Indonesia, Malaysia seek WTO advice on EU directive

Indonesia and Malaysia, the world’s No. 1 and No. 2 palm oil producers, are seeking legal advice from the World Trade Organization (WTO) to ensure that European Union directive on renewable energy does not discriminate against palm oil. Malaysia and Indonesia are keen to export biofuels to Europe, the world’s leading producer and consumer of biodiesel, but palm biodiesel’s use has been limited, partly due to the “green” campaign pressure. Environmentalists say the rapidly growing palm oil sector is not only responsible for the loss of vast areas of tropical forests that soak up carbon dioxide, the main greenhouse gas, but emits warming gases during processing. (May 7, 2010)