
InfoSAWIT, JAKARTA – The proposal to delay the European Union Deforestation Regulation (EUDR) has been seen as a breath of fresh air for palm oil stakeholders in producing countries, including Indonesia. This delay is believed to provide additional time to refine subsequent actions.
Rizal Affandi Lukman, Secretary-General of the Council of Palm Oil Producing Countries (CPOPC), welcomed the proposal for a delay. He stated that this postponement is crucial for palm oil-producing countries and the European Union (EU) to prepare adequately to meet the regulatory requirements. The EUDR, aimed at reducing deforestation caused by certain commodities, including palm oil, has become a key issue in trade relations between producing countries and the EU.
Since May 2023, CPOPC has actively facilitated a Joint Mission related to the EUDR, culminating in a meeting on September 12, 2024, during the Ad Hoc Joint Task Force EUDR forum. During this period, CPOPC has consistently advocated for the delay, collaborating with the governments of Indonesia, Malaysia, and the EU. They have also engaged in dialogue with industry stakeholders, non-governmental organizations, and consumers in the EU.
Rizal emphasized that the EUDR delay would provide more time for producing countries to prepare, particularly in palm oil management. Palm oil is the most regulated vegetable oil in terms of sustainability standards. "In Indonesia, sustainability is regulated through the Indonesian Sustainable Palm Oil (ISPO) certification, while in Malaysia, it is through the Malaysian Sustainable Palm Oil (MSPO)," he stated to InfoSAWIT recently.
With this certification, producing countries already have documentation that can fulfill EUDR requirements, such as the Due Diligence Statement (DDS). The delay will allow smallholders to be integrated into national systems like the National Dashboard, ensuring they remain part of the supply chain.
One of the efforts being undertaken by the Indonesian government is the development of the National Dashboard, which is part of Workstream 3 within the five Workstreams of the EUDR. The National Dashboard will serve as a platform capable of providing the data, information, and documentation needed to meet EUDR requirements, particularly regarding traceability.
In the context of the EUDR, there are sensitive legal requirements for producing countries, such as providing geolocation data to ensure that palm oil products entering the EU market do not originate from deforested land. The National Dashboard is expected to address this issue and mitigate unwanted risks, such as supply disruptions.
However, Rizal underscored the need to ensure the development and operationalization of traceability tools in CPOPC member countries, both domestically and in collaboration with EU operators. Communication and coordination with technical parties in the EU, such as Competent Authorities and EU member state operators, need to be continuously improved. Technical cooperation among Workstreams is also essential, especially to resolve outstanding issues such as the definition of forests and the format of geolocation documents. (T2)