Council of Palm Oil Producing Countries explained

Conventional Long Name:Council of Palm Oil Producing Countries
Alt Map:Map showing Indonesia and Malaysia
Admin Center Type:Secretariat
Admin Center:Jakarta
Established:21 November 2015

The Council of Palm Oil Producing Countries (CPOPC) is an intergovernmental organization founded by Indonesia and Malaysia to collectively promote the global use of palm oil. Together, the two countries produce the majority of the world's palm oil, a product that has come under pressure due to environmental concerns. The CPOPC was founded in 2015 following the establishment of independent palm oil sustainability standards in both countries, and part of its purpose is to harmonize sustainability standards between the two.

History

Indonesia and Malaysia are globally significant producers of palm oil, together producing 90% of total supplies.[1] With palm oil becoming a contentious environmental issue, both countries independently established palm oil sustainability certifications. The ISPO (Indonesian Sustainable Palm Oil) was launched in March 2011, with audits beginning in May 2012 and all palm oil producers expected to be in compliance by the end of 2014. The MSPO (Malaysian Sustainable Palm Oil) was launched in November 2013, and came into full effect on 1 January 2015, although it was not mandatory for all oil producers.[2] (The MSPO was made mandatory in 2017, with compliance needed by 2019.)

The formation of the CPOPC was announced in 2015 by Indonesia and Malaysia.[2] It was formally founded on 21 November 2015, and reached full operation in 2017.[3]

Objectives

The stated objective of the organization is "To promote, develop and strengthen cooperation in the oil palm cultivation and industry among the Member Countries, and to ensure long term benefits of such palm oil endeavors to the economic development and well being of the people of the Member Countries".[3]

The CPOPC was created with the goals of harmonizing sustainability standards, coordinating production, and developing the palm oil industry.[2] The CPOPC also strengthened government control over the palm oil industry, with Indonesian authorities forcing the dissolution of the existing privately created "Indonesian Palm Oil Pledge", which they accused of being created by a cartel-like system.[4]

The organization plays a role in promoting palm oil abroad. It seeks to combat challenges such as the European Union's EU Deforestation Regulation, which Malaysian deputy prime minister Fadillah Yusof suggests may be protectionist rather than a purely environmental concern. The United States is also seen as potentially restricting palm oil sales.

The CPOPC claimed in 2022 that palm oil in both countries supported 3.6% of GDP, and the employment of 19 million people, including 3.35 million smallholders.[3]

Membership

MemberStatus
IndonesiaMember
MalaysiaMember
HondurasMember[5]
Papua New GuineaObserver
ColombiaObserver
GhanaObserver

Colombia, Ghana, Honduras, and Papua New Guinea have attended meetings as observers, and are expected to become full members.[6] In February 2023 Malaysia, as chair, invited Thailand to join the organisation.[7]

The secretariat is located in Jakarta, the capital of Indonesia.[3]

See also

External links

Notes and References

  1. News: Fighting discriminative trade policies through CPOPC . Ahmad Parveez Ghulam Kadir . New Straits Times . 25 January 2023 . 21 March 2023 . 24 March 2023 . https://web.archive.org/web/20230324133757/https://www.nst.com.my/business/2023/01/873448/fighting-discriminative-trade-policies-through-cpopc . live .
  2. Rival . Alain . Montet . Didier . Pioch . Daniel . Certification, labelling and traceability of palm oil: can we build confidence from trustworthy standards? . Oilseeds & Fats Crops and Lipids . 2016 . 23 . 6 . 8 . 10.1051/ocl/2016042 . 2023-03-24 . 2021-10-20 . https://web.archive.org/web/20211020203431/https://agritrop.cirad.fr/582661/1/ACL%20Certification%2C%20labelling%20and%20traceability%20of%20palm%20oil%20OCL%202016.pdf . live .
  3. Web site: Regional perspective and challenges of the oil palm industry and GFP-SPO . Council of Palm Oil Producing Countries . 29 September 2022 . 21 March 2023 . 24 March 2023 . https://web.archive.org/web/20230324132310/https://web.fedepalma.org/conferenciainternacional/wp-content/uploads/2022/09/2-Colombia-Pres-FINAL-Datuk-Nageeb-Wahab-M4.pdf . live .
  4. Pacheco . Pablo . Schoneveld . George . Dermawan . Ahmad . Komarudin . Heru . Djama . Marcel . The public and private regime complex for governing palm oil supply . CIFOR Infobriefs . May 2017 . 174 . 10.17528/cifor/006464 . 2023-03-24 . 2023-03-24 . https://web.archive.org/web/20230324132259/https://www.cifor.org/knowledge/publication/6464/ . live . free .
  5. News: Indonesia welcomes Honduras as CPOPC's third member state . Antara News . 18 May 2023 . 10 August 2023 .
  6. News: Four countries set to join CPOPC as full members in May, says exec director . Malay Mail . 5 December 2021 . 15 March 2023 . 24 March 2023 . https://web.archive.org/web/20230324132257/https://www.malaymail.com/news/malaysia/2021/12/05/four-countries-set-to-join-cpopc-as-full-members-in-may-says-exec-director/2026095 . live .
  7. News: Malaysia invites Thailand to become CPOPC member . The Sun Malaysia . 28 February 2023 . 15 March 2023 . 24 March 2023 . https://web.archive.org/web/20230324132256/https://www.thesundaily.my/business/malaysia-invites-thailand-to-become-cpopc-member-LO10690487 . live .