Accra:The country aims to finalize the Malaysia-European Union Free Trade Agreement (MEUFTA) by the end of June 2027, as announced by the Investment, Trade and Industry Minister, Datuk Seri Johari Abdul Ghani. Currently, about 80 percent of the negotiations have been completed.

According to BERNAMA News Agency, Johari emphasized the significance of open market access between Malaysia and the EU once the agreement is signed, underscoring the advantages for Malaysia's economy. He highlighted that the United States, China, and the EU collectively represent nearly 70 percent of the global economy, with the EU being a critical market for Malaysia.

Negotiations continue over unresolved issues related to palm oil and the automotive sector. Johari expressed confidence that these matters will be resolved, noting the complexities involved with the EU's 27 member countries.

The MEUFTA would be Malaysia's 18th free trade agreement. Last year, Malaysia's trade with the EU totaled approximately US$50 billion, with exports reaching US$30 billion and imports at US$24 billion.

Johari also addressed compliance with the European Union Deforestation Regulation (EUDR), stating that major Malaysian palm oil producers, like United Plantations Bhd and IOI Corporation Bhd, are already adhering to the guidelines. These companies contribute to about 60 percent of Malaysia's crude palm oil production, ensuring that compliance is not a barrier in the FTA negotiations.

EU Commissioner for International Partnerships, Jozef Sikela, praised Malaysia's compliance efforts and clarified that delays in the regulation's implementation are due to issues on the EU's side, not Malaysia's compliance.