GAPPMI: Indonesia Not Ready for European Anti-Deforestation Regulation

The Indonesian Food and Beverage Producers Association (GAPMMI) believes Indonesia is not yet ready to adopt the European Union Deforestation Regulation (EUDR). Nevertheless, GAPMMI Chairman Adhi S. Lukman said that briefings for business operators regarding the upcoming requirements continue to be delivered. “In my view, we must coordinate with the government to improve domestic regulations so that we are prepared,” he said when met at The Westin Jakarta on Thursday, 2 July 2026. The EUDR policy requires operators—defined as persons or legal entities placing products on the market—to implement due diligence, including information gathering, risk assessment, and risk mitigation, before placing products on the European market. Commodities regulated under this rule include cattle, cocoa, coffee, palm oil, rubber, soy, and wood, along with their derivative products. Operators intending to export to Europe must fulfil traceability, legality, and deforestation-free requirements. The rule mandates that traded products are generated through accountable and sustainable processes. Adhi said food and beverage industry players will continue to prepare in order to maintain competitiveness in the global market. “We must keep preparing ourselves. Until now, we have been getting ready so that we are prepared,” he stated. Through Regulation (EU) 2025/2650 published by the European Commission in December 2025, the EUDR has been postponed again until the end of 2026. The deadline for large operators has been pushed back to 30 December2026, while for individuals and micro and small enterprises it is now 30 June 2027. The regulation was originally due to take effect on 30 December 2024, then delayed to 30 December 2025, and postponed again to the end of 2026 and 2027. Head of the Public Relations and Foreign Cooperation Bureau at the Ministry of Forestry, Krisdianto, said the Indonesian government and the European Union discussed the EUDR on 4 June 2025 in Belgium, prior to the latest postponement. The Indonesian government conveyed its official view that the EUDR was established unilaterally without prior consultation with producer countries, and that its implications are extraterritorial in nature. The policy is considered potentially detrimental to more than 8 million smallholder farmers in Indonesia, disruptive to supply chains, and a new barrier to global trade. However, the government champions its national forest monitoring system, which has been nationally validated through SIMONTANA (National Forest Monitoring System) since 2000. “SIMONTANA has contributed significantly to the reduction of deforestation rates over the last two decades,” Krisdianto said on Wednesday, 11 June 2025.