Rabu 09 May 2018 05:23 WIB

Indonesia to prioritize trade diplomacy for palm oil

Palm oil has been a strategic industry for Indonesia.

Red: Reiny Dwinanda
Coordinating Minister for Maritime Affairs, Luhut Binsar Pandjaitan
Foto: Republika/Rahayu Subekti
Coordinating Minister for Maritime Affairs, Luhut Binsar Pandjaitan

REPUBLIKA.CO.ID, JAKARTA -- The government would prioritize trade diplomacy for Indonesian palm oil sector, after the European Union Parliament's decision to exclude palm oil as biofuel source in the region by 2021. Coordinating Minister for Maritime Affairs, Luhut Binsar Pandjaitan, stated that the government would prioritize dialogue and lobbies, especially regarding the EU Parliament's decision discriminating palm oil products.

"The Indonesian government would prioritize trade diplomacy that puts forward dialogue and lobbies, and explain the government's measures to apply sustainable palm oil sector," Pandjaitan noted here on Tuesday.

Palm oil has become an activator of the country's economy, as it has provided jobs for some 17.5 million Indonesians, with majority being small-scale farmers.

A resolution of the EU Parliament proposed the exclusion of palm oil as material source for biodiesel. Currently, the resolution is yet to receive legal binding, and Indonesia would continue to prevent it from becoming an EU joint decision.