Indonesia and Malaysia to visit Brussels over concerns over EU deforestation law

Indonesia and Malaysia account for about 85% of global palm oil exports and the EU is their third largest market.

Last month, the European Parliament approved a landmark deforestation law banning EU imports of coffee , beef, soybeans and other commodities unless companies can provide "reliable" information that the products were not grown on lands that have been deforested. after 2020.

Both countries have accused the EU of discriminatory palm oil policies, with Malaysia previously saying it could stop its exports to the EU over a deforestation law.

Environmentalists hailed the ruling as an important step towards protecting forests, as deforestation accounts for about 10% of global greenhouse gas emissions.

Indonesia's coordinating economy minister, Airlangga Hartarto, said the law would burden smallholders with administrative procedures.

“The law could exclude the important role of smallholders in the global supply chain and fail to recognize their importance and rights,” the minister, who will travel to Brussels with Malaysian Commodities Minister Fadilla Yusof, said in a statement. The statement said the mission would seek to discuss ways to minimize the negative impact of the law, especially on smallholders.

EU diplomats denied that the bloc is seeking to ban palm oil imports and said the law applies equally to goods produced anywhere.