Kota kinabalu: Over 30,000 smallholders in Sabah have successfully obtained the Malaysian Sustainable Palm Oil (MSPO) certification, covering more than 191,000 hectares, as of April 2025. This achievement was announced by Chief Minister Datuk Seri Hajiji Noor, highlighting a certification rate of 97.62 percent, which is among the highest nationwide.
According to BERNAMA News Agency, the Chief Minister emphasized the significance of this milestone, underscoring collective progress and the importance of continuous collaboration among government agencies, industry players, and smallholders. This collaboration aims to sustain and expand sustainable palm oil production. Hajiji stressed the need for Malaysia to enhance its certification and traceability efforts to maintain recognition and credibility among key stakeholders, both domestically and internationally, amid global pressure for deforestation-free supply chains.
“In Sabah, we are making progress where about 97 percent of the planted area and over 92 percent in Sarawak are now certified under the MSPO. However, we must push toward 100 percent inclusion, particularly for independent smallholders,” Hajiji stated. He acknowledged the challenges faced by the industry, which include meeting evolving global standards, ensuring environmental integrity, and responding to market pressures. The Chief Minister’s speech, read by Sabah Industrial Development and Entrepreneurship Minister Datuk Phoong Jin Zhe at the East Malaysia Palm Oil Forum, highlighted these points.
Hajiji also introduced the Jurisdictional Approach for Sustainable Palm Oil, launched in 2015, as a transformative solution adopted by the Sabah government. This approach aims to achieve 100 percent certified sustainable palm oil production across the state by 2030. It serves as a governance mechanism that unites all players in the palm oil value chain under a unified framework. The approach aligns Sabah’s goals with national and international standards such as MSPO, RSPO, and the EU Deforestation Regulation (EUDR), ensuring no stakeholder, especially smallholders, is left behind.
Sabah has maintained its leadership with 1.48 million hectares under cultivation and an annual output exceeding 4.2 million tonnes of crude palm oil (CPO). Combined, Sabah and Sarawak contribute over 55 percent of the country’s total oil palm planted areas, reinforcing Malaysia’s position as the world’s second-largest palm oil producer and a leading source of a sustainable and responsibly managed supply chain.
The Chief Minister noted that this success is the result of decades of hard work, resilience, and collaboration across the supply chain, from smallholders to policymakers. He emphasized the shared commitment to balancing economic development with environmental stewardship and social progress, stating that the industry’s impact extends beyond economic figures, reshaping the rural landscape and promising a better future.
Hajiji expressed confidence in the continued thriving of the industry, which he believes will build a future-ready palm oil sector that benefits not only Malaysia but also the world through strategic investment, strong governance, and ongoing engagement with stakeholders.