Jakarta (ANTARA) - Coordinating Minister of Economic Affairs Airlangga Hartarto has said that Indonesia has 18 months remaining to act before the implementation of the European Union Deforestation-free Regulation (EUDR).

Hartarto made his remarks to Finance Minister Sri Mulyani Indrawati at a discussion organised by the Finance Ministry's Indonesian National Single Window Agency (LNSW) here on Friday.

"Mrs Finance Minister, Indonesia has 18 months remaining from now, because they intend to implement the regulation in 18 months," Hartarto said.

He said that the implementation of the European Union regulation, which would label products as originating from high-risk, standard, or low-risk countries, will burden the national logistics sector.

Indonesian commodities potentially restricted by EUDR include palm oil and its derivatives, coffee, soya, cocoa, beef, and wood, Hartarto added.

He noted that rubber, paper and leather and its derivatives are other commodities that could be potentially restricted by EUDR.

"Logistics will be our urgent issue, because before our commodities are declared as clear we cannot send them (to EU countries), or (they may request) extra verification," he said.

Hartarto opined that business competition might be another factor, besides deforestation, behind the decision to impose EUDR.

"This is a regulation created to control other countries. We usually issue a regulation for our own, but this regulation instead controls other countries," he said.

Earlier on May 30-31, 2023, Hartarto and Malaysia's Deputy Prime Minister and Minister of Plantation and Commodities Fadillah Yusof conducted a joint mission to oppose the EU deforestation-free regulation.

During the mission, the two ministers met European Union officials in Brussels, Belgium, to convey their concern over the regulation and its potential effects on the two countries.

Furthermore, President Joko Widodo (Jokowi), during his visit to Malaysia on Thursday (June 8), urged Prime Minister Anwar Ibrahim to expand bilateral cooperation in opposing discrimination against palm oil products coming from the two countries due to EUDR.

Related news: Jokowi urges Malaysia to collaborate to oppose palm oil discrimination

Related news: Indonesia rejects palm oil discrimination in EUDR before EU NGOs

Translator: Bayu Saputra, Nabil Ihsan
Editor: Tia Mutiasari
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