EU’s Forest Rules Start to Reshape Palm Oil Trade, Report Shows
- Farmers ship hard-to-verify commodity outside the EU: 3Keel
- The diversions risk stalling progress on curbing deforestation
An excavator topples an old oil palm tree at a plantation in Kalimantan, Indonesia.
Photographer: Muhammad Fadli/BloombergThis article is for subscribers only.
Europe’s incoming forest-protection rules are shaking up trade in palm oil, threatening to stall the fight against deforestation and risking high prices for European consumers, sustainability consultancy 3Keel Ltd. said.
The European Union is introducing rules to stop products that destroy forests from being sold in shops and supermarkets. The largest companies have until the end of the year to comply with the regulation, which covers commodities from palm oil to cocoa and coffee.