Johari Ghani calls for stronger Malaysia-Indonesia cooperation in palm oil industry

JAKARTA (Nov 29): Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani has called for greater cooperation between Malaysia and Indonesia to address the regulatory challenges facing the global palm oil industry.

Speaking at a joint press conference after the 12th Council of Palm Oil Producing Countries (CPOPC) Ministerial Meeting on Friday, the minister warned that protectionist policies, including the European Union Deforestation Regulation (EUDR), could lead to trade barriers.

Johari highlighted the CPOPC’s role in creating strategies to ensure fair treatment for smallholders, improve market access, and promote sustainable practices within the sector.

“The CPOPC is a vital platform to address environmental concerns while adhering to global regulations, ensuring that the benefits are shared for the betterment of our nations and the world,” he said.

Johari also emphasised Indonesia’s position as the world’s largest palm oil producer, noting its use of palm oil for biodiesel.

“The global acceptance of biodiesel is essential to combating climate change as it has helped reduce emissions in the energy sector,” he said.

He added that Indonesia and Malaysia account for over 70% of the global palm oil market.

The meeting, chaired by Indonesia’s Coordinating Minister for Economic Affairs Airlangga Hartarto, also saw the virtual attendance of Honduras’ Minister of Agriculture and Livestock Laura Suazo, represented by Deputy Minister Lid Roy Lazo Rodríguez, and Congo’s Minister Delegate for International Cooperation Bestine Kazadi Ditabala.

At a joint press conference, Airlangga highlighted that Indonesia and Malaysia are strengthening their cooperation to expand the global palm oil market and promote sustainability, with support from Honduras.

“Closer cooperation between Indonesia, Malaysia, and Honduras is a strategic step to ensure industry sustainability,” he said.

Airlangga said the meeting also welcomed Nigeria and Congo as new observer countries, while Colombia, Ghana, and Papua New Guinea are in discussions to become full members.

He also reiterated Indonesia’s commitment to supporting the CPOPC’s goals, including focusing on food, security, energy and advancing the palm oil industry’s downstream development.

“Through strong collaboration, we can help secure global food and energy needs while reducing carbon emissions,” he added.

The annual CPOPC ministerial meeting, which brings together key stakeholders from member, observer, and guest countries, concluded with Indonesia handing over the CPOPC chairmanship to Malaysia for 2024-2025.

Uploaded by Tham Yek Lee