Netherlands clarifies that the country will not support EU in banning crude palm oil (CPO) product from Indonesia in the trade war.
Accordingly, the Minister of Foreign Affairs Stef Blok declared that the Netherlands will not take part in EU’s scheme to ban the product. Instead, he assured that the country will side with Indonesia in this matter.
In addition, he further hoped that Indonesia will find a safe way to cultivate and develop the product. Also, he suggested that Indonesia should establish sustainability of the commodity.
That said, Blok implied that both parties better not to prolong the dispute any longer. He added that farmers whose living only comes from palm oil have been experiencing a hard time.
For that reason, he believed that if Indonesia is capable of making a sustainable way to grow the products, the dispute might be over.
Also Read: Indonesia-EU Palm Oil Trade Negotiations Continue
What’s Happening in Indonesia-EU Palm Oil Trade War
The biggest palm oil producer in the world, Indonesia, has been having a dispute over palm oil import regulations with the EU since the last year. Accordingly, the dispute began when the EU planned to utterly stop the imports by 2030.
As a consideration, the EU believes that palm oil industry significantly contributes to heavy deforestation, specifically in Indonesia and Malaysia. Furthermore, the deforestation considerably endangers wildlife species and worsens the climate change effect.
Nevertheless, Indonesia is robustly sure that the ban is nothing more than a discriminatory act against the product. In short, the accusation suggests that it is all about business.
Pertaining to EU’s decision, Indonesia did not take it easy. Last year, particularly in December, Indonesia filed a complaint to World Trade Organization (WTO) and, ever since, the institution has been examining the case.
As for Indonesia itself, the government is currently mass-promoting the implementation of palm oil in some different ways. Of those, the government manufactures a palm-oil-fueled auto.
Also Read: Indonesia Palm Oil, From WTO Complaint to Deal with Netherlands