Palm Oil, Sustainability, and Global Trade: A Focus on Indonesia

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Palm Oil, Sustainability, and Global Trade: A Focus on Indonesia

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2024-08-30

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Technical Report

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Palm oil is the world's most consumed vegetable oil, but its production is a major driver of deforestation in Indonesia, which has been the leading global supplier for the past two decades. The Roundtable on Sustainable Palm Oil (RSPO) is the largest organization in the world offering certification to companies and smallholders who adopt sustainable practices when producing palm oil. With consumers increasingly aware of the environmental and social impacts of palm oil and governments like the EU banning imports linked to deforestation, this research investigates (1) the impact of RSPO certification on the market access and pricing of Indonesian palm oil. Additionally, this study explores (2) the incentives and barriers to achieving certification for palm oil businesses and (3) measures the tangible environmental benefits it provides.

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This research was supported by the Undergraduate Research Opportunities Program (UROP).

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Arifin, Andrea R.; Peterson, Hikaru H.; Sommers, Scott J.. (2024). Palm Oil, Sustainability, and Global Trade: A Focus on Indonesia. Retrieved from the University Digital Conservancy, https://hdl.handle.net/11299/265281.

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