Indonesia, Malaysia agree to fight ‘discrimination’ against palm oil after leaders’ meeting

Indonesia's President Joko Widodo (R) stands beside Malaysia's Prime Minister Anwar Ibrahim at the presidential palace in Bogor, West Java on January 9, 2023. (AFP)
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Updated 09 January 2023
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Indonesia, Malaysia agree to fight ‘discrimination’ against palm oil after leaders’ meeting

  • Both countries account for 85 percent of global palm oil production
  • PM Anwar also said Malaysia ready to invest in Indonesia’s new capital 

JAKARTA: Indonesia and Malaysia, the world’s biggest producers of palm oil, have agreed to strengthen cooperation to fight “discrimination” against the commodity, President Joko Widodo said on Monday after a meeting with Prime Minister Anwar Ibrahim.

The Southeast Asian countries together account for 85 percent of global palm oil production, a sector that plays an important role in their economies and has long been associated with deforestation. 

Widodo hosted Anwar at the presidential palace in Bogor, West Java. Anwar was visiting Indonesia on his first overseas trip since taking office in November. 

“We have also agreed to strengthen cooperation through the Council of Palm Oil Producing Countries, CPOPC, to boost the palm oil market and fight discrimination against palm oil,” Widodo said during a joint press conference. 

In recent years, concerns over the mass clearing of tropical rainforests, destruction of endangered wildlife habitats, land conflicts with indigenous communities and labor rights abuses have fueled consumer campaigns against products containing palm oil. 

CPOPC said palm oil has “experienced discrimination” in the EU market, such as with the bloc’s strict sustainable standard requirement for the commodity. 

The EU, under its renewable energy directive, plans to phase out use of palm oil-based fuels by 2030 due to the commodity’s links to deforestation, which has triggered outcries from Indonesia and Malaysia. Last month, EU lawmakers and governments reached a provisional deal that would ban the import of products that contribute to global deforestation.

The bloc’s latest move would be hardest on “small farmers,” CPOPC said. 

“The EU has just agreed to implement a deforestation-free certificate requirement for palm oil and six other products…Fulfilling that requirement will only add burden to the small farmers,” CPOPC Secretary-General, Rizal Affandi Lukman, told Arab News. 

During the leaders’ meeting on Monday, Indonesia and Malaysia also discussed issues of border demarcation, the situation in military-ruled Myanmar, as well as the employment and protection of Indonesian migrant workers in Malaysia, which has been plagued with cases of abuse and human trafficking. 

Private sectors from the two countries had earlier signed several agreements worth over $360 million, according to a statement issued by Malaysia’s Ministry of Foreign Affairs. 

Anwar said Malaysia was ready to invest in the development of Indonesia’s new capital, Nusantara, on the island of Borneo, which both nations share. Anwar said Nusantara’s proximity to Malaysia’s Sabah and Sarawak states will benefit regional development. 

“The development of the capital will bring greater benefits to the wider region, including Sabah and Sarawak,” he said.


Lebanon president accuses Hezbollah of working to ‘collapse’ state

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Lebanon president accuses Hezbollah of working to ‘collapse’ state

  • Joseph Aoun: ‘Whoever launched those missiles wanted to bring about the collapse of the Lebanese state’
  • Ahmed Al-Sharaa: ‘We stand alongside Lebanese president Joseph Aoun in disarming Hezbollah’
BEIRUT, Lebanon: Lebanese President Joseph Aoun on Monday accused Hezbollah of working to “collapse” the state and expressed Beirut’s readiness for “direct negotiations” with Israel, drawing the backing of his Syrian counterpart for his goal of disarming the Iran-backed group.
Lashing out at Hezbollah over its March 2 attack against Israel, which has drawn a devastating Israeli retaliation, Aoun told European officials “Whoever launched those missiles wanted to bring about the collapse of the Lebanese state, plunging it into aggression and chaos... all for the sake of the Iranian regime’s calculations.”
To stop the war, the Lebanese president proposed a four-point initiative and called on the international community to help implement it.
The plan included “establishing a full truce” with Israel, “logistical support” for the army to disarm Hezbollah, and “direct negotiations (with Israel) under international auspices.”
Syrian President Ahmed Al-Sharaa endorsed his Lebanese counterpart on Monday saying, “We stand alongside Lebanese president Joseph Aoun in disarming Hezbollah.”
The statements came as the war between Israel and Hezbollah pushed into a second week, with Israel carrying out heavy strikes on a financial firm linked to the group.
Lebanon was drawn into the Middle East war last week when Iran-backed Hezbollah attacked Israel in response to the killing of Iranian supreme leader Ayatollah Ali Khamenei in US-Israeli strikes.
Lebanese authorities said on Monday that Israel’s attacks since March 2 have killed at least 486 people and wounded at least 1,313.
AFP has not been able to carry out a detailed breakdown of the figures.
According to the government, more than 660,000 people have registered as displaced, with 120,000 sleeping at official shelters as of Monday.

Evacuation warnings

Israel said it killed the head of Hezbollah’s Nasr unit operating in part of southern Lebanon, Abu Hussein Ragheb, on Monday.
Earlier, the Israeli military struck branches of Al-Qard Al-Hassan, a US-sanctioned financial firm, after issuing evacuation warnings, according to Lebanese state media and AFP correspondents.
The Israeli army said it was “striking Hezbollah infrastructure” in the southern suburbs.
An AFP photographer in the area witnessed a massive explosion, while an armed Hezbollah member fired warning shots into the air to encourage residents to evacuate from their homes.
The Israeli army renewed previous orders for people in the area to leave.
Al-Qard Al-Hassan is a lifeline for mainly Shia Muslim communities battling a years-long financial crisis in Lebanon that has locked people out of their bank deposits.
It says it has more than 30 branches nationwide, mainly in Hezbollah bastions such as Beirut’s southern suburbs, but also in central Beirut and other major cities.
In Lebanon’s southern city of Sidon, an area outside of Hezbollah’s traditional sphere of influence, an AFP correspondent saw ambulances and civil defense vehicles gather around a branch of Al-Qard Al-Hassan.
Israel also bombed the firm’s branches during its last war with Hezbollah in 2024, including the one in Sidon.
Israeli tank fire killed a priest in the Christian southern Lebanese town of Al-Qlayaa, according to state media and a medical source.

‘Path of allegiance’

Hezbollah on Monday celebrated the selection of Mojtaba Khamenei as Iran’s new supreme leader.
“We renew our pledge of loyalty to this blessed approach and our steadfastness on the path of allegiance,” the group said in a statement.
It also claimed responsibility for at least 10 previous attacks against Israel and its forces, including against troops advancing into Lebanese border towns, as well as a missile salvo on an air base in Haifa.
It said it targeted the Israeli Home Front Command base in Ramla, near Tel Aviv, with “advanced missiles.”
Earlier Monday, it also said it had fought Israeli troops who landed in eastern Lebanon by helicopter, the second such incident since the latest war began.
Israeli strikes on sites belonging to the Hezbollah-linked Islamic Health Committee in the Tyre and Jwaya areas in south Lebanon killed two paramedics and wounded six, the health ministry said, accusing Israel of “systematic targeting of rescue teams.”
Despite the bombing in Beirut, Lebanon’s parliament met on Monday and postponed legislative elections by two years due to the conflict.
The polls had been scheduled to take place in May.