon to the valleys of Andhra Pradesh; from the Zambian plains to the villages of Sri Lanka, farmers and foresters are using groundbreaking agroecological innovations to regeenrate the soil and with it a more secure, sustainable and prosperous future for themselves and the planet.
This is the vision of NOW Partners Foundation (NOW), a global partnership specialized in co-developing, adapting and scaling innovation approaches that integrate positive impact on people and planet with economic success. NOW Partners is dedicated to sustainably implementing agroecology across the globe. Walter Link chairs NOW. “Together with our partners, we demonstrate that a new mainstream of agriculture is possible,” Link tells Vatican News, not as a dream but as a data-backed reality. “The highly innovative agroecology methods we are working with,” he says, “are not only better for the earth, but significantly increase the income of farmers. These adaptive and scalable methods regenerate the soil, enhance biodiversity, and resolve our dependency on chemical farming inputs that are costly and have many negative side effects.”
A hands-on approach
Agroecology, as NOW practises and promotes it, is not a nostalgic return to ‘how things were’. It is innovative, scientific, high-yield, high-impact, and deeply human- and nature-centred. The Foundation, in fact, is pivotal in the international scaling of the incredibly successful Andhra Pradesh Community-Managed Natural Farming (APCNF) that outperforms chemical farming in diverse crops, geographies and climates.
In Andhra Pradesh, APCNF has opened up a new future for already more than one million farmers, significantly increasing the quantity and diversity of their incomes. By 2030, over 65% of all farmers in Andhra Pradesh will use APCNF, demonstrating that agroecology can become the new mainstream of agriculture in a state that is larger than Italy. NOW and APCNF combine their strengths to adapt and scale the method internationally. Their respectful adaptation approach does not mean mere replication. It requires listening to farmers and communities and adapting to diverse natural conditions and human cultures.
Fertile ground in all senses
In Brazil, too, NOW has found fertile ground (in all senses) as the country is emerging as a role model of sustainable development. Paulo Teixeira, the Minister of Agrarian Development and Family Farming, who work closely with NOW, tells Vatican News that Brazil is undergoing a “very auspicious moment for agriculture.” The country has not only launched a national harvest plan, he explains, but has significantly reduced deforestation, introduced a bold programme to phase out chemical pesticides, and invested in reforestation through agroforestry and supports the transition of family farmers to agroecology. Vatican News
---------
Air France receives latest Airbus A220 following special SAF delivery flight
On August 25, 2025, Air France received its 46th Airbus A220-300 in Paris, following the aircraft’s delivery flight from Airbus’ Mirabel final assembly plant in Canada. The ferry flight marked a first for both the type and the airline, as the aircraft was delivered with a blend containing 50% sustainable aviation fuel (SAF), certified directly by Airbus.
A statement issued by the carrier said, “This milestone reflects the Air France-KLM Group’s commitment to accelerate the decarbonization of air transport. This landmark flight not only confirms Airbus’ capability to provide Proofs of Sustainability (PoS) directly to customers and operators but also supports the industry’s commitment to decarbonisation. With PoS credits for a 50% SAF blend applied through the mass balance process, this ferry flight conducted by Air France’s 46th A220-300 named “Vaison-La-Romaine” (and registered F-HPNU) represented more than 25 tonnes reduction in lifecycle greenhouse gas (GHG) emissions compared to fossil fuels.”
Alongside performing the groundbreaking SAF flight, another joint initiative between the Group and the manufacturer is enabling Airbus employees to reduce the carbon footprint of their business travel by supporting the production of SAF. This voluntary commitment is part of Air France-KLM’s “SAF Corporate” program, which facilitates the financing and purchase of SAF. Since joining the program in November 2023, Airbus has cut its emissions by more than 2,000 tons of CO₂ through the purchase of over 670 tons of SAF. Aero Time
---------
Civil societies tells Mondelez to not support delay of EUDR
The call from civil society comes as figures from the European Commission show more than a million hectares of forest have burned so far this year in Europe’s worst forest fires on record, with carbon emissions having tripled on last year’s figures
More than two dozen civil society groups from around the world are criticizing U.S. chocolate and snack giant Mondelēz for its recent call to delay the EU Deforestation Regulation (EUDR), a law that bans the import into the European Union of seven key commodities – including beef, soy, cocoa, rubber and palm oil – if they are linked to deforestation or forest degradation.
