Jakarta, IO – Trade Ministry (Kemendag) invited 33 countries to protest against the European Union Deforestation Regulation (EUDR) because the rule is considered discriminatory and detrimental to the palm oil industry in various countries, including Indonesia.
Trade Minister Zulkifli Hasan said Indonesia has invited them to draft a second letter of protest against EUDR, per Katadata, Tuesday (1/8).
“Our target is of course to get as many voices as possible to strengthen Indonesia’s position,” said Zulkifli Hasan.
He explained that the policy is very discriminatory because it would limit trade not only in palm oil, but other commodities such as coffee, pepper, cocoa and rubber with Europe. In fact, it can potentially hinder Indonesia’s exports to the European Union by up to US$7.2 billion which otherwise could reach US$100 billion. EUDR was officially enforced on May 16. It requires all exporters to submit due diligence and verification documents to guarantee that the product does not come from land subject to deforestation after January 1, 2021. If violations are found, exporters will be fined up to 4 percent of income earned from within the European Union. (bp)