As Indonesia scores a palm oil ‘win’ over EU, what next for its big biofuel gamble?
Indonesia views a recent World Trade Organization (WTO) ruling as a partial victory in its ongoing dispute with the European Union over palm oil-based biofuels. While the WTO upheld the EU's classification of these biofuels as "high risk" due to deforestation concerns, it criticized the EU's lack of transparency and insufficient data review. This decision has emboldened Indonesia, which argues that it highlights discriminatory practices against its products compared to those produced within the EU.
The dispute began in 2019 when Indonesia challenged the EU's environmental rationale as a guise for protectionism. The WTO's findings suggest that the EU treated Indonesian biofuels less favorably than similar alternatives from its own member states, a point Indonesia's economic affairs minister, Airlangga Hartarto, emphasized as validation for palm oil's role alongside other biofuels like rapeseed and soybean. This decision is significant in the broader context of climate policy and international trade relations, where developing nations often clash with developed regions over environmental standards and market access.
via SCMP Full Text Feed
Indonesia views a recent World Trade Organization (WTO) ruling as a partial victory in its ongoing dispute with the European Union over palm oil-based biofuels. While the WTO upheld the EU's classification of these biofuels as "high risk" due to deforestation concerns, it criticized the EU's lack of transparency and insufficient data review. This decision has emboldened Indonesia, which argues that it highlights discriminatory practices against its products compared to those produced within the EU.
The dispute began in 2019 when Indonesia challenged the EU's environmental rationale as a guise for protectionism. The WTO's findings suggest that the EU treated Indonesian biofuels less favorably than similar alternatives from its own member states, a point Indonesia's economic affairs minister, Airlangga Hartarto, emphasized as validation for palm oil's role alongside other biofuels like rapeseed and soybean. This decision is significant in the broader context of climate policy and international trade relations, where developing nations often clash with developed regions over environmental standards and market access.
via SCMP Full Text Feed
