Indonesia should make permanent its temporary ban on new permits for palm oil plantations to advance progress on tackling deforestation and meet its climate goals, environmentalists say.

Home to the world's third-largest tropical forests and also its biggest palm-oil producer, Indonesia introduced a three-year freeze on plantation permits that expires in September.

The moratorium sought to prevent forest fires, deforestation and land conflicts, help meet emissions reduction targets set under the Paris climate accord, boost oversight and accelerate efforts to increase yields among smaller palm oil producers.