# For Indonesian smallholders, EU deforestation rule is a threat — and an opportunity

> Mongabay reports a survey by Indonesian NGO Madani finding that independent palm oil smallholders are not ready to meet EU deforestation rules. Smallholders manage 6.72 million hectares of oil palm and face traceability and legality challenges. The smallholder union has asked the EU for support such as premium prices for compliant palm oil.

- Date: 2023-01-04 · published 2023-01-04T12:00:00.000Z
- Category: policy · region Indonesia · magnitude low
- Page: https://feedsoft.ai/events/37819-for-indonesian-smallholders-eu-deforestation-rule-is-a-threat-and-an-opportunity
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

If smallholders are excluded from EU supply chains, palm oil supply could tighten for compliant buyers, supporting prices for certified fruit. Lower compliance from smallholders may reduce total available palm oil.

## Read by commodity

- PALMOIL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2022-11-17 | [Oil palm smallholder farmers and EU deforestation regulation](https://feedsoft.ai/events/38693-oil-palm-smallholder-farmers-and-eu-deforestation-regulation.md) | -0.3% | -0.9% |
| PALMOIL | 2022-02-17 | [New EU rules for deforestation-free products: Great for forests, a double-edged sword for smallholders \| HCV Network](https://feedsoft.ai/events/42741-new-eu-rules-for-deforestation-free-products-great-for-forests-a-double-edged.md) | +4.5% | +13.8% |
| PALMOIL | 2023-03-22 | [EU's deforestation regulation: challenges and opportunities for food companies](https://feedsoft.ai/events/36902-eu-s-deforestation-regulation-challenges-and-opportunities-for-food-companies.md) | -0.9% | -3.5% |
| PALMOIL | 2023-02-09 | [Indonesia, Malaysia to send palm oil envoys to EU over deforestation law](https://feedsoft.ai/events/37353-indonesia-malaysia-to-send-palm-oil-envoys-to-eu-over-deforestation-law.md) | -2.2% | +0.6% |
| PALMOIL | 2023-11-09 | [Indonesia, Malaysia seek more time to implement EU anti-deforestation law \| Euractiv](https://feedsoft.ai/events/33208-indonesia-malaysia-seek-more-time-to-implement-eu-anti-deforestation-law.md) | +3.4% | -1.1% |

## Sources

- news.mongabay.com: https://news.mongabay.com/2023/01/for-indonesian-smallholders-eu-deforestation-rule-is-a-threat-and-an-opportunity/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.