Pushing More Expensive Processes, Palm Oil Sustainability Standards Keep Changing

Pushing More Expensive Processes, Palm Oil Sustainability Standards Keep Changing

Palm Oil Magazine and MPOB

Palmoilmagazine, KUALA LUMPUR – Malaysian Palm Oil Board (MPOB) mentioned, the stakeholders in the country are worried that the sustainability standards in palm oil plantation would keep changing and would be difficult to obey, namely by the smallholders. This happens for palm oil plantations in Malaysia always face sustainability aspects and negative accusations.

General Director of MPOB, Datuk Dr Ahmad Parveez Ghulam Kadir delivered example, trade agreement between Indonesia – European Union. It used Roundtable on Sustainable Palm Oil (RSPO) and International Sustainability and Carbon Certification (ISCC) schemes as the comparison. These two schemes use more advance standard, particularly RSPO. The two are the benchmark that European Union decided.

“The latest standard, such as, Malaysian Palm Oil Sustainable (MSPO) would not be able to reach the same standard as it was. RSPO would be renewed and close,” Ahmad Parveez said in hybrid forum with the theme “Perjanjian Perdagangan dan Permintaan Produk”, held by World Trade Institute in Bern, Swiss, Institute of Malaysia dan International Studies (IKMAS UKM), and MPOB-UKM, as quoted from The Edge Markets.

He also mentioned, it is not fair to use the standard as the reference. RSPO scheme is the Business to Business standard and needs membership cost in every year and much more expensive audit. This would be very difficult for smallholders to get RSPO certificate. It is normal if the smallholders less got RSPO certificate.

Besides, he continued, the continuous changing in RSPO standard and obedience condition would spend higher costs in time. As the result, palm oil would have no more competitiveness in the long period.

“The advance countries should admit the standards which nationally run, such as, Malaysian Sustainable Palm Oil because there is no indication that they admitted. The countries still refer to more advance and close standards. They have to be open minded to see, respect other contribution namely during the negotiation process,” Ahmad said. (T2)


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