The UK is responsible for deforestation the size of Liverpool every year according to a new report from Global Witness.
Quoting Global Witness:
“Overall, the vast majority of the UK’s deforestation footprint is linked to cattle products imported from Brazil – where vast swathes of climate-critical ecosystems like the Amazon and Cerrado have been razed to make room for pasture.
A total of 12,856ha of deforestation was linked to direct imports of Brazilian cattle products alone in just over three years (November 2021 to December 2024). Soya beans from Brazil also contribute to its ranking as the top partner for deforestation exposure, linked to 2,494ha.
Other high-ranking commodities and countries within the same period include oil palm fruit from Papua New Guinea (6,727ha) and Indonesia (4,249ha), and cocoa beans from Côte d’Ivoire (4,875ha).
Commenting on the findings, Labour MP and Co-Chair of the APPG on Global Deforestation Anna Gelderd said:
“The UK has the power to be a champion for nature and human rights, standing with those fighting to protect their forests.
Yet the revelation that our imports have contributed to deforestation on such a massive scale risks us falling behind. This is a stark reminder that we must lead the charge in stopping deforestation-linked imports by urgently introducing the long-overdue measures in the Environment Act and closing loopholes on traceability and human rights.”
An astute reader will pick up that this Global Witness report presents a prime opportunity for Malaysia to make its case for the sustainability of its exports.
As a backgrounder:
The Malaysian Minister in charge of plantations, Johari Ghani, has been pushing back against accusations of deforestation in Malaysia for palm oil. Responding to the EU’s Deforestation Regulations, Minister Ghani flatly stated that there is no scientific evidence justifying criticism of Malaysian palm oil.
To emphasize his argument, the Malaysian Sustainable Palm Oil (MSPO) standards introduced heightened standards in 2025.
Industry bodies and analysts are hopeful that the Malaysian Sustainable Palm Oil (MSPO) Standard MS2530:2022 (MSPO 2.0), which took effect on Jan 1, 2025, will open new markets for Malaysian palm oil and strengthen its position in the global edible oil scene.
The MSPO 2.0 establishes a new benchmark to strengthen sustainability and inclusivity in ethical palm oil production.
Among others it introduces a deforestation cut-off date to ensure all new plantings adhere to updated sustainability practices, preventing deforestation and ensuring responsible land use.
Starting Jan 1, 2025, the certification will apply only to areas that have not been deforested after Dec 31, 2019.
The cut off date of December 31, 2019 is an obvious dare to the EU’s Deforestation Regulations where the implementation of the EUDR was delayed to accommodate the demands of other exporting countries which were not similarly prepared.
As the European Union struggles with the new problems caused by Trump’s tariffs the EU is not expected to have time to spare on what it imports from smaller trade partners when its own export commodities are being threatened.
EU Back Pedaling On Green Demands
Most notable in this spat over steel and aluminum is the absence of any mention of sustainability. The carbon club for green steel which was supposed to green up the industries maybe dead but not the EUDR which threatens to restrict Malaysian palm oil exports to the EU.
The most notable development in the EU’s Green Deals is the back pedaling of the EU Commission to make it easier for EU agricultural producers to comply with the EU’s own rules on sustainable agriculture.
As political scientist Tiago Torrin Itoh Viergever wrote:
“It is simplistic to attribute full blame for the EU’s recent rollback of sustainability regulations to Trump’s influence. Yet it would be equally shortsighted to dismiss the potential repercussions of a second Trump term on European sustainability discourse. As the EU’s Omnibus legislation on sustainability reveals, Europe’s green policy frameworks remain fragile. CSRD and CSDDD requirements, painted as nothing but “bureaucratic red tape”, were very quickly discarded, leaving European sustainability professionals confused, but regrettably unsurprised. As Trump’s trade war antics escalate, Europe is being forced to reckon with a new reality: its prolonged dependence on the US has left it all too vulnerable without it. Now, scrambling to find new partnerships, the EU is forced to ease up on its prior sustainability commitments. Other legislation, such as the EU’s Deforestation Regulation, might soon find itself on the chopping block.”
Tiago may be right as the EU targets US wood worth a billion dollars under the EUDR. Should the EU succumb to Trump and exclude US wood products from EUDR, this would make a joke of the EUDR as Trump is willing to raze over nationally protected forests in the name of protecting US industries.
