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January 29, 2025 | 05:06 pm
TEMPO.CO, Jakarta - Indonesian Trade Minister Budi Santoso highlighted the strengthened bilateral agreement between Indonesia and Malaysia to enhance cooperation within the palm oil sector. Accompanying President Prabowo Subianto during a recent state visit to Malaysia, Minister Budi emphasized the growing global demand for palm oil.
“During the meeting, President Prabowo said that every nation he visited expresses a need for palm oil. President Prabowo also hopes that cooperation between Indonesia and Malaysia in this sector can be improved,” Budi conveyed in a written statement on Tuesday, January 28, 2025.
As the world's leading palm oil producers, accounting for 80 percent of global production, Indonesia and Malaysia are positioned to benefit from such cooperation. Minister Budi also expressed gratitude for Malaysia's support in advancing these collaborative efforts.
The Ministry of Trade affirmed its commitment to implementing the agreed-upon plans for palm oil sector cooperation. “Indonesia anticipates continued collaboration with Malaysia to address emerging barriers to palm oil exports encountered in various global markets,” he stated.
Previously, President Prabowo had underscored the global demand for palm oil commodities. “Palm oil is a crucial commodity. Every time I visit certain countries, they always say they need palm oil, including Egypt, India, and Pakistan,” said Prabowo in a statement with Malaysian Prime Minister Anwar Ibrahim at the Petronas Towers in Kuala Lumpur on Monday.
Prabowo further invited Malaysia to work together to increase global palm oil production. However, his recent statements regarding palm oil plantations have drawn criticism from environmental advocates.
He advocated for an expansion of palm oil plantations in Indonesia, citing the strategic importance of this commodity. “I believe that we should increase oil palm cultivation in the future. Don't be afraid of deforestation,” the Indonesian President stated during a Development Planning Conference at the Bappenas building on Monday, December 30, 2024.
Greenpeace Indonesia swiftly criticized President Prabowo's proposal, asserting that it directly contradicts Indonesia's commitment to reducing greenhouse gas emissions as outlined in the Paris Agreement.
Eka Yudha, Oyuk Ivani, Riri Rahayu, Dani Aswara, and Rizki Dewi contributed to the writing of this article.
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