The letter comes as figures released by the European Commission, the lead political body for the EUDR, reveal that since the start of the year, 1,025,036 hectares of forest across Europe have been burnt, compared to 222,132 hectares in the same period in 2024. Additionally, 38.68 Mt of CO2 has been emitted since the beginning of the year, more than tripling the figure of 11.46 Mt for the same period last year.
“Mondelēz claims to still support the goals of the EUDR, but its recent actions are at odds with that statement,” the civil society coalition letter says. “Any further delay fundamentally threatens the regulation by postponing critical action and opening the entire regulatory framework for re-examination, debate, and further dilatory tactics.”
A Mondelēz spokesperson recently called for a further 12-month delay to implementation of the EUDR, which has already been postponed by 12 months and is currently scheduled to take effect on December 30 of this year. Mighty Earth
September 01, 2025
Indonesia pushes for South-South cooperation on palm oil sustainability standards
Comprehensive global standards for palm oil management and trade are being developed through BRICS, CPOPC and FAO, but will they sync with the EU’s Deforestation Regulation?
This article is part of our special report Palm Oil: Balancing sustainability, livelihoods, and global demand.
In July, Indonesian Deputy Foreign Minister Arif Havas Oegroseno announced a new push to develop palm oil standards through Global South cooperation organisations – specifically the BRICS (Brazil, Russia, India, China, South Africa and others), CPAPC (the Council of Palm Oil Producing Countries) and the UN’s Food and Agriculture Organisation (FAO).
It comes as the EU’s recently passed Deforestation Regulation (EUDR), which has been delayed and is currently scheduled to take effect at the end of 2025, is coming under intense criticism from countries in the Global South.
Speaking at the Bioenergy Industry Opportunities and Challenges Seminar in Jakarta on 17 July, the deputy foreign minister said the initiative is designed to prioritise the needs of developing nations and smallholder farmers. "The European Union has created its own standards without any alternative benchmark,” he said. “So, we must create our own benchmark outside the EU. We need to establish national or international standards under platforms like CPOPC, BRICS, and FAO.”
Several BRICS countries have so far responded favourably to the idea, and there is already a consensus to create sustainable vegetable oil standards that acknowledge the challenges faced by developing nations.
Arif Havas told the conference that the new plan marks a “strategic shift - Indonesia will no longer just react to global rules, it will take the lead in shaping them.”
He said that rules designed by jurisdictions in which the commodities impacted (palm oil, cocoa, rubber and coffee) are not grown are not taking into account the sustainability actions taken by governments in producing countries.
Government actions unveiled
Indonesia and Malaysia, the world’s two largest palm oil producers, have rolled out a number of public policies to make their palm oil industries more sustainable. Both governments are relying on mandatory certification schemes and stronger environmental safeguards. The results so far have been mixed.
Jakarta made its Indonesian Sustainable Palm Oil (ISPO) scheme compulsory through a 2020 Presidential Regulation, requiring all growers, including smallholders, to be certified by 2025. The standard covers legal compliance, environmental protection and labour rights. The government also introduced peatland restoration programs and, until 2021, maintained a moratorium on new oil palm permits. After the moratorium lapsed, officials insisted that existing regulations were sufficient to control deforestation and land-use change.
As of 2024, about 35–36 per cent of Indonesia’s plantation area was ISPO-certified, with independent smallholders struggling to meet the costs and technical demands. Watchdogs have warned of gaps in peat protection and enforcement.
Deforestation, which had fallen steadily since the mid-2010s, ticked up again in 2023-2024. Analysts say renewed expansion pressures and inconsistent enforcement risk undermining hard-won environmental gains.
Mandatory certification
Malaysia has also passed a number of new laws to improve the sustainability of palm oil. Its Malaysian Sustainable Palm Oil (MSPO) certification became mandatory in 2020, and the government unveiled MSPO 2.0 in 2022, introducing tougher requirements on deforestation cut-offs, labour conditions, and traceability.
