Jakarta, IO – The Indonesian government encouraged the implementation of the European Union Deforestation-free Regulation (EUDR) at the Epistemic Community and Market Forum (ECMF) in Madrid and Rome recently. This effort is taken so that small farmers are not excluded from the EU market.
Head of Foreign Ministry’s (Kemlu) Foreign Policy Strategy Agency (BSKLN) Dr. Yayan G.H. Mulyana underscored the important role of palm oil in Indonesia’s economic relations with Spain and Italy. He also emphasized the urgent inclusion of Indonesian smallholder farmers in the supply chain for vegetable oils and other agricultural commodities in Europe, per Kemlu.go.id, Tue (5/12).
“Palm oil is an important commodity in Indonesia’s economic relations with Spain and Italy whose vegetable oil imports from Indonesia account for 54 percent and 52 percent, respectively, to support their food and cosmetics industry,” said Yayan.
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Currently, there is negative perception of palm oil in Europe due to its impact on the environment and health. Therefore, according to Competere Italia co-founder Pietro Paganini, the EU should consult with producing countries and smallholder farmers in its policymaking process. Currently, around 40 to 42 percent of farmers in Indonesia work in the palm oil sector, much smaller than those in coffee, cocoa and rubber. Therefore, Spain, Italy and Indonesia need to work together, while continuing to keep the dialogue channels open with the EU to ensure fair and inclusive policies for Indonesian smallholder farmers in the international market. (bp)