MSPO Logo Usage, Eco-labelling, and No Palm Oil Campaign

 

MSPO Logo Usage, Eco-labelling, and No Palm Oil Campaign

Written by Paren Anak Nyawi, MPOCC

The Malaysian Sustainable Palm Oil (MSPO) logo glimpse of other forms of “green label”. It is worth noting that eco-labelling is a voluntary green label, which is contrary to the mandatory national standard MSPO.

The Malaysian government has taken pragmatic measures in response to the anti-palm oil campaign, particularly the No Palm Oil (NPO) campaign, which employs NPO labelling.

Thus, the MSPO logo serves as an essential tool for consumers seeking palm oil products that have been sourced sustainably. It denotes strict adherence to rigorous MSPO standards, assuring customers that their products meet the requirements. It indicates that the product was produced on an MSPO-certified oil palm plantation and the organisation has been certified to meet MSPO requirements.

This emblem facilitates consumer choices aligned with the UN SDGs agenda and three (3) pillars of sustainability.  The organisations featuring the MSPO logo on their products and off-product signal a commitment to sustainable palm oil.

In recent years, companies such as SOP Foods Sdn Bhd, East Asia Palm Products Sdn Bhd, Kwantas Oil Sdn Bhd, and Delima Oil Products Sdn Bhd have actively adopted the MSPO logo, symbolizing their commitment to responsible palm oil production. Brands like MERRIS, SARACO, CRESCENT, ASADA, REISER, Twin Leaves, "Minyak Mas," "Minyak Emas," and TIGA UDANG proudly display the MSPO logo on their products, reinforcing their dedication to sustainable practices in both local and international markets.

As stated earlier, the MSPO logo represents Malaysia's mandatory standard for sustainable palm oil. In contrast, the SIRIM Eco-labelling mark represents voluntary participation in a National Eco-labelling Programme of Malaysia also as a member of the Global Ecolabelling Network (GEN) indicating that a product meets environmental criteria based on life cycle considerations and scientific methodology.

Moreover, the "No Palm Oil" labels on products have sparked debate, raising concerns from producing countries as the accusations are skewed by detractors. As a repercussion, the Malaysian government, through amendments to The Trade Descriptions Act 2011 effective March 2022, strictly prohibits discriminatory statements concerning palm oil and enforces fines or imprisonment for misleading labels.

In addition, another effort to underpin the palm oil industry's reputation globally introducing the Global Framework Principles of Sustainable Palm Oil (GFP-SPO) by the Council of Palm Oil Producing Countries (CPOPC) and efforts between Malaysia and Indonesia to counter the anti-palm oil campaign and negative narratives and promote sustainable practices via a comprehensive framework that emphasizes responsible practices and serves as a common language across certification schemes.

Therefore, the palm oil industry must find a balance between adhering to MSPO standards, voluntarily adopting eco-labelling, and responding to concerns raised by the No Palm Oil campaign. This equilibrium is essential for the industry's sustainable future. 

In a nutshell, the MSPO logo stands as a beacon for responsible production, promoting transparency and accountability in the supply chain and fostering positive environmental, societal, and economic impacts.

Biomass Palm oil as Renewable Energy

 

MSPO 2022 :Biomass Palm oil as Renewable Energy

Written by Paren Anak Nyawi, MPOCC

Malaysia was recognized as the world's second-largest oil palm producer. It is estimated that between 50 to 75 million m3 of palm oil mill effluent (POME) is generated annually in Malaysia. A large amount of biomass waste was found from the palm oil extraction, washing, and cleaning process. This process has collected tons of empty fruit bunches (EFB), mesocarp fiber, palm kernel shell, and POME. All these are produced from the palm oil milling process, oil palm fronds, and trunks from plantation activities such as pruning and replanting.

On that note, the Malaysian Sustainable Palm Oil (MSPO) MS2530:2022 standard has highlighted that the use of renewable energy shall be encouraged and applied where practical. The application shall help the Malaysian government achieve about 20 percent renewable energy (RE) capacity in 2025. Following the effort, the Malaysian government is committed to contributing to ASEAN's renewable energy (RE) target of 35% RE capacity by 2025.

