Malaysia, Indonesia To Establish Council Of Palm Oil Producing Countries

By Azeman Ariffin JAKARTA, Oct 5 (Bernama) -- Malaysia and Indonesia have agreed to spearhead the establishment of a Council of Palm Oil Producing Countries (CPOPC), aimed at ensuring price stability, and develop the downstream industry of the commodity. Malaysian Minister of Plantation Industries and Commodities Douglas Unggah Embas said both countries contributed 85 per cent to the global palm oil market. "The CPOPC will also jointly promote the benefits of the oil palm industry and derivatives," he added. He was speaking after attending the Malaysia-Indonesia bilateral meeting on the oil palm industry here Saturday. Uggah said at the meeting, Indonesia and Malaysia also agreed to harmonise the standards of the Indonesian Sustainable Palm Oil (ISPO) and Malaysian Sustainable Palm Oil (MSPO). "On top of harmonisation, we will include the argument for socio-economic development for smallholders," he added. The CPOPC will also promote environmentally sustainable practices in the oil palm industry and improve cooperation in research and development within it to unlock potential across the value chain. Unggah said the governments of both countries will facilitate the initiatives of the private sector in spearheading the Green Economic Zone in Indonesia, while promoting value addition to the palm oil industry. Meanwhile, Indonesian Coordinating Minister for Maritime Affairs and Resources, Rizal Ramli, said Indonesia and Malaysia would invite other palm oil producing countries to join the CPOC. He said the Council is expected to be inaugurated at the month-end when Indonesian President Joko Widodo meets with Malaysian Prime Minister Najib Razak. He said the initiative to establish the Council was an idea that had come up a long time ago. --BERNAMA