Indonesia palm oil

The relative decline in the size of the European economy has given exporters less demanding alternatives for the exports.

The two nations have lobbied against Brussels' law, which would have increased scrutiny of their palm oil exports to European countries.

With production stagnating, Jakarta's increasing use of palm oil for biodiesel production could lead to shortages in the global market.

Indonesia’s independent oil palm farmers face myriad challenges, Reforms are needed so they can benefit from this profitable crop.

Indonesia and Malaysia, which account for 85 percent of global palm oil production, have reacted with hostility to the EU's new regulation.

The two nations hope to convince European regulators that their local certification efforts conform to the EU's rigorous new regulation on deforestation.

Joseph D'Cruz, the head of the Roundtable on Sustainable Palm Oil (RSPO), believes that Brussels' new rules could have a "human, social and developmental cost."

The move followed Brussels' passage of a law that could severely restrict palm oil imports to the European bloc.

President Jokowi claims that the country now has enough domestic supplies of cooking oil to control runaway price rises.

Intended to control soaring domestic cooking oil prices, the Indonesian government's ban has had a series of unintended consequences.

Palm oil firms chasing export profits were driving up costs for consumers, creating a potential political headache for the government.

The ban, which comes into effect on Wednesday, will add further upward pressure to the global price of cooking oil.