Malaysia is one of the major producing and exporting countries of palm oil and palm oil products in the world and over the last few years, both sustainability and climate action have been the core principles in developing this new emerging economy.
Hence, we align with and recognise the United Nations Sustainable Development Goals (UNSDGs) Agenda 2030. Although it is not legally binding, Malaysia has adopted these SDGs as a primary framework to drive and attain higher sustainability commitment within the palm oil industry.
Such commitment has transpired primarily through the mandatory implementation of Malaysian Sustainable Palm Oil (MSPO) certification along the palm oil supply chain since January 2020.
We have taken another leap by adopting policies on sustainable cultivation of oil palm in controlling the total planted area while banning the conversion of permanent forest reserves and new peatland areas for oil palm.
In addition, the Ministry of Plantation Industries and Commodities (MPIC) has ventured into the biodiesel program since 2011 with the blending of 5% or B5 and has further enrolled towards B10 and higher blending rate. Such augmentation not only helps in reducing GHG emissions, but also indirectly diversifies our downstream products and subsequently stabilises the local CPO stock and price.
To further support the climate change action, MPIC through Malaysian Palm Oil Council (MPOC) has established the Malaysian Palm Oil Green Conservation Foundation (MPOGCF) to support conservation activities which reflect our commitment towards conserving our environment. Nevertheless, effort towards sustainability and climate change action in our palm industry will be further improved over the time.
The key to our success is premised on the continuous support, cooperation as well as commitment from all stakeholders to achieve the objectives set forth.