Malaysia reviews holistic strategy as it eyes EUDR reclassification as low risk country
23/10/2025 (Bernama), Kuala Lumpur - The Special Committee on the Implementation of the European Union Deforestation Regulation (EUDR) has studied strategies and measures that need to be implemented holistically across ministries, to ensure that Malaysia can be reclassified as a low-risk country under the EUDR framework.
Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani said the review covers the assessment of country benchmarking criteria that fall under the responsibilities of various ministries.
“Among the steps are the coordination of forest data reporting and enforcement of forestry-related laws by the Ministry of Natural Resources and Environmental Sustainability, compliance and enforcement of laws protecting human rights, including the rights of indigenous communities, by the Ministry of Rural and Regional Development.
“(Also) the inclusion of sustainability elements in free trade agreement negotiations by the Ministry of Investment, Trade and Industry (Miti),” he told a question-and-answer session in the Dewan Rakyat on Thursday.
He was responding to a question from Chong Zhemin (PH–Kampar), who wanted to know the ministry’s progress and achievements in efforts to remove Malaysia from the “standard risk” category under the EUDR.
Meanwhile, Johari said the government has established a national traceability system for the palm oil sector, as part of compliance with the Malaysian Sustainable Palm Oil (MSPO) certification, to ensure that palm oil exports are not limited to large companies only.
He stated that the Malaysian Palm Oil Board (MPOB) is currently in the final stages of completing the system.
“Through this system, all geomaps and geolocations of each smallholder will be recorded. Large companies can purchase palm fruits from registered smallholders and include them in their traceability systems for export to European countries.
“Conversely, any smallholder without a geomap or who clears new areas leading to deforestation will have their fruits excluded from this system,” he added.
He said this in response to a supplementary question from Bakri Jamaluddin (PN-Tangga Batu), who wanted to know about the digital support mechanisms and traceability systems being developed to ensure that smallholders are not marginalised due to the EU’s strict traceability requirements.