Threat to review relationship with Europe as a whole
FILE PHOTO - A worker shows palm oil fruits at a palm oil plantation in Topoyo village in Mamuju, Indonesia, Sulawesi Island. Picture: ANTARA FOTO / AKBAR TADO / REUTERS/
In March, the European Commission determined that palm oil has resulted in excessive deforestation and that it should no longer be considered a renewable transport fuel, albeit with some exemptions. It will become law unless a majority in the European Parliament or in the group of EU countries objects. So far, there are no indications that either will do so.
“Both our governments view this as a deliberate, calculated and adverse economic and political strategy to remove palm oil from the EU marketplace,” Indonesian President Joko Widodo and Malaysian Prime Minister Mahathir Mohamad said in an April 5 letter to the EU. With the planned regulation, the EU plans to increase its use of renewable energy sources and to take into account deforestation when it determines what products can be labelled renewable.Indonesia's coordinating minister for economic affairs Darmin Nasution said the country would definitely file a WTO complaint once the new rules were adopted. Tan Yew Chong, secretary-general for Malaysia's ministry of primary industries, said his country would do the same.
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