EU clears Malaysia’s palm oil certification for new deforestation rule

The acknowledgement reinforced MSPO’s role as Malaysia’s national framework for sustainable palm oil and highlighted its contribution to global trade and responsible sourcing, the Malaysian Palm Oil Certification Council (MPOCC), which administers the MSPO, was quoted as saying.

Due to come into effect in December, the EUDR requires companies selling or exporting seven commodities – cocoa, coffee, palm oil, soyabean, cattle, rubber and timber – in the EU to ensure they are deforestation-free and legally sourced.

The MSPO scheme of Malaysia – the world’s second largest palm oil producer and exporter – had been mandatory for the palm oil industry since January 2020, with audits conducted by independent third-party certification bodies to ensure compliance and credibility.

According to the MPOCC, the MSPO gives buyers and regulators the confidence that certified palm oil is legally sourced and deforestation-free, adding that its digital tracking system enables full supply chain visibility and strengthens trust among global stakeholders.

Plantation and Commodities Minister Johari Abdul Ghani was quoted as saying the recognition ensured that more than half a million smallholders were fully tied into the sustainability agenda.

“It assures global buyers that Malaysian palm oil is legally sourced, traceable and sustainable, anchored in the livelihoods of smallholders and backed by a mandatory national framework,” he added.

Tags: deforestation, certification, smallholders, Malaysian Palm Oil Certification Council, Malaysian Sustainable Palm Oil, European Union, palm oil