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Indonesia, the world's largest palm oil producer, produces more than 30 million tonnes a year, and the EU Deforestation Regulation may affect its smallholder farmers. Experts raised concerns at an April 2023 policy dialogue that deforestation-free requirements could create costs and access problems for producing countries.
The article says deforestation-free palm oil is not an automatic win-win.
If smallholders struggle to certify, palm oil supply could tighten or shift to non-EU buyers. The net price effect is unclear and depends on how fast compliance develops.
cifor.orgJul 27, 2023After 513 past neutral policy events, PALMOIL moved a median 0.0% over 5 sessions (50% higher; middle half -1.6% to +1.4%), and -0.1% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
