Structural issues a bane in MSPO drive for smallholders

By Emmanuel Samarathisa

INDEPENDENT smallholders face structural hurdles in producing sustainable palm oil, says the Malaysian Sustainable Palm Oil Certification Council (MPOCC), after it was revealed that only 11% of unaffiliated small-scale planters had been Malaysian Sustainable Palm Oil (MSPO) certified. 

MPOCC chairman Datuk Franki Anthony Dass said independent smallholders, or farmers planting on land smaller than 40ha and not under any organisation or company, face a series of challenges in being MSPO certified. This despite the government bearing the RM40,000 cost for a smallholder to obtain the certificate. 

“The reason for the lower percentage of certification with this group of smallholders is due to lack of readiness and awareness among them, which requires at least six months or more to educate and train them on MSPO. There is also the need for certain infrastructure to be ready to store chemicals/fertilisers, among others. Other reasons are having valid land ownership and MPOB licence/permits,” he told FocusM

Dass added that only when such problems were fixed can these smallholders “be audited by independent certification bodies”.

Primary Industries Minister Teresa Kok said on Jan 13 that only 11% of independent smallholders were MSPO certified. 

“Malaysia has 5.8 million hectares under oil palm and 40% of them are owned by smallholders. But, only 11% of the oil palm smallholders have the MSPO certification.

“The RM40,000 cost to obtain the certificate is borne by the government. As such, oil palm smallholders are urged to take the opportunity to obtain the certification by providing the necessary documents needed by the auditors,” she told reporters that day. 

But, according to Dass, some smallholders had already been audited but are awaiting certification. “Otherwise the percentage would be higher,” he said.

Subscribe and get top news delivered to your Inbox everyday for FREE