Before implementing EUDR, Fadhil continued, exports from Indonesia and Malaysia significantly decreased to European since 2017. Indonesia once exported palm oil up to 5,5 million tons in total but in 2022 the numbers just reached to be 3,7 million tons.
“Vegetable oil consumption in the continent increased 4,3 percent. What is happening now is that if years before many consumed palm oil, European Union now substitutes vegetable oils that its members produced. This happens after barriers to palm oil. Trade restriction occurs because of competition with other vegetable oils,” he said.
As trade barrier anticipation to palm oil products, the government escalates palm oil consumption in this country by having series of policy, such as, biodiesel and red palm oil.
Head of Partnership Division Micro, Small, Medium Cooperation (MSMC), Palm Oil Plantation Fund Management Agency (PFMA), Helmi Muhansyah said, his institution tries to deliver impacts to escalate the people’s welfare, such as, empowering MSMC.
“We do promotions to escalate the images of palm oil and expand its market. The promotion is part of PFMA performance as it is regulated in Chapter 14 President’s Regulation Number 61 / 2015 about Collection and Use of Palm Oil Fund,” he said. (T2)
