CPO Imports Could Increase in India while Europe Might Face Issues

CPO Imports Could Increase in India while Europe Might Face Issues

InfoSAWIT, JAKARTA – CPO imports in India would be increasing too because there would be Diwali Festival. But it is afraid that the government of India would increase the vegetable oil tax. This is about to help the smallholders to increase the local supply because the country tries to fulfill the vegetable oil needs independently.

The CPO demands in European Union might face some challenges because the continent wants to stop palm oil biodiesel usage in 2030, the publication of Renewable Energy Directive (RED) II (please read: Focus, InfoSAWIT, October 2019), and the plan to regulate the food safety standards to limit the contain of palm oil (please read: Focus, InfoSAWIT, March 2020).

The numbers of CPO usage for biodiesel mixture increased 7% compared to last year in the same period but for food sector significantly decreased. This happened for the pandemic which limits the people’s activity and cut off the food consumption in palm oil – base.

“Palm oil biodiesel imports decreased (namely from Indonesia) because European Union proposed anti-dumping tariff, Covid-19 pandemic. The two forced the decreasing consumption in food industries in European Union,” Senior Analyst of Refinitive Agriculture Research, King Pang Tan noted. (T2)

This article once published in InfoSAWIT, Augustus 2020

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