Driven by the increasing global demand, Indonesian palm oil industry has experienced rapid growth in the last 15 years. However, the challenges and obstacles are also increasing along with the increase of these achievements.

One of them is negative campaign by the Western Countries over environmental issues such as the deforestation.

The negative campaign over deforestation was conducted to hinder the Indonesian Palm Oil Industry so as it does not outstrip their (the Western Countries) Soybean Oil Industry.

It was explained by Joko Supriyono, the Chairman of Palm Oil Association (GAPKI), in the seminar “The Strategy on Strengthening Position and Image of Indonesian Palm Oil Industry in the International Market”, organized by the Bogor Agricultural Institute Alumni Association (HA-IPB), Tuesday (6/12).

“The market share has reached 20.9% up to now. It has increased 4.9% compared to the 1990s. Therefore, it began to threaten the soybean oil,” Said Joko.

He also added the worse case was that the soybean, canola, and sunflower seeds oil producing countries such as the United States, Canada, and European countries started to attack palm oil industry mainly through environmental issues.

In fact, based on the data revealed by GAPKI, if the world rely on the soybean oil, it will require deforestation or land clearing up to 115 million hectares in 2025; followed by sunflower seeds which reach 84 million hectares.

“If there is an issue over deforestation, soybean actually requires the greatest land clearing. It could reach up to 115 million hectares in 2025,” said Joko.

“Meanwhile, the palm oil requires only 15.2 million hectares in the same year. It means that palm oil is the one that actually has the bargaining position to meet the world’s needs.” He concluded.

 

Source: Berita 360 (Rabu, December 7, 2016)