PALMOILMAGAZINE, JAKARTA – The European Union Commission announced the postponement of the implementation of the European Union Deforestation-free Regulation (EUDR), aimed at reducing deforestation linked to commodity trade in Europe.
The new timeline sets the implementation date for large companies on December 30, 2025, and for micro and small businesses on June 30, 2026. Additionally, producer countries like Indonesia will receive extended timelines, which has sparked reactions from various stakeholders in Indonesia.
The Koalisi Masyarakat Sipil Indonesia, comprising 45 organizations, including NGOs, smallholders’ unions, plantation labor groups, and representatives of indigenous peoples, expressed disappointment over the delay. In their statement, the coalition emphasized the importance of maintaining momentum to improve commodity governance in the country.
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Denny Bhatara, Senior Campaigner for Kaoem Telapak, criticized the postponement, stating, “This cannot be considered a strategic delay. We have been preparing for this regulation since 2020, and the EUDR presents a significant opportunity to enhance commodity governance in Indonesia. This delay will hinder the progress we have made.” He made these remarks during a media briefing on October 7, 2024, which was attended online by Palmoilmagazine.com.
Andi Muttaqien, Executive Director of Satya Bumi said that there would be three crucial aspects in EUDR that would help Indonesia improve commodity governance, such as, anti-deforestation, legal, and traceability. “If EUDR would be postponed, the external pressures that encourage the (big changes) would get weaker,” Andi said.
The Impacts for Smallholders
If EUDR would be postponed, not only big industries would get the impacts, but also the smallholders.
Marcel Andry, Head of Advocacy Department of Serikat Petani Kelapa Sawit (SPKS) said that there would be no advantages to postpone EUDR implementation. “We have worked very hard to prepare polygon data and coordinate spots to accomplish the legal issue. The implementation postponement would not deliver help for us,” he said.
Marcel though, EUDR would be the moment to improve palm oil plantation/industrial governance in this country. The postponement would block independent smallholders that would be ready to get involve in more sustainable palm oil supply chain globally.
If EUDR implementation could be postpone, the market demands on sustainable commodity get increased globally.
Ully Artha Siagian, Forest and Plantation Campaigner of Wahana Lingkungan Hidup Indonesia (Walhi) said that here is no guarantee if EUDR would be more effective if it is postponed. We have to review how effective the regulation would be by implementing it as soon as very possible,” Boru Siagian said.
Besides, Indonesia would face the commitment to solve climate crisis namely in forestry and other land use change (FOLU) sectors. That is why to improve some commodities, such as, palm oil, wood, coffee, cocoa, rubber, would be the priorities, apart from EUDR implementation postponement.
It means, if it is postponed, the pressure to improve some commodities’ governance in Indonesia would remain high. It would be very significant to get strategic things from the governments and industries to confirm that Indonesia would qualify the closer market demands globally. (P2)