The new standard officially took effect on 1 January 2025. Authorities backed the transition with funding and outreach campaigns. By the end of 2024, around 86 per cent of plantations were certified, with officials targeting more than 95 per cent coverage in 2025. The results are visible. Primary forest loss in Malaysia declined by 13 per cent in 2024 compared to the previous year, according to World Resources Institute data, pushing the country out of the global top-10 for tropical forest loss.
“Malaysia has put in place policy frameworks and legislation to ensure sustainable development of the industry,” says Dr. Ahmad Parveez Ghulam Kadir, Director-General of the Malaysian Palm Oil Board. “The development of the oil palm industry is governed by more than 60 regulations and laws, making it one of the most regulated industries in Malaysia. More importantly, Malaysia has prohibited the opening of new land areas for oil palm cultivation.”
Both countries have complained that the EUDR, which requires palm oil imports to be deforestation-free, doesn’t recognise these efforts. Jakarta and Kuala Lumpur have joined a joint task force with the EU aimed at aligning certification, traceability and legality standards.
Commission defending EUDR
In a letter sent to the European Parliament before the legislature voted in December to delay the implementation of the law, a group of NGOs warned that if the EU doesn’t stand by its law in the face of global pressure, forests will be put at risk.
“The world’s forests urgently need the protection that the EUDR offers. Following years of failures by the private sector to voluntarily address environmental and human rights impacts in their supply chains, the EUDR is a necessary and crucial step. By delaying its application and giving in to the demands of vested interests, the European Commission is significantly undermining the EU’s credibility as a global leader in the fight against climate change, biodiversity loss and human rights violations,” they warned.
The centre-right European People’s Party of European Commission President Ursula von der Leyen has led the efforts to delay and adjust the EUDR. However, so far, the Commission is standing behind the legislation.
In April, the Commission released simplification guidelines “replying to feedback from the EU’s international partners.” It came with a Delegated Act that would clarify the scope of the new rules, along with a country benchmarking system. But they say they are standing behind the law.
The Commission noted that, “Together, all these measures will lead to a currently estimated 30% reduction of administrative costs and burden for companies. This will ensure a simple, fair and cost-efficient implementation of this key piece of legislation. The EUDR has already led to positive developments and action on the ground to fight deforestation, climate change and biodiversity loss.”
But the international partners producing these products may move ahead with their own standards. The Indonesian government has said that laws targeting deforestation should recognise both sustainability imperatives and development realities, and that environmental protection efforts done incorrectly could inadvertently harm the very communities they aim to protect. EURACTIV
Indonesia pushes for South-South cooperation on palm oil sustainability standards
Comprehensive global standards for palm oil management and trade are being developed through BRICS, CPOPC and FAO, but will they sync with the EU’s Deforestation Regulation?
This article is part of our special report Palm Oil: Balancing sustainability, livelihoods, and global demand.
In July, Indonesian Deputy Foreign Minister Arif Havas Oegroseno announced a new push to develop palm oil standards through Global South cooperation organisations – specifically the BRICS (Brazil, Russia, India, China, South Africa and others), CPAPC (the Council of Palm Oil Producing Countries) and the UN’s Food and Agriculture Organisation (FAO).
It comes as the EU’s recently passed Deforestation Regulation (EUDR), which has been delayed and is currently scheduled to take effect at the end of 2025, is coming under intense criticism from countries in the Global South.
Speaking at the Bioenergy Industry Opportunities and Challenges Seminar in Jakarta on 17 July, the deputy foreign minister said the initiative is designed to prioritise the needs of developing nations and smallholder farmers. "The European Union has created its own standards without any alternative benchmark,” he said. “So, we must create our own benchmark outside the EU. We need to establish national or international standards under platforms like CPOPC, BRICS, and FAO.”
Several BRICS countries have so far responded favourably to the idea, and there is already a consensus to create sustainable vegetable oil standards that acknowledge the challenges faced by developing nations.
Arif Havas told the conference that the new plan marks a “strategic shift - Indonesia will no longer just react to global rules, it will take the lead in shaping them.”
