MEDIA STATEMENT
MALAYSIAN PALM OIL AFFIRMS ITS COMMITMENT TO SUSTAINABILITY
- In light of the European Commission's recent announcement that it will not delay the implementation of the European Union Deforestation Regulation (EUDR), Malaysia firmly reiterates its commitment to sustainable palm oil production.
- As a nation, Malaysia is committed to key global sustainability goals such as retaining at least 50% of forest cover, achieving net-zero GHG emissions by 2050, reducing carbon intensity against GDP by 45% by 2030 and reducing global methane emission by 30% by 2030, among others.
- Malaysia’s palm oil sector adopts stringent sustainability standards through our sustainability certification scheme, the Malaysian Sustainable Palm Oil (MSPO). This initiative not only demonstrates our commitment to transparency and traceability across the supply chain, but also to ensure the industry is fully prepared for the regulation.
- Malaysia emphasises four key focus areas in ensuring the sustainability of Malaysian palm oil products, which include the elements of traceability, deforestation-free, legitimate land title and good labour practices in line with International Labour Organization (ILO).
- Out of the 5.7 million hectares of palm oil planted area in Malaysia, 73% is driven by large corporations, many of which are already equipped with the knowledge and support to comply with the regulation and export to the European market.
- The remaining 27% of palm oil production, which comes from approximately 450,000 smallholders, face unique challenges in adapting to the evolving regulatory landscape. The Government, through the Ministry of Plantation and Commodities is actively working on capacity-building initiatives to support their transition toward EUDR compliance. This is important to ensure that the livelihoods of these smallholders are not affected by the implementation of the regulation.
- Malaysia remains committed to working closely with our international partners to ensure a mutually beneficial outcome and combat climate change and deforestation.
DATUK SERI JOHARI ABDUL GHANI
MINISTRY OF PLANTATION AND COMMODITIES
27 SEPTEMBER 2024