Indonesia to Divert Palm Oil Export to African Countries

Maritime and Investment Coordinating Minister Luhut Binsar Panjaitan has stated that the government has planned to divert the export of crude palm oil (CPO) from Europe to South Africa and other African countries, if the European Union (EU) decides to reject the Indonesian palm oil, cnbcindonesia.com reported on August 09.
The rejection is possible after the decision of the EU to apply the EU deforestation regulation (EUDR), which requires exporters and importers of agricultural and plantation production, including palm oil, to prove that the products are not the cause of deforestation with documents of due diligence and verifications.  Reportedly, based on the EU regulations, EU will reject palm oil from Indonesia as it is claimed to cause deforestation during the process of production.
Responding to the EU policy, Minister Luhut said that Indonesia is not afraid of losing the European market and that the country will divert 3 million tons to other countries like the African countries. Luhut said this during the Economic Update of CNBC Indonesia last month.