The Indonesian Palm Oil Association (GAPKI) remains optimistic that the European Union Deforestation Regulation (EUDR) will not significantly impact Indonesia’s palm oil exports to Europe.
Most Indonesian palm oil companies have already met the requirements stipulated by the EUDR, ensuring that their products can continue to be shipped to the European market.
The EUDR is a policy that prohibits the entry of commodities and products linked to deforestation into the European Union.
However, GAPKI’s Head of Positive Campaigns, Edi Suhardi, expressed confidence that the new regulation would not pose a significant challenge.
According to him, the volume of palm oil exports to Europe, especially from established companies, is unlikely to be affected.
“The EUDR will mainly result in additional administrative work and product documentation before exports. However, we believe this can be managed, and the EUDR will not affect Indonesia’s palm oil exports to Europe,” Edi said during a virtual discussion on Wednesday, October 23, 2024.
He noted that most Indonesian palm oil companies have already complied with the EUDR’s requirements before exporting to Europe, as they have long adapted to various international regulations, including those in other countries.
One way companies have prepared for such regulations is through certifications like the Roundtable on Sustainable Palm Oil (RSPO).
However, Edi pointed out that smaller-scale palm oil farmers may feel the impact of the EUDR more acutely due to their limited production capacity.
“We see that smallholders will be the ones most affected by the EUDR,” he said.