With that, in line with the commitment, the Malaysian Sustainable Palm Oil (MSPO) chain of custody (CoC) of oil palm biomass (MS 2751:2022) was launched in March 2022 to ensure the biomass palm oil is sustainable and can be used as renewable energy. Biomass palm oil was identified to have many purposes and an infinite source of energy. It also can be converted into bio-products.

Furthermore, biomass palm oil could significantly neutralize carbon compared to fossil fuels. The fuel from the natural part of the carbon can be cycled as the source of biofuels. Also, biomass palm oil will be reduced depending on fossil fuels.

The palm oil industry for biomass has been proven to produce a vast supply of by-products that can be readily used for future energy sources. Principle 5 of the revised MSPO Standards MS2530:2022 has highlighted in criterion 2 the efficiency of energy use and use of renewable energy, and criterion 3 emphasizes waste management and disposal. In relation to that, MSPO urged all the industry players to adopt the 3R concept imposed on the 3R (Reduce, Reuse, Recycle).

The need to effectively utilize biomass palm oil is alarming. Hence, the concept of circularity in the palm oil industry will be able to create a self-regenerative system that will result in better sustainability. The sustainable palm oil industry will significantly emerge a circular economy that will benefit the local communities and stakeholders. Palm oil biomass will contribute as an input resource, which would widen the perspective of considering it as an output waste.

Biomass energy has proven as one of the most promising environmentally sustainable renewable energy sources. The palm oil biomass was obtained wholly or partly manufactured or recovered palm oil which includes feedstock and product. These materials can be categorized into liquid and solid depending on biomass sources. Promoting biomass palm oil as renewable energy was in line with the UN Sustainable Development Goals (SDGs) agenda, specifically Goal 12, to ensure sustainable consumption and production. It is vital to ensure that production and consumption are done responsibly and create a balance between environmental, societal, and economic considerations.

How MSPO Protects Malaysia’s Rich Biodiversity

 

How MSPO Protects Malaysia’s Rich Biodiversity ( Orang Utan Malaysia)

Written by Paren Anak Nyawi, MPOCC

The oil palm industry significantly contributes to Malaysia’s Gross Domestic Product (GDP), and Malaysia is the second highest palm oil producer worldwide. According to Malaysian Palm Oil Board (MPOB) data, as of Dec 2021, about 5.73 million hectares of land were used to grow palm oil in Malaysia. This fact has shown a sign of urgency for Malaysia’s palm oil industry to adopt a sustainable practice.

With that notion, Malaysian Sustainable Palm Oil (MSPO) has introduced the High Conservation Value (HCV) guidelines to its stakeholders. High Conservation Value (HCV) emphasizes the biological, ecological, social, and cultural values, a critical issue to be debated in the palm oil industry. This issue has alarmed the nations to put some stop signs on any circumstances critically. Any legal requirement relating to HCV must be followed as to Principle 3: Compliance with legal and other requirements. Due to the urge to react, MSPO has tried to protect Malaysia’s rich biodiversity. MSPO plays a vital role in preserving biodiversity in Malaysia.

In MS2530:2022, biodiversity refers to the variety of life. It is the diversity of all living organisms from the various ecosystems of the planet. It includes diversity within species, between species, and of ecosystems in which they live. Biodiversity is significant in pollination and crop production, and more than one-third of the world’s food crops depend on natural pollination involving animal and insect species. It shows how important the role of fauna species is in maintaining the natural balance of the ecosystems.

Moreover, biodiversity also plays an essential role in stabilizing the climate, where plants act as carbon stores that help slow down the development of carbon dioxide in the atmosphere. In addition, biodiversity also prevents and reduces the effects of natural disasters. Thus, forests protect the landscape from erosion, nutrient loss, and landslides through the action of root grip. Biodiversity also plays a vital role in soil generation and maintaining air and water quality.

The urge to focus on the 5 Pillars of Sustainable Development Goals (SDGs) has influenced MSPO to highlight its direction to adopt and endorse High Biodiversity Value (HBV) in 2013. Seeing the significant role of biodiversity in maintaining the balance of the environment, MSPO plays a role in protecting Malaysia’s biodiversity. The main plan is to ensure the sustainability of the ecosystems is maintained. MSPO first introduced the certification program in 2015, and it has become an indicator of quality that must be complied with by all stakeholders.

