MPOC Calls on EU to Reconsider Stance on Sustainable Palm Oil


The Malaysian Palm Oil Council (MPOC) notes with concern the European Parliament’s decision to vote in favour of new rules on deforestation and renewable energy, which will punish palm oil producers and accelerate the EU’s planned ban on palm oil biofuels.

The EU’s new deforestation regulations require companies to ensure that products sold in the EU do not come from deforested or degraded land, while the EU’s new Renewable Energy Directive will exclude palm oil from transport biofuels, cutting off a sustainable energy supply from a friendly nation during a crippling energy crisis.

The Malaysian palm oil industry is committed to addressing the impact of deforestation in Malaysia. We are also committed to working with local communities and international partners and stakeholders to minimise the environmental impact in growing palm oil. 

Existing certification schemes like the MSPO and RSPO have a key role to play in bringing operators, traders, and supply chain partners together. Both certification standards help address deforestation, promote sustainability, and require oil palm plantations to preserve riparian reserves, avoid development on steep slopes and prevent encroachment on protected areas.

Commenting on recent votes in the European Parliament, Chairman of the Malaysian Palm Oil Council (MPOC), Hon Larry Sng Wei Shein, said:

“Instead of pursuing a cooperative and open trading relationship with Malaysia, the EU has chosen to exclude us without conducting any due diligence into how this new regulation will hurt all stakeholders. These regulations will be a setback to environmental progress, destroy livelihoods, increase costs for consumers during a cost-of-living crisis, leading to increased poverty, and undermine achievement of the UN Sustainable Development Goals.”