Switzerland starts approaching Indonesia to discuss palm oil

RBD Palm Oil

Switzerland

Indonesia

Published Nov 2, 2021

Tridge summary

Jakarta, CNBC Indonesia - Chairman of the Swiss Parliament, Alex Kuprecht, visited Indonesia today, Monday (1/11/2021). This visit marked the start of a trade agreement between Indonesia and Switzerland. During the visit, Kuprecht opened his voice about Indonesia's leading export commodity to the Alps, namely palm oil. Kuprecht said that the commodity was included in the list of goods that received relief from import duties contained in the agreement called Indonesia-EFTA CEPA. He admitted that the discussion about this commodity itself was very intensive. Because the planting of oil palm always intersects with environmental issues and natural sustainability. In fact, the Swiss government had held a referendum on Indonesian palm oil. "The discussion on CPO was very intensive, and EFTA was finally approved because in the agreement there was a clause about the conditions that must be met," he told CNBC Indonesia. For palm oil, customs duties will not be removed but reduced by between 20 and 40%. Meanwhile, the volume is limited to 12,500 tons per year.

Original content

Then, anyone who imports palm oil must prove that the oil meets certain environmental and social standards. Kuprecht did not deny that the quota could be increased. However, to get it, there are conditions that must be met by RI. "There is a great opportunity for Indonesia to increase exports (CPO) as long as standards are maintained," he added. Currently, Indonesia is Switzerland's 44th largest economic partner and the 16th largest export market in Asia. In 2020, Swiss exports to Indonesia amounted to 498 million Swiss francs or around Rp. 7.6 trillion (assuming ...

Source: Cnbcindonesia