PALMOILMAGAZINE, KOTA KINABALU – Oil palm smallholders continue to strengthen their role in the sustainable supply chain. As of August 31, 2025, a total of 209,033 smallholders across Malaysia, covering 747,012 hectares, have achieved Malaysian Sustainable Palm Oil (MSPO) certification.
In Sabah alone, 29,918 smallholders managing 184,564 hectares are now MSPO-certified. According to the Malaysian Palm Oil Board (MPOB), this milestone proves that smallholders are no longer on the sidelines of the industry, but are integral to collective efforts in safeguarding sustainability.
The government’s commitment is also evident. In Pitas, Sabah, more than RM2 million has been allocated to enhance smallholder involvement in the sustainable palm oil value chain, particularly through the TSPKS 2.0 scheme — a replanting incentive program for smallholders.
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According to The Edge Malaysia, Friday (Sept 12, 2025), Deputy Minister of Plantation and Commodities, Datuk Chan Foong Hin, presented a cheque worth RM713,322 to eight beneficiaries under the scheme, covering 39.63 hectares of replanting area.
The TSPKS 2.0 program is designed specifically for smallholders with plantations under 10 hectares. To date, 707 applications covering a total of 3,034.20 hectares in Sabah have been approved. MPOB emphasized that technical support will continue to be provided through its 49 MPOB Tunas offices, staffed with 190 field officers.
These Tunas officers not only assist in certification but also guide smallholders in good agronomic practices and replanting of old, unproductive palms. Such initiatives are seen as vital in ensuring smallholders remain competitive in global markets, especially in the face of the European Union’s new regulations.
MPOB welcomed the postponement of the full implementation of the European Union Deforestation Regulation (EUDR) to December 2025. The extension is regarded as a golden opportunity for Malaysia’s palm oil sector to further strengthen sustainability standards and ensure that smallholder-produced palm oil can continue to access increasingly stringent international markets. (P2)
