PALMOILMAGAZINE, JAKARTA — Senior Economist at the Institute for Development of Economics and Finance (INDEF), M. Fadhil Hasan, emphasized that regulatory consistency in palm oil trade is crucial—not only for Indonesia as a leading exporter but also for India as the largest consumer.
“If regulations are applied inconsistently, the impact can immediately be felt in India’s inflation rate. On the other hand, if they are consistent, both sides will benefit,” Fadhil explained during an online discussion attended by Palmoilmagazine.com on Monday (22/9/2025). He also stressed the importance of intensive dialogue between Indonesia and India to align palm oil trade policies.
Fadhil further noted that palm oil demand now extends beyond food, with growing importance in the energy sector, particularly biodiesel. According to him, the main challenge is not choosing between food or fuel, but rather how to boost national palm oil production capacity.
Also Read: Solidaridad Promotes Regenerative Farming to Tackle Stagnant Palm Oil Smallholders’ Productivity
“The key lies in increasing productivity. Smallholder replanting programs, rehabilitation of underperforming plantations, and more effective fertilization practices are among the solutions,” he said.
With these strategies, Fadhil expressed optimism that Indonesia will be able to meet the dual demand for both food and energy. “We should not see this as a problem, but as an opportunity to strengthen the national palm oil industry,” he concluded. (P2)
