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The Director General of Sustainable Forest Management, Ministry of Environment and Forestry (KLHK), Agus Justianto, is reported as saying Indonesia is ready to challenge the European Union (EU) at the World Trade Organisation (WTO) regarding the enactment of the deforestation-free law which, Indonesia considers, will become a trade barrier for wood products. The media reports Indonesia considers this regulation unilaterally violates the agreement on the export of wood products between Indonesia and the EU which was signed in 2013.<\/p>\n
Under the new EU regulation Indonesia's main export products will be subject to a due diligence process if they enter the EU market. The commodities are wood, soybean, palm oil, cocoa, coffee, rubber and beef and their derivative products such as cowhide, chocolate and furniture.<\/p>\n
Agus commented that it is surprising that wood products are included as Indonesia and the EU already have a Voluntary Partnership Agreement (VPA) on forest law enforcement, governance and trade (FLEGT) which was signed on 30 September 2013 and became effective on 1 May 2014.<\/p>\n
The Indonesian Ambassador to Germany, Arif Havas Oegroseno, is quoted as saying Indonesia has two options to resolve this case with a third party, the WTO or the European Court of Justice.<\/p>","protected":false},"excerpt":{"rendered":"