He said that rules designed by jurisdictions in which the commodities impacted (palm oil, cocoa, rubber and coffee) are not grown are not taking into account the sustainability actions taken by governments in producing countries.
Government actions unveiled
Indonesia and Malaysia, the world’s two largest palm oil producers, have rolled out a number of public policies to make their palm oil industries more sustainable. Both governments are relying on mandatory certification schemes and stronger environmental safeguards. The results so far have been mixed.
Jakarta made its Indonesian Sustainable Palm Oil (ISPO) scheme compulsory through a 2020 Presidential Regulation, requiring all growers, including smallholders, to be certified by 2025. The standard covers legal compliance, environmental protection and labour rights. The government also introduced peatland restoration programs and, until 2021, maintained a moratorium on new oil palm permits. After the moratorium lapsed, officials insisted that existing regulations were sufficient to control deforestation and land-use change.
As of 2024, about 35–36 per cent of Indonesia’s plantation area was ISPO-certified, with independent smallholders struggling to meet the costs and technical demands. Watchdogs have warned of gaps in peat protection and enforcement.
Deforestation, which had fallen steadily since the mid-2010s, ticked up again in 2023-2024. Analysts say renewed expansion pressures and inconsistent enforcement risk undermining hard-won environmental gains.
Mandatory certification
Malaysia has also passed a number of new laws to improve the sustainability of palm oil. Its Malaysian Sustainable Palm Oil (MSPO) certification became mandatory in 2020, and the government unveiled MSPO 2.0 in 2022, introducing tougher requirements on deforestation cut-offs, labour conditions, and traceability.
The new standard officially took effect on 1 January 2025. Authorities backed the transition with funding and outreach campaigns. By the end of 2024, around 86 per cent of plantations were certified, with officials targeting more than 95 per cent coverage in 2025. The results are visible. Primary forest loss in Malaysia declined by 13 per cent in 2024 compared to the previous year, according to World Resources Institute data, pushing the country out of the global top-10 for tropical forest loss.
“Malaysia has put in place policy frameworks and legislation to ensure sustainable development of the industry,” says Dr. Ahmad Parveez Ghulam Kadir, Director-General of the Malaysian Palm Oil Board. “The development of the oil palm industry is governed by more than 60 regulations and laws, making it one of the most regulated industries in Malaysia. More importantly, Malaysia has prohibited the opening of new land areas for oil palm cultivation.”
Both countries have complained that the EUDR, which requires palm oil imports to be deforestation-free, doesn’t recognise these efforts. Jakarta and Kuala Lumpur have joined a joint task force with the EU aimed at aligning certification, traceability and legality standards.
Commission defending EUDR
In a letter sent to the European Parliament before the legislature voted in December to delay the implementation of the law, a group of NGOs warned that if the EU doesn’t stand by its law in the face of global pressure, forests will be put at risk.
“The world’s forests urgently need the protection that the EUDR offers. Following years of failures by the private sector to voluntarily address environmental and human rights impacts in their supply chains, the EUDR is a necessary and crucial step. By delaying its application and giving in to the demands of vested interests, the European Commission is significantly undermining the EU’s credibility as a global leader in the fight against climate change, biodiversity loss and human rights violations,” they warned.
The centre-right European People’s Party of European Commission President Ursula von der Leyen has led the efforts to delay and adjust the EUDR. However, so far, the Commission is standing behind the legislation.
In April, the Commission released simplification guidelines “replying to feedback from the EU’s international partners.” It came with a Delegated Act that would clarify the scope of the new rules, along with a country benchmarking system. But they say they are standing behind the law.
The Commission noted that, “Together, all these measures will lead to a currently estimated 30% reduction of administrative costs and burden for companies. This will ensure a simple, fair and cost-efficient implementation of this key piece of legislation. The EUDR has already led to positive developments and action on the ground to fight deforestation, climate change and biodiversity loss.”
But the international partners producing these products may move ahead with their own standards. The Indonesian government has said that laws targeting deforestation should recognise both sustainability imperatives and development realities, and that environmental protection efforts done incorrectly could inadvertently harm the very communities they aim to protect. EURACTIV
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Palm oil news September 2025-CSPO Watch