MPOC calls on the EU to delay EUDR in support for small farmers
Belvinder Kaur Sron, CEO of the Malaysian Palm Oil Council (MPOC), calls for the EU Commission to delay the implementation of the EU Deforestation Regulation (EUDR) until January 2025. She argues this is essential to support small farmers, ensure business stability, and avoid a chaotic regulation rollout.
Key concerns raised by Malaysia and other stakeholders include:
• EUDR discriminates against developing countries.
• The implementation date of 30th December 2024 is unworkable.
• A delay would prevent smallholders from being excluded from supply chains and allow more time for businesses to adapt.
MPOC’s Urgent Recommendations
• Exempt smallholders from the EUDR to protect their participation in supply chains.
• Publish clear criteria to identify sustainable commodities like Malaysian palm oil as ‘low risk.’
• Accept the Malaysian Sustainable Palm Oil (MSPO) standard as a compliance tool for EUDR.
Background on EUDR
• EUDR requires extensive data from importers, including geolocation and polygon mapping of plantations.
• Small Malaysian palm oil farmers may struggle to meet these demands, threatening their livelihood.
• EUDR compliance is estimated to cost the palm oil sector $650 million annually, with $260 million burdening small farmers.
Global Concerns and Support for Delay
• Germany’s Chancellor Olaf Scholz asked for a delay to EUDR.
• Seventeen nations from Asia, Latin America, and Africa expressed concerns about EUDR.
• The Biden Administration criticized the lack of clear implementation guidelines.
• 20 out of 27 EU Agriculture Ministers supported a delay.
• Peter Liese MEP and NGO FairTrade raised concerns about the negative impact on producers and supply chains.
• New York Times criticized EUDR for unfairly burdening lower- and middle-income nations.
• Malaysia’s PM Anwar Ibrahim vowed to fight palm oil discrimination.
• Dr. Anna Jerzewska stated that implementing EUDR by December would lead to chaos, as readiness is lacking.