Indonesia's Palm Oil Exports to Surge: EU Delays Anti-Deforestation Law
Indonesia's palm oil exports to the EU are expected to rise in 2026. This is due to a bilateral trade agreement and the EU delaying its anti-deforestation law. The new law, affecting exports of goods like soy, beef, and palm oil, originally set for December 30, now offers Indonesia time to prepare.
Indonesia's palm oil exports to the European Union are on track for a substantial increase in 2026, bolstered by a newly established bilateral trade agreement. The EU's decision to delay implementing its anti-deforestation law further supports this optimistic projection, according to the Indonesian Palm Oil Association (GAPKI).
The EU's Environment Commissioner, Jessika Roswall, announced the postponement of the law, originally scheduled to take effect on December 30. This delay grants the Indonesian government, as well as smaller producers, more time to adapt to the upcoming regulations, as noted by GAPKI Chairman Eddy Martono.
The anticipated rise in exports to approximately 4 million metric tons by 2026 from an estimated 3.3 million tons this year underscores the impact of the EU's policy shift. Meanwhile, Indonesia's palm oil exports to India are also on the rise, though future volumes will hinge on competitive pricing between palm oil and alternative oils like soybean oil from Latin America.
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- Indonesia
- palm oil
- EU
- exports
- anti-deforestation
- trade agreement
- Eddy Martono
- GAPKI
- soy oil
- India
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