Markets and trade
 

Detail

Area
Malaysia
Commodity Group
Oilseeds, oils and meals
Commodity
Palm oil
Date
01/03/2019
Policy Category
Other
Policy Instrument
Environmental policy
Description
Proposed capping the country’s area under oil palm at 6.5 million ha by 2023 – a move aimed at dispelling claims that the expansion of oil palm plantations contributes to deforestation.
Notes
Ministry officials confirmed that plans for a moratorium on all expansion of oil palm plantations are under consideration (see also MPPU Mar.’19). Reportedly, the country’s area under oil palm plantations could be capped at 6.5 million hectares by 2023. Observers pointed out that – with total planted area currently estimated at 5.85 million hectares – there would be room for plantations to expand by another 650 000 hectares, involving either untouched or already logged-over forest land. In this regard, environmentalists underlined the urgency of shedding light on current land use and called on the government to proceed with the planned mapping of oil palm concessions throughout the country, guaranteeing public access. Moreover, observers reiterated concerns over the divergence of objectives between federal and state governments, which are said to give rise to enforcement issues. Meanwhile, the Federal Government informed that it was working on new initiatives to promote forest restoration activities in collaboration with both state governments and plantation companies.