The European Forest Institute (EFI) and the Malaysian Sustainable Palm Oil (MSPO) certification scheme have signed a strategic cooperation agreement to enhance sustainability, traceability, and the international credibility of Malaysian palm oil.
In a joint statement today, both parties said the Memorandum of Cooperation was signed by EFI Director Dr Robert Mavsar and MSPO Chief Executive Officer Hafizin Tajudin.
The cooperation aims to support the development of deforestation free supply chains with a strong focus on integrating smallholders and fresh fruit bunch dealers into certified and high value markets.
The collaboration will focus on three main areas. It will support policy development for sustainable commodity strategies, strengthen technical systems to ensure traceability and legal compliance, and promote knowledge sharing through pilot projects and international learning platforms.
Hafizin said the agreement reflects MSPO’s commitment to preparing for evolving global regulations, including the European Union Deforestation Regulation.
“This collaboration is not only about the EUDR. It is about making MSPO ready for any international requirement. By working with EFI, we aim to strengthen our traceability system, improve data integrity, and expand inclusive compliance models,” he said.
The cooperation will also explore the use of digital onboarding and group compliance models to help smallholders and fresh fruit bunch dealers remain connected to premium markets.
Dr Mavsar praised MSPO’s transparent efforts in continuously improving its systems.
“Malaysia’s approach to mandatory sustainability certification led by the government is gaining attention from other producing countries,” he said.
This partnership builds on the work carried out under the European Union funded KAMI project in 2024, which assessed how MSPO supports deforestation free trade. The collaboration will now continue under the Malaysia Smallholder Project, also supported by the European Union and coordinated by the Ministry of Plantation and Commodities together with the European Union Delegations in Kuala Lumpur and Bangkok.
Both organisations agreed that the cooperation marks an important step in ensuring that Malaysian palm oil remains a trusted and sustainable choice in the global market.
-THE MALAYSIA VOICE
