- Deputy Foreign Minister Arif Havas Oegroseno announces Indonesia’s push to develop global palm oil standards through BRICS, CPOPC, and FAO;
- BRICS countries unite to oppose EUDR and support creation of sustainable vegetable oil trade standards that recognize developing country concerns;
Indonesian Deputy Foreign Minister Arif Havas Oegroseno has outlined the country’s plans to develop comprehensive global standards for palm oil management and trade that prioritize the needs of developing nations and smallholder farmers.
Speaking at the Bioenergy Industry Opportunities and Challenges Seminar in Jakarta on July 17, 2025, Arif outlined Indonesia’s strategic response to the European Union Deforestation Regulation (EUDR), which has created significant challenges for small-scale farmers across Indonesia’s palm oil, rubber, cocoa, and coffee sectors.
“The European Union has created its own standards without any alternative benchmark. So, we must create our own benchmark outside the EU. We need to establish national or international standards under platforms like CPOPC, BRICS, and FAO,” Arif declared, signaling a fundamental shift in Indonesia’s approach to global trade governance.
The initiative has already gained substantial momentum within the BRICS bloc, where member countries have agreed to oppose the EUDR and support the creation of sustainable vegetable oil standards that acknowledge the challenges faced by developing nations.
The strategy involves multiple layers of cooperation: the Council of Palm Oil Producing Countries (CPOPC) will handle regional implementation, while the Food and Agriculture Organization (FAO) will facilitate global-level standardization. The approach is designed to ensure that standards are both locally relevant and internationally recognized.
Havas emphasized that this initiative marks a strategic transformation in Indonesia’s engagement with global trade rules. “This marks a strategic shift. Indonesia will no longer just react to global rules, it will take the lead in shaping them,” he stated, underlining the country’s evolution from a rule-taker to a rule-maker in the international arena.
Indonesia’s leadership in this area carries significant weight, particularly through its extensive ties to China, the US and the EU.
The Deputy Foreign Minister stressed that palm oil, cocoa, rubber, and coffee producers are particularly vulnerable under current EU regulations, as they frequently lack the capacity to meet stringent traceability demands without substantial support and infrastructure development.
The timing of this initiative is significant as CPOPC simultaneously showcased the palm oil sector’s contributions to sustainable development at the recent High-Level Political Forum on Sustainable Development in New York. The Secretary General of CPOPC highlighted how the palm oil sector advances SDG 8 (Decent Work and Economic Growth) through:
- Contributing 3-5% of GDP in Indonesia and Malaysia
- Supporting approximately 24 million jobs globally
- Ensuring minimum wage compliance, medical benefits, and workplace safety
- Integrating international labour norms through certification schemes
Indonesia’s leadership in developing these standards reflects a broader shift in global governance, where developing nations are taking proactive roles in shaping international trade rules that recognize both sustainability imperatives and development realities. The initiative seeks to ensure that environmental protection efforts do not inadvertently harm the very communities they aim to protect.
As the 2030 Sustainable Development Goals deadline approaches, Indonesia’s multi-platform approach through CPOPC, BRICS, and FAO represents a comprehensive strategy to create standards that value people, protect the planet, and ensure prosperity is shared equitably across the global supply chain.