MPOB: Palm oil boycott over haze could hurt 242,000 smallholder families
03/11/2026 (New Straits Times), Kuala Lumpur - Calls to boycott palm oil-based products over the transboundary haze issue could hurt more than 242,000 independent oil palm smallholder families without addressing the actual sources of air pollution, the Malaysian Palm Oil Board (MPOB) said.
MPOB director-general Datuk Badrul Hisham Mohd said a blanket boycott of the palm oil industry was neither an appropriate nor effective way to tackle the haze, as it risked penalising responsible industry players, workers and smallholders who depended on the sector for their livelihoods.
He was responding to a social media statement by local celebrity Sharifah Sakinah, who urged the public to boycott palm oil-based products in response to the haze issue.
While acknowledging public concern over environmental protection, Badrul Hisham said calls for action should be based on facts, evidence and a comprehensive understanding of the actual causes of an issue.
"We do not dispute anyone's right to voice concerns about the environment. However, when boycott calls fail to distinguish between those responsible for pollution and the entire industry, the consequences can go beyond the intended targets and ultimately burden parties that are not responsible for the problem," he said.
He said transboundary haze was a complex air pollution issue that required coordinated action, including identifying the sources of fires, enforcing the law, regional cooperation and taking action against those responsible.
In Malaysia, open burning is prohibited under Section 29A of the Environmental Quality Act 1974, which bars any party from carrying out, permitting or causing open burning on any premises or agricultural land.
"Any party that carries out open burning or pollutes the environment must be held accountable and subject to legal action. This principle must apply to everyone without exception. However, action against offenders should not be extended to penalise an entire industry comprising responsible operators, workers and smallholders," he said.
MPOB said more than 242,000 independent oil palm smallholder families nationwide cultivated over 866,000 hectares, making them among the groups most exposed to changes in prices, production costs and market demand.
It said campaigns that weakened demand for palm oil products could affect the entire value chain, including smallholder incomes, fresh fruit bunch collection and processing activities, mill operations and related employment opportunities.
Malaysia's palm oil and palm-based product exports reached RM112 billion in 2025, up 2.9 per cent from RM109 billion in 2024, it added.
"Behind the export figures and industry performance are hundreds of thousands of families who depend on palm oil proceeds to finance their livelihoods, their children's education and daily needs. They should not bear the consequences of boycott calls that do not address the actual causes of environmental issues," Badrul Hisham said.
He said the country's palm oil industry was governed by a regulatory and certification framework covering production, processing and environmental compliance.
This included the mandatory Malaysian Sustainable Palm Oil (MSPO) certification, which had been extended to various categories of players across the palm oil supply chain.
The MSPO 2.0 standards, which took effect on Jan 1, 2025, strengthened requirements covering sustainability, legal compliance, environmental management, workers' welfare, traceability and responsible production practices.
Malaysia also continued to strengthen the international credibility of its certification system, with the European Union recognising MSPO in September 2025 as a credible and inclusive sustainability standard supported by a digital traceability system to help operators comply with the EU Deforestation Regulation (EUDR).
MPOB said the recognition affirmed Malaysia's efforts to strengthen governance and supply chain transparency but did not exempt industry players from complying with EU legal requirements.
Badrul Hisham said sustainability was demonstrated through regulations, certification, audits, monitoring and corrective measures, rather than declarations alone.
He said defending the palm oil industry did not mean overlooking environmental concerns, adding that the sector must continue improving its practices, raising productivity, reducing its environmental impact and complying with established standards.
He also urged celebrities, influencers and community leaders to use their platforms to share accurate information and encourage actions that would genuinely help resolve environmental issues.
"We welcome public voices that are concerned about environmental sustainability. However, influential voices also carry the responsibility of ensuring that the information they share is accurate and not misleading. The question is not whether we should protect the environment or support the palm oil industry. We need to do both," he said.
MPOB said it would continue carrying out its research, development, regulatory and technical support mandates to strengthen the competitiveness and sustainability of the country's palm oil industry, while ensuring smallholders were not left behind.