Palm oil companies support government move against black campaign

"If a palm oil company failed to comply with the regulation, the punishment should be meted out only on the company. It is not fair if all Indonesian companies have to suffer the consequence," Agus said.

Jakarta (ANTARA News) - Indonesian palm oil companies said they support government move in opposing black campaign against Indonesian palm oil commodities in the European Union.

"So far there have been no significant effects on the countrys palm oil exports but in the long run wrong perception of the European Union of Indonesian palm oil industry could be hurtful," Managing Director of Sustainability and Strategic Stakeholders Engagement Golden Agri-Resources (GAR) Agus Purnomo said here on Tuesday.

Agus said companies alone could not possibly face the campaign launched by the European Parliament. Companies through their association and the government need to seek negotiations with the European parliament.

Corporations and the government want implementation of a free and fair trade system in line with the principle of the World Trade Organization, he said.

"If a palm oil company failed to comply with the regulation, the punishment should be meted out only on the company. It is not fair if all Indonesian companies have to suffer the consequence," he said.

An Indonesian delegation to the 13th Trade Policy Review (TPR) of the the European Union in the WTO, in Geneva earlier this month, raised concern with the policy of the European Union which restricts imports of Indonesian commodities mainly palm oil products.

Indonesian Representative in Geneva said the Indonesian delegation sought to draw the attention of the European Union to growing restriction on imports of Indonesian commodities particularly palm oil.

The Indonesian delegation also expressed concern about the Resolution on Palm Oil and Deforestation of Rain forest approved by the European Parliament in April 2017, discriminating against Indonesian palm oil and other vegetable oil products.

The delegation said the resolution is unfounded and the European Union needs to recognize serious efforts of the Indonesian government in the management and promotion of sustainable palm oil production.

In answer to the Indonesian complaint , the European Union delegation said the resolution of the EU Parliament is not binding for the European Commission Executive, and in general did not require the European Commission to follow up with the formulation of a binding law.

The Indonesia delegation, however, said the resolution would strengthen negative campaigns against Indonesian palm oil products in the European market. (*)

Editor: Heru Purwanto
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