PALMOILMAGAZINE, BRUSSELS – Vice Minister of Trade of the Republic of Indonesia, Jerry Sambuaga, expressed optimism that the trade agreement between Indonesia and the European Union would be finalized this year. He made this statement during an interview with Bloomberg in Brussels, Belgium, on Tuesday (24/9).
Sambuaga discussed the challenges both parties face, particularly regarding the European Union’s Deforestation Regulation (EUDR). This regulation aims to reduce deforestation linked to major commodities, such as palm oil and coffee—two products where Indonesia is a leading producer.
The EUDR has sparked tensions in trade relations between Indonesia and the EU, with Indonesia being a vocal critic of the regulation. The concern stems from potential negative impacts on Indonesian export commodities. Indonesia has proposed a certification scheme to mitigate these effects and has called for the EU to recognize such a system.
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He would be optimist that both parties would get profitable agreement in this very short. “We do hope that the trade agreement would be accomplished this year and we would do the best to struggle for what Indonesia’s interests in the dialogue,” he said, as in the official statement, as Palmoilmagazine.com quoted, Thursday (26/9/2024).
The trade agreement between Indonesia and European Union should also massively deliver advantages for both parties namely in commodity trade and main exports, such as, palm oil and commodity from Indonesia. (P2)
