Wednesday, July 17th, 2019 at , Economy
by BERNAMA/ pic by TMR File
MALAYSIA and Indonesia are both committed to challenge the European Union (EU) Delegated Act that curbs palm oil use in biofuels through the World Trade Organisation Dispute Settlement Body, as well as other possible avenues.
They are also currently reviewing their relationship with the EU and its member states, the Ministry of Primary Industries (MPI) said in a statement yesterday following the seventh ministerial meeting of the Council of Palm Oil Producing Countries (CPOPC) held in Kuala Lumpur.
“The ministers expressed regret that the EU delegated regulation entered into force on June 10, 2019. This was despite the various efforts undertaken by producing countries to provide information on the sustainability initiatives,” MPI said.
The meeting also proposed to set up a CPOPC-EU joint working group (JWG) on palm oil as a new platform to respond to the EU Delegated Act. This was after taking note that the CPOPC delegation and the European Commission had agreed to have regular dialogues.
“The JWG shall engage CPOPC member countries and other palm oil producing countries,such as African palm oil producers, and will raise the issue of the smallholders and poverty alleviation to counter the Delegated Act,” MPI said.
The meeting, co-chaired by MPI Minister Teresa Kok and Indonesia’s Coordinating Minister for Economic Affairs Darmin Nasution, discussed various issues related to the palm oil industry including international trade policies and market access, business and smallholder engagements, and the United Nations 2030 Agenda for Sustainable Development Goals (UN SDGs).
Ambassador of Colombia to Malaysia Mauricio Gonzalez Lopez attended the meeting in the country’s capacity as an observer state.
MPI said the ministers welcomed the findings of study on “Masterplan for the Strategic Implementation of SDGs in the Palm Oil Sector by 2030” commissioned by CPOPC, which indicated that palm oil meets most of the 17 objectives of UN SDGs. This was based on case studies conducted in Indonesia, Malaysia, Thailand, Colombia and Nigeria.
On the issue of the contaminant level of the 3-Monochloropropanediol proposed by the European Commission, she said the ministers agreed that one maximum level at 2.5ppm for all vegetable oils should be adopted as the acceptable safety limit for consumption.
The ministers also agreed that CPOPC should continue working on the current issues related to palm oil industry, such as supply-demand, productivity, price stabilisation, smallholders’ welfare and the positive image of palm oil along its value chain, MPI said.
17 JUL 2019 / 15:30 H.
Primary Industries Minister Teresa Kok Suh Sim speaking during the ministry’s monthly assembly at the The Malaysian Palm Oil Board’s assembly hall in Bangi, today.
BANGI: The Primary Industries Ministry (MPI) will meet with the Attorney General’s Chambers (AGC) in a bid to challenge the European Union Delegated Act that curbs palm oil use in biofuels.
Minister Teresa Kok Suh Sim said Malaysia has a right to challenge the regulation, which she said contradicts the principle of free trade espoused all this while by Europe and the whole world.
“The dedicated regulation passed by the European Parliament in May is, we feel, unfair. We want to challenge it.
“This afternoon there will be detailed discussions with the AGC, we want to see how we can proceed,” she told the media after attending the ministry’s monthly assembly here.
Also present was her deputy Datuk Seri Shamsul Iskandar Mohd Akin.
Kok said Indonesia is also on the same page with Malaysia with regards to challenging the regulation.
“Indonesia has also agreed, they will file a suit with the WTO Dispute Settlement Body.
“(Although) we are filing separately, there is cooperation,” she said.
Kok said her ministry is aiming for 100% Malaysian Sustainable Palm Oil (MSPO) certification to ensure Malaysia’s palm oil is sustainably produced.
MPI will work with parliamentarians including from the opposition to send a message to all palm oil players on the importance of MSPO certification, she said.
“After that, we can announce to Europe and the whole world that the production of palm oil in Malaysia is through sustainable methods,” she added. — Bernama
MALACCA: The establishment of the Sustainable Palm Growers Cooperative (KPSM) is among the government’s initiatives to improve the socio-economic condition of smallholders through the sale of downstream products, Deputy Primary Industries Minister Datuk Seri Shamsul Iskandar Mohd Akin said.
Among the objectives of KPSM, which is under the Malaysian Palm Oil Board he said, was to be the platform to integrate and empower smallholders as well as encouraging them to work together to increase their financial income.
The establishment of KPSM was also in line with the objectives of the National Entrepreneurship Policy (DKN) 2030 mentioned in the Prime Minister Tun Dr Mahathir Mohamad’s recent speech to create a holistic and conducive entrepreneurial ecosystem to support sustainable economic development agenda.
“Hence, to support the DKN 2030 strategy by the Entrepreneur Development Ministry, I am committed to making KPSM as a consortium to increase business capabilities not only in trading of oil palm but also other agricultural crops.
“Palm downstream products will also be sold through the consortium and are innovating ways to sell it online and abroad,” he said in a statement today.
Shamsul Iskandar said in the context of his ministry, the target was for smallholders to raise the strategic thrust of DKN 2030 and cultivate entrepreneurship in all segments of society.
Besides stimulating an integrated and holistic entrepreneurial development, efforts according to the deputy minister would also be put to strengthen the capabilities and performance of micro, small and medium enterprises. - Bernama