KUALA LUMPUR: Malaysia hopes the European Union (EU) Parliament will adopt a more accommodative role in shaping sustainable policies for the benefit of the world, said Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani.
His comments come following the European Commission's plans to delay the implementation of the European Union Deforestation Regulation (EUDR) to Dec 30, 2025, pending approval by the European Parliament and the council.
Johari said the proposed phasing-in period would provide many producer countries with the time needed to take the necessary steps to comply and rectify their policies.
"At the same time, critical issues such as creating transparent benchmarking criteria need to be carefully addressed to avoid unfairly labeling producer countries as 'high-risk'. "In the spirit of trade fairness, we hope the EU Parliament will take on a more accommodative role to address this matter for the benefit of the world."
"As for Malaysia, we are consistently working towards meeting the global sustainable targets we have committed to," he said at the Malaysian Palm Oil Forum (MPOF) today.
Johari said that some markets have introduced protectionist trade policies through environmental legislation that disproportionately target certain agricultural commodity producers.
He said these regulations could hinder economic growth, particularly in countries dependent on agricultural commodities for essential services like education, healthcare, and public infrastructure. "For Malaysia, the global trend toward sustainability presents a significant opportunity for us to demonstrate our commitment and reaffirm our role as a responsible producer."
"We have long embraced sustainable practices, and the EUDR provides an additional platform to show that our palm oil industry is not only ready to meet these demands but also well positioned to thrive," he added.
Nevertheless, Johari acknowledged that the Malaysian palm oil sector continues to face targeted actions from specific markets that seek to obstruct its progress through biased narratives and protectionist trade measures.
"As a highly open economy, Malaysia strongly advocates for fairness and integrity in global trade. "Despite numerous challenges, the Malaysian palm oil industry has consistently shown resilience and adaptability," he said.
Johari also emphasised that Malaysia believes fostering meaningful two-way engagement between nations, rather than imposing unilateral regulations, is in everyone's best interest.
"This way, producer and consumer nations can jointly design trade policies that effectively address key climate issues in a fair and equitable manner."
"This spirit of cooperation will promote fair trade and global collaboration in tackling climate change," he said.
On that note, the minister said Malaysia is on track to exceed 19 million metric tonnes (MT) in production this year, which would be the highest output since 2020.
He added that in the first eight months of this year, production reached 12.6 million MT, marking a 10.2 per cent increase compared to the same period last year.
"This significant growth can be attributed to consistent government policies and the successful resolution of key issues, such as labour shortages, that have significantly impacted the industry in recent years," he noted.