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Malaysia is expanding its national sustainability standard and developing a centralized traceability system to strengthen palm oil supply chain compliance. (Photo: iStock)
Malaysia is continuing to expand and refine its national sustainability standard, the Malaysian Sustainable Palm Oil (MSPO) certification, even as the EU Deforestation Regulation (EUDR) faces further delays.
Originally set to take effect in December 2024, the EUDR was first postponed to end-2025 and has now been delayed again. Under the revised timeline, compliance will be required from Dec. 30, 2026 for large and medium operators, and from June 30, 2027 for micro and small enterprises.
Rather than slowing efforts, said Malaysia’s Plantation and Commodities Minister Noraini Ahmad, the extension should be treated as an opportunity to strengthen industry readiness.
In September 2025, the European Union recognized MSPO as a credible standard that can help facilitate compliance with the bloc’s deforestation rules. Currently, about 90% of palm oil estates have obtained MSPO certification, while certification among independent smallholders has reached 85%.