Malaysian Palm Oil as a Silver Bullet for UK
With the EU’s largest political group in the European Parliament, the EPP Group calling for an Europe First policy, the best place for Malaysia to feature the sustainability of its palm oil is in its free trade deal with the UK.
Malaysia is expected to win big for its palm oil exports to the UK under the CPTPP trade agreement. Not so much in duty free access to the UK market but more in the recognition of the MSPO by the UK.
“It is expected that most Malaysian palm oil production will be certified against the MSPO 2022 standard by 1 January 2025, which is around the time that the UK Government anticipates the UK will accede to CPTPP.
“So provided this new standard is fully implemented by January 2025 and compliance with it is effectively enforced, there is a low risk that Malaysian palm oil exported to the UK would come from land that was deforested after December 2019.”
Having met the UK’s expectations of a no-deforestation palm oil supply in 2025, Malaysian palm oil exports to the UK is expected to gain market share with the UK’s acceptance of the MSPO. The acceptance of the MSPO by the UK will be super important to Malaysia which exports products derived from its palm oil industry all over the world especially in palm oil wastes products.
MSPO to Meet NGO Demands on Palm Oil
Two products from Malaysian palm oil wastes stand to benefit from the UK’s acceptance of palm oil.
PKE exports for animal feed and sustainable aviation fuels.
In palm-based animal feed, the complex nature of global trade has meant that Malaysian exports of palm-based animal feed has been pointed out as a cause for concern.
New Zealand’s beef industry has faced constant criticism from Greenpeace for the use of PKEs in farm animal feed. Greenpeace would tell you that there is deforestation in Malaysian exports of PKEs to New Zealand and then tell you that beef exports from New Zealand to the UK and the EU are guilty of causing deforestation in Malaysia.
Rainforest Action Network (RAN) a US NGO has similarly criticized the US animal feed industry for “embedding deforestation.” The NGO pointed fingers at major dairy and consumer goods companies for their short failings.
- Lack of Proper Regulation for Monitoring Palm Oil-Based Animal Feed Trade
- The Paradox of Self-Governance
- The Role of the Consumer Goods Forum
- Policies and Transparency Are Essential
“The solution to this problem is simple: All companies must adopt a strict NDPE policy that includes embedded palm oil. The Consumer Goods Forum’s 400 companies and palm oil importers and exporters must also follow this policy. Brands must be honest about the products used in their supply chains and take tangible steps to stop human rights abuses and deforestation.”
RAN’s latest criticism of consumer goods companies zeroed in on Mondelez for failing to address the issue of “embedded deforestation” in cattle feed.
The solution to these problems is simple for sure.
If NDPE commitments by corporations are the end game and corporations cannot be trusted to self-govern their commitments, then its high time NGOs like Greenpeace and RAN look towards jurisdictional certification for palm oil.
It is important at this point to clarify exactly what “jurisdictional certification” means in comparison to “jurisdictional approach certification.”
“Jurisdictional approach certification” is controversial as uncertified production areas with all the accusations of human rights abuses are approved as sustainable.
“Jurisdictional certification” like Malaysia’s Sustainable Palm Oil standards is different as it is a national standard which requires the audit and certification of all palm oil operations in Malaysia as a jurisdiction.
What this means for importers of animal feed from New Zealand or the US is that the quality assurance of sustainability comes from Malaysia with its no-deforestation for palm oil commitment. No grounds were given for palm oil operations in Malaysia that could not meet the MSPO’s standards for sustainability.
What is more important is that the MSPO would effectively assume the responsibility of self governance away from the private sector into national standards set by Malaysia.
The assumption of a no-deforestation commitment for animal feed extends beyond beef to biofuels where private schemes to verify the authenticity of biofuels are being questioned by the EU.
Industry faith in Malaysia’s no-deforestation for palm oil has led to exploratory deals between Malaysian producers of biofuels and companies from Dubai to Japan to in-country flights.
As a pioneer in creating national standards for the sustainable production of commodities, the nod from the UK paves the way for other countries to follow the path that Malaysia and the UK has created for sustainable commodities.
It may be unthinkable a few short years ago that an official certification program by the Malaysian government could supersede well known certification schemes for sustainable palm oil like the RSPO or the ISCC but here we are.
In these turbulent times of tariffs where sustainability is being thrown out the window, the MSPO with the backing of the Malaysian government will be essential to remove Malaysian palm oil from the equation of deforestation.
Published April 2025 CSPO Watch
