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M’sia to step up efforts to explain palm oil to EU before ban finalised

Malaysia will intensify its efforts to offer explanations on the palm oil industry to European ministers as well as the European Commission before the bloc makes its final decision on banning the use of the commodity in biofuels starting 2021.

Plantation Industries and Commodities Minister Mah Siew Keong said before the ban is enacted into law, it needed to go through two layers of processes, namely approvals from the council of the EU or council of ministers, as well as the EC.

“We will explain to them through our embassies in 16 European countries as well as engage with EU members’ offices here in Malaysia to ensure that all the facts, correct information on palm oil as well as our objections to the ban are communicated to them,” he told a press conference after opening the Palm Oil Economic Review and Outlook (R&O) seminar in Putrajaya today.

He described the EU Parliament’s decision last night on banning the palm oil usage in biofuels as a “black day” for free trade practice, as it is discriminatory against palm oil.

The one-day seminar was conducted by the Malaysian Palm Oil Board.

“This is not about the sustainability issue, but more on discrimination against the palm oil, how can they blame palm oil for everything?

“This is not about deforestation and whatnot, but more on protectionism policy towards European farmers.

“Fair share of treatment should be given to other vegetable oils used in the biofuel mix in Europe, such as grapeseed. Even so, the EU Parliament has always been anti-palm oil,” he said.

Despite the disappointing updates, Mah said Malaysia and the other palm oil producing countries will step up efforts to give clearer picture on oil palm plantation, as decline in votes for the ban by the members of European Parliament yesterday proved that the ongoing efforts taken by the producing countries are showing some improvement.

In April 2017, 640 MEPs voted for the ban of palm oil usage in biofuels, however, during yesterday’s parliamentary meeting, the number of voters agreeing to the ban had reduced to 429 MEPs.

Mah also noted that one-third, or roughly 600,000 tonnes of two million tonnes of palm oil and palm oil products exported to the EU were used for biodiesel, and the EU imported 215,000 tonnes of biodiesel directly from Malaysia.

“The EU’s total demand for palm-oil based biodiesel stands at 2.8 million tonnes, whereby we supply 800,000 tonnes and the remaining two million tonnes are from Indonesia,” he added.

- Bernama

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