PALMOILMAGAZINE, KUALA LUMPUR — European buyers do not hold negative views about using palm oil as a feedstock for sustainable aviation fuel (SAF), Malaysia’s Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani said on Wednesday.
According to Johari, used cooking oil (UCO) — currently the dominant raw material for SAF in Europe — is highly valued and widely recognized as a premium feedstock. Palm oil, he said, is increasingly viewed in the same category, particularly when backed by sustainability certifications.
“Malaysia has the Malaysian Sustainable Palm Oil (MSPO) certification, which guarantees that every tonne of palm oil is produced sustainably and gives strong assurance to international markets,” he told reporters after inspecting the country’s first SAF biofuel refinery, Ecoceres Renewable Fuels Sdn Bhd, in Tanjung Langsat, Johor. His remarks were reported by The Edge Malaysia and cited by Palmoilmagazine.com on Wednesday (26/11/2025).
Johari’s statement comes amid reports suggesting European buyers remain wary of palm oil as an SAF feedstock, largely due to ongoing debates around deforestation and environmental compliance.
The minister pushed back, saying Malaysia — the world’s second-largest palm oil producer — is well-positioned to supply feedstock for the global SAF industry.
“This SAF initiative is part of Malaysia’s broader strategy to cut greenhouse gas emissions and can be categorized as a low-carbon business activity,” he said.
Johari added that the ministry is in active discussions with industry stakeholders and is coordinating with the Ministry of Transport to finalize a national SAF blending mandate. Malaysia plans to introduce a 1% SAF blend requirement for flights departing from Kuala Lumpur International Airport (KLIA).
He also highlighted ongoing efforts to increase UCO collection across the country. “Since July 2023, the ministry and PETRONAS Dagangan Bhd have run educational programs to encourage UCO collection. As of September this year, more than 1,200 tonnes of UCO have been collected from nearly 66,000 customers at 89 selected Petronas stations nationwide,” Johari said.
The Ecoceres biorefinery in Johor — Malaysia’s first SAF-grade facility — has a licensed production capacity of 350,000 metric tonnes per year and began producing SAF last month. (P2)
