Jakarta, INTI - The Indonesian pulp and paper industry has expressed its readiness to support the development of a credible, transparent, and high-integrity forestry carbon market. This support was conveyed at the Business Forum on Carbon Market held in New York, United States, on Monday, May 11, as part of the United Nations Forum on Forests 2026 activities.
Minister of Forestry, Raja Juli Antoni, emphasized that Indonesia is entering a new era in forest management, where the economic value of forests no longer rests solely on timber, but also on carbon, biodiversity, environmental services, and community empowerment.
Legal Basis for Development of Carbon Trading
The government has also issued Ministerial Regulation Number 6 of 2026, which provides a clearer legal basis for the development of carbon trading in the forestry sector and strengthens the implementation of the Forestry Multi-Enterprise Program (Multi Usaha Kehutanan).
Suhendra Wiriadinata, Chairman of the Indonesian Pulp and Paper Association (APKI), stated that the regulation provides an important foundation for businesses to expand their contribution to national emission reduction targets while strengthening the competitiveness of the Indonesian pulp and paper industry in the global market.
"The Indonesian pulp and paper industry welcomes the issuance of Forestry Ministerial Regulation Number 6 of 2026, which provides regulatory certainty and a clearer governance framework for the development of carbon trading in the forestry sector. For our industry, carbon represents added value that complements, not replaces, the sector's primary role in producing renewable fiber-based products needed by the global community," said Suhendra.
Indonesia’s Pulp and Paper Industry Supports Low Carbon Economy
He explained that through sustainable industrial forest plantation management, energy efficiency, renewable energy use, the implementation of a circular economy, and innovation in renewable and recyclable products, the pulp and paper industry continues to strengthen its contribution to the transition to a low-carbon economy.
"Renewable fiber-based pulp and paper products are an important part of the climate solution because they can replace fossil-based materials, support emission reductions, and meet global market demand for more environmentally friendly products," he said.
Suhendra added that a credible carbon market can encourage greater investment in peat restoration, forest rehabilitation, biodiversity conservation, and community empowerment around operational areas. He stated that the success of the carbon market depends heavily on project integrity, measurement transparency, methodological clarity, and domestic and international market acceptance.
"APKI is committed to supporting the development of high-quality carbon credits that meet international standards, provide tangible environmental benefits, and create economic and social added value. With appropriate policy support and cross-sector collaboration, Indonesia has a significant opportunity to become a major player in forestry-based carbon trading globally," Suhendra said.
Conclusion
The Indonesian pulp and paper industry expressed its readiness to support the development of a credible and transparent forestry carbon market. Minister of Forestry Raja Juli Antoni stated that the government has issued new regulations to strengthen carbon trading in the forestry sector. Suhendra Wiriadinata, Chairman of APKI, stated that the pulp and paper industry is committed to supporting high-quality carbon credits while strengthening its contribution to a low-carbon economy and national emission reduction targets.
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