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Winners and losers from the EU’s proposed ban on palm oil

08.07.2018

Oped by Gernot Klepper who argues that the EU palm oil ban could do more harm than good.

Excerpt from the Article

(...) European biofuel consumers will feel little impact. The substitution of vegetable oils will balance the interruption of markets brought about by the palm oil ban. Palm oil consumers in the rest of the world will gain from lower palm oil prices, depending on the degree of the price drop. 

Palm oil producers specialising in exporting to the European biodiesel market will be most hurt. Incidentally, these are the producers who have been certified according to the RED and are more sustainable than their competitors supplying to other markets. So, the import ban penalises those producers that are most unlikely to contribute to deforestation!

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