Palm Oil
Indonesian palm oil billionaire gets 15 years for corruption
JAKARTA — A court in Indonesia has sentenced palm oil billionaire Surya Darmadi to 15 years in prison for his role in the biggest corruption case in the country’s history. The Jakarta Anti-Corruption Court ruled on Feb. 23 that Surya had conspired with the elected head of Indragiri Hulu district in Sumatra, Raja Thamsir Rachman, […]
Indonesia and Malaysia assail new EU ban on ‘dirty commodities’ trade
JAKARTA — The governments of Indonesia and Malaysia, two of the world’s largest palm oil producers, have intensified their criticisms against European Union trade policies, which they deem to be discriminatory toward palm oil. Indonesia’s and Malaysia’s outcry has sown doubts over the two countries’ commitments to combat deforestation, with palm oil being a contributor […]
Indonesia’s biofuel push must go beyond palm oil to reduce risk, experts say
JAKARTA — Indonesia must develop a new feedstock alternative to palm oil as the government intensifies an ambitious biofuel program meant to move away from diesel, observers say. From February this year, diesel sold at the pump must be a blend of 65% fossil diesel and 35% plant-based biodiesel, or B35. The currently available blend […]
Indonesia prosecutors decry ‘lenient’ sentences in palm oil corruption case
JAKARTA — Anticorruption activists in Indonesia have criticized as too lenient the sentences handed down by an Indonesian court against officials at the center of a cooking oil shortage that rocked the world’s top producer of palm oil. A trade ministry official, a prominent economist, and three palm oil executives were on Jan. 4 convicted […]
For Indonesian smallholders, EU deforestation rule is a threat — and an opportunity
JAKARTA — New palm oil regulations being adopted by the European Union and the U.K. could put even more pressure on independent small farmers in Indonesia who are already struggling to meet sustainability requirements, new research suggests. Smallholder advocates say there needs to be greater support to help these farmers join the deforestation-free supply chain […]
‘Amazing first step’ as EU law cracks down on deforestation-linked imports
JAKARTA — The European Union has finalized a law that will ban the trade of commodities associated with deforestation and forest degradation. On Dec. 6, the European Council, Parliament and Commission struck a preliminary deal to adopt the deforestation-free regulation, proposed by the European Commission in 2021. The Parliament and the Council will still have to formally […]
Report calls on palm oil firms to make up for nearly 1m hectares of forest loss
JAKARTA — Commitments by palm oil producers in Southeast Asia not to deforest, clear peatlands, or use exploitative practices have helped the industry significantly reduce tropical forest loss. But many of these companies must still be held to account for their past deforestation, with a new report putting them on the hook for restoring an […]
Sustainability pledges help Indonesia produce palm oil with less deforestation
JAKARTA — Sustainability commitments and greater scrutiny of supply chains is helping bring down deforestation rates associated with palm oil in Indonesia, a new analysis suggests. The country is the world’s top producer of the commodity, and although production is increasing while prices are rising — factors that usually drive a surge in forest clearing […]
Palm oil firms not acting fast enough on no-deforestation vows: Report
JAKARTA — Less than a quarter of companies producing or sourcing palm oil from Indonesia have forest-related policies in line with best practices, a new report says. The report, by CDP, a global nonprofit that promotes environmental reporting and risk management by companies and cities, analyzed data provided by 167 firms. While 86% of companies […]
Indonesia amnesties 75 companies operating illegally inside forest areas
JAKARTA — Indonesia has pardoned 75 companies operating illegally inside forest areas, with hundreds more to be amnestied in the future, the Ministry of Environment and Forestry announced during a parliamentary hearing in August. Under the 2013 law on the prevention and mitigation of forest degradation, activities like oil palm cultivation and mining are prohibited […]