JOINT PRESS STATEMENT : CPOPC Member Countries Call for Consistent, Science-Based, and Non-Discriminatory Application of the EU ILUC Framework

The Council of Palm Oil Producing Countries (CPOPC) and its Member Countries express serious concern regarding recent regulatory developments surrounding the European Union’s Indirect Land-Use Change (ILUC) framework. CPOPC calls for a consistent, objective, science-based and non-discriminatory application of the same methodological discipline, transparent evidentiary standards and review procedures across all agricultural feedstocks.

On 20 January 2026, the European Commission’s updated assessment concluded that both palm oil and soybean met the applicable high ILUC-risk criteria. However, following the European Parliament’s objection on 8 July 2026 to the updated Delegated Regulation, the proposed regulatory treatment of soybean was reconsidered, while palm oil remains subject to the existing phase-out framework. Any regulatory outcome that departs from the Commission’s updated scientific assessment without transparent, evidence-based and consistently applied methodological justification would raise serious concerns regarding regulatory consistency, predictability and non-discrimination.

CPOPC Member Countries emphasize that regulatory consistency is essential for the credibility of the multilateral trading system and for compliance with applicable WTO obligations.

The WTO findings in DS593 and DS600 underscore the importance of timely review of scientific data, non-discriminatory administration of the high ILUC-risk framework, and the establishment of a clear and operational low ILUC-risk certification pathway. The findings also highlight deficiencies that could result in arbitrary or unjustifiable discrimination and unnecessary obstacles to international trade. CPOPC Member Countries therefore consider it essential that any revised EU ILUC framework fully addresses the relevant WTO findings and recommendations.

CPOPC does not seek special exemptions for palm oil, nor does it call for adverse measures against competing crops. The issue is not whether other feedstocks should be restricted; the issue is whether comparable scientific evidence is assessed through comparable rules, transparent methodologies, and non-discriminatory regulatory procedures. Equal rules must apply to all feedstocks. The EU should therefore establish a clear, practical, transparent, accessible, and commercially workable pathway for eligible palm oil-based biofuels to demonstrate compliance with low ILUC-risk requirements, including clear rules on eligibility, additionality, verification, auditing, timelines and review procedures.

To make the low ILUC-risk framework operational and accessible, particularly for smallholders, the EU should recognize and leverage verified data, traceability systems, certification information and audit infrastructure available under national sustainability frameworks, including the Indonesian Sustainable Palm Oil (ISPO) and Malaysian Sustainable Palm Oil (MSPO) systems. For other CPOPC Member Countries that do not have equivalent national palm oil sustainability systems, the EU should acknowledge internationally recognized schemes such as the Roundtable on Sustainable Palm Oil (RSPO).

Such an approach would allow credible national evidence to contribute to meeting EU verification requirements while avoiding unnecessary duplication of certification, auditing and compliance costs.

As the European Commission determines its next steps, CPOPC calls for immediate and structured technical consultations with producing countries during the current policy review process, before any revised regulatory framework is finalized.

Such consultations should provide an opportunity to address outstanding methodological issues, data gaps, reference periods, treatment of productivity improvements and replanting, low ILUC-risk eligibility requirements, verification procedures, and the practical implications for producers and smallholders.
CPOPC therefore urges the EU to:

- Apply One Methodological Discipline: Apply consistent methodological principles, transparent evidentiary standards, reference-period discipline and review procedures across all feedstocks, while taking into account scientifically justified crop-specific characteristics.
- Engage Producing Countries Now: Hold structured technical consultations with producing countries during the current regulatory review process and before revised rules are finalized, including discussions on methodology, data, reference periods, productivity, replanting and other relevant factors.
- Establish a Genuine Low ILUC-Risk Pathway: Provide a clear, practical, transparent, accessible and commercially workable low ILUC-risk certification pathway, including clearly defined eligibility requirements, additionality criteria, verification procedures, auditing arrangements, timelines, review mechanisms and avenues for appeal.
- Recognize Verified National and International Evidence: Recognize and leverage credible data, traceability systems, certification information and audit infrastructure under national sustainability frameworks, including ISPO and MSPO, as well as audit data from recognized voluntary global standards such as the RSPO, where these can demonstrate compliance with transparent EU requirements, thereby avoiding unnecessary duplication and disproportionate compliance costs.
- Ensure Full WTO Compliance: Ensure that any revised ILUC framework fully addresses the relevant findings and recommendations arising from WTO disputes DS593 and DS600, including requirements concerning timely review of scientific data, non-discriminatory administration and an operational low ILUC-risk certification framework.

CPOPC Member Countries remain firmly committed to global climate objectives, sustainable agricultural production and an open, rules-based multilateral trading system. 

CPOPC Member Countries stand ready to engage constructively with the EU through technical, diplomatic and multilateral channels to develop a science-based, transparent, proportionate, non-discriminatory and mutually respectful framework for sustainable vegetable oil production and trade.