Malaysia, Indonesia and the European Commission (EC) have agreed to set up a joint task to enhance dialogue on supply chain traceability and transparency, in the face of the newly legislated EU Deforestation Regulation (EUDR) that bans sale of palm oil and other commodities linked to deforestation, unless importers can show their goods were produced without damaging forests.
The task force will comprise representatives from the governments and relevant stakeholders from both countries, including relevant commodities associations, stakeholders, workers associations and civil society organisations, among others.
Malaysia's Ministry of Plantation and Commodities, the Indonesian government, the EC and the Council of Palm Oil Producing Countries (CPOPC) announced this in a joint statement on Thursday (June 29). The first meeting of the task force is scheduled for the first week of August.
The agreement to set up the task force was a result of several meetings between both countries and the EC, which started with a joint mission at end-May to meet with the political leaders of the European Union in Brussels, led by Deputy Prime Minister and Minister of Plantation and Commodities Datuk Seri Fadillah Yusof, and Indonesia's Coordinating Minister for Economic Affairs Airlangga Hartarto, facilitated by the CPOPC.
This was then followed by the EU's Director-General for the Environment Dr Florika Fink-Hooijer visiting Indonesia and Malaysia on June 26 to 28 to meet the representatives of both governments.
"Indonesia and Malaysia agreed that this Joint Task Force with the European Commission will focus on the relevant commodities in both countries in particular palm oil, wood, rubber, coffee, and cocoa. When needed, matters may be addressed based on the country-specific approach in an inclusive and transparent manner under the framework of the Joint Task Force," the statement read.
The task force will examine the situation for relevant commodities in Indonesia and Malaysia, within the scope of the EUDR for the EU market.
To start off, the three partners will appoint a single point of entry and immediately discuss and conclude the terms of reference of the Joint Task Force.
"With regard to palm oil, the Secretariat of CPOPC will facilitate and coordinate with the respective officials in Indonesia and Malaysia, together with the Directorate-General for the Environment of the EC to ensure the progress and advancement of the Joint Task Force to achieve the desired outcomes and a win-win solution for the successful implementation of the regulation by all parties," the statement added.
The EUDR requires seven commodities — cocoa, coffee, soy, palm oil, wood, rubber, and cattle — and certain specified products made from them to be deforestation-free in order to be sold in the EU market or exported from it.
Under the EUDR, deforestation-free means the good/product was not produced on land subject to deforestation or forest degradation after the cut-off date of Dec 31, 2020.
Source: theedgemalaysia