Newly revised standards MS2530:2022 have been announced to prohibit any conversion involving natural forests, protected areas, and High Conservation Value areas after 31st December 2019.

It is a mandatory requirement for all the stakeholders involved in oil palm plantations to comply with the conditions set by the MSPO. If these necessary conditions are not adhered to, the entity won’t get certified by MSPO. Therefore, oil palm growers need to practice good agriculture practices to conserve biodiversity.

Good agriculture practices can improve soil fertility naturally and can strengthen pest control. MSPO focuses on the sustainability of the palm oil industry, where biodiversity is a priceless treasure and a legacy for future generations. The initiatives involved in the commitment to environmental management, conservation, and protection shall cover pollution prevention, optimizing the use of natural resources, and mitigating the impacts of global warming.

The MSPO Trace Platform.

 The MSPO Trace is a platform that displays information about the certification of companies and entities related to the MSPO. This information includes the track number, certification body, certification type, parent company, company name, certified entity or cluster, MPOB code, number of smallholders, state, certified area (in hectares), certified capacity (in metric tons per hour), audit stage, MSPO certification number, issue date, expiration date, status, and geographical location. This information is publicly available for viewing

What is MSPO?

 MSPO stands for Malaysian Sustainable Palm Oil, which is a certification program for the palm oil industry in Malaysia. The certification aims to promote sustainable and responsible practices in the production of palm oil, taking into account environmental, social, and economic aspects. The program is managed by the Malaysian Palm Oil Certification Council (MPOCC) and is based on international standards for sustainable agriculture and environmental management. MSPO certification is designed to provide assurance to buyers, consumers, and other stakeholders that palm oil products have been produced in an environmentally and socially responsible manner.

The aim of MSPO is to promote sustainable palm oil production practices and to provide assurance to consumers that the palm oil they purchase is produced in a responsible and sustainable manner. Companies that produce palm oil and meet the standards set by MSPO can obtain certification and use the MSPO logo on their products, indicating that they comply with the sustainability requirements.

Comparison MSPO versus Corporate Sustainability Due Diligence (CSDD)

MSPO (Malaysian Sustainable Palm Oil) is a certification scheme for sustainable palm oil production in Malaysia, while Corporate Sustainability Due Diligence (CSDD) is a process used by companies to assess and manage sustainability risks and impacts in their operations and supply chains.

MSPO is a certification standard established by the Malaysian government to promote sustainable palm oil production in the country. It covers the environmental, social, and economic aspects of palm oil production, including environmental protection, human rights, and economic viability.

CSDD is a requirement under the EU's due diligence regulation (Regulation (EU) 2019/2088) which came into effect on 3 January 2021. It requires companies to conduct sustainability due diligence throughout their supply chains, including for palm oil and its derivatives, to ensure that they do not contribute to deforestation, human rights violations, or other environmental and social risks.

Both MSPO and CSDD aim to promote sustainable palm oil production and help address the negative impacts of palm oil production on the environment and communities. However, CSDD has a broader scope, covering all supply chains of a company, while MSPO focuses only on palm oil production in Malaysia.

MSPO (Malaysian Sustainable Palm Oil) is a certification standard for sustainable palm oil production in Malaysia, while Corporate Sustainability Due Diligence (CSDD) is a process in the European Union to assess and manage the environmental and social risks and impacts associated with a company's activities and supply chains.

In terms of sustainability, MSPO focuses specifically on palm oil production, while CSDD is a broader approach to corporate sustainability that covers a range of sectors and products. MSPO aims to promote sustainable palm oil production in Malaysia, while CSDD aims to promote responsible and sustainable business practices throughout the European Union.

While both MSPO and CSDD aim to promote sustainable practices, they differ in their scope, geographic focus, and the specific sustainability standards they cover. MSPO focuses on the palm oil sector in Malaysia and sets standards for environmental, social, and economic sustainability. CSDD, on the other hand, is a broader concept that can apply to any sector or company and is often guided by the EU sustainability due diligence regulations.

CSDD, on the other hand, is a European Union (EU) initiative that aims to address the negative impacts of palm oil production on the environment and human rights. It requires companies to assess and report on the sustainability of their palm oil supply chain.

