Indonesian coffee exports have not yet been significantly impacted by EU anti-deforestation regulations

Published 2024년 9월 24일

Tridge summary

The European Union's Anti-Deforestation Law (EUDR), effective since May 2023, mandates that products like palm oil, coffee, and others must be sourced legally and without causing deforestation. This regulation has had minimal impact on Indonesian coffee bean exports, as Europe is not a primary market for them. Instead, Indonesia exports most of its coffee to countries like Egypt, India, Malaysia, Italy, and Japan. Indonesia's coffee export competitiveness is lower compared to Brazil, Colombia, and Vietnam, and domestic production is declining due to poor government policies and climate change.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Reporter: Dadan M. Ramdan | Editor: Noverius Laoli KONTAN.CO.ID - JAKARTA. Since May 2023, the European Union (EU) has officially enforced the Anti-Deforestation Law or The European Union on Deforestation-free Regulation (EUDR). This regulation aims to combat the impacts of climate change. EUDR ensures that seven products entering the European Union, namely palm oil, coffee, meat, wood, cocoa, soybeans and rubber, come from legal sources and do not cause deforestation. Agricultural observer from CORE Eliza Mardian said that Europe is not the main destination for Indonesian coffee bean exports. The majority of our coffee beans are exported to Egypt, India, Malaysia, Italy, and Japan. The proportion of Indonesian coffee bean exports to Europe is not even 10%. As a result, the EU's anti-deforestation policy has not significantly affected export performance because Europe is not Indonesia's main export market for coffee beans. "Unless our major trading partners implement similar ...

Source: Kontan