MSPO is a specific certification scheme for the palm oil sector in Malaysia, while CSDD is a wider process used by companies to assess sustainability risks and impacts in their operations and supply chains.

In summary, while both MSPO and CSDD aim to promote sustainability in palm oil production, MSPO is a national standard specific to Malaysia, while CSDD is a European initiative that applies to companies importing palm oil into the EU.

MSPO logo by MPOCC and how to promote it.

 The Malaysian Palm Oil Certification Council (MPOCC) is responsible for promoting the Malaysian Sustainable Palm Oil (MSPO) logo to be known worldwide. Here are some steps that the MPOCC may take to achieve this goal:

1. Market the MSPO logo: The MPOCC can promote the MSPO logo through marketing campaigns that target key stakeholders, such as buyers, importers, and consumers, to raise awareness of the MSPO and its benefits.

2. Partner with organizations: The MPOCC can partner with organizations, such as industry associations and environmental groups, to promote the MSPO logo and raise awareness of sustainable palm oil.

3. Attend trade shows and events: The MPOCC can attend trade shows and events, such as industry conferences and exhibitions, to promote the MSPO logo and engage with key stakeholders.

4. Engage with governments and policymakers: The MPOCC can engage with governments and policymakers to promote the MSPO logo and secure recognition and support for sustainable palm oil.

5. Develop promotional materials: The MPOCC can develop promotional materials, such as brochures, videos, and presentations, to promote the MSPO logo and raise awareness of sustainable palm oil.

6. Foster relationships with customers: The MPOCC can foster relationships with customers, including processors, manufacturers, and retailers, to promote the MSPO logo and encourage the use of sustainable palm oil.

By taking these steps, the MPOCC can help to increase the recognition and acceptance of the MSPO logo, and promote sustainable palm oil production and consumption worldwide

Is Malaysian Palm Oil Sustainable?

 Malaysian palm oil can be considered sustainable if it is produced and managed in accordance with the principles and criteria of the Malaysian Sustainable Palm Oil (MSPO) certification standard. The MSPO is a national certification scheme that was developed to promote sustainable palm oil production in Malaysia. The MSPO standard covers a range of sustainability issues, including environmental protection, social responsibility, and economic viability.

To be MSPO certified, palm oil producers must meet a set of sustainability requirements, such as protecting high conservation value and high carbon stock areas, conserving biodiversity, and respecting the rights of local communities and workers. In addition, certified palm oil must be traceable from the point of origin to the point of sale, ensuring that only sustainably produced palm oil is sold as MSPO certified.

Overall, MSPO certification is a step towards ensuring that Malaysian palm oil is produced in a sustainable and responsible manner. However, it is important to note that sustainability certification is not a guarantee of sustainability and that there may still be environmental and social challenges associated with palm oil production, regardless of certification.

How MSPO can be accepted in EU market ?

 The Malaysian Palm Oil Certification (MSPO) is a certification scheme that aims to ensure that the production of palm oil in Malaysia meets sustainability standards. To be accepted in the EU market, the MSPO must comply with the EU's requirements for sustainable palm oil, which are outlined in the EU Renewable Energy Directive (RED) and the EU Delegated Act.

Here are some steps to help MSPO be accepted in the EU market:

1. Align with EU sustainability standards: The MSPO must demonstrate that it meets the sustainability criteria outlined in the EU RED and the EU Delegated Act, including criteria related to environmental protection, social responsibility, and good governance.

2. Achieve recognition by EU-approved certification bodies: The MSPO must be recognized by EU-approved certification bodies, such as the Roundtable on Sustainable Palm Oil (RSPO), in order to be recognized in the EU market.

3. Increase transparency and accountability: The MSPO must have robust traceability systems and reporting mechanisms in place to ensure transparency and accountability in the production of palm oil.

4. Engage with stakeholders: The MSPO must engage with stakeholders, including EU importers, NGOs, and consumers, to build awareness and understanding of the certification and its benefits.

5. Collaborate with the EU and other certification schemes: The MSPO should work closely with the EU and other certification schemes to promote the acceptance and recognition of sustainable palm oil in the EU market.

By following these steps, the MSPO can help increase its recognition and acceptance in the EU market and contribute to the growth of sustainable palm oil products