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(Update) M'sia may re-evaluate trade with France over bias against palm biofuels

BANGI: Malaysia will consider to restrict purchase of French products if the country proceeds with discriminating and attacking the palm oil industry, Plantation Industries and Commodities Minister Datuk Seri Mah Siew Keong said today.

“The French Environment Minister Nicolas Hulot allegation that palm biofuel is linked to vast deforestation is misplaced. It’s misguided and not true.

“France should stop attacking palm oil. France should cherish 60 years of diplomatic relations with Malaysia. If France goes on discriminating the palm oil industry, Malaysia will consider to restrict purchase of French products,” he said.

Mah noted in 2016, France imported 1.1 million tonnes of biodiesel, which contained palm oil. This is almost fourfolds that of 300,000 tonnes back in 2010.

“We’ve already got the Malaysian Sustainable Palm Oil (MSPO) certification since 2015,” he said, adding the MSPO is proof of planters implementing good agricultural methods that is aligned to environmental sustainability.

The minister explained the government-driven MSPO is a reflection of a unified code of laws concerning best practices throughout the supply chain, from oil palm planting to palm oil processing.

“Oil palm cultivation does not contribute to vast deforestation. In Malaysia, oil palm planting occupies 5.8 million hectares or 17 per cent of our land area. Please remember Malaysia has a forest cover of 55 per cent compare with France’s sparingly 37 per cent,” he said.

Mah was responding to Hulot's recent announcement saying his country will close a window that offered the possibility for using palm oil in biofuels.

Hulot did not elaborate measures envisaged but said he wanted to stop "imported deforestation" into France, alleging unsustainable production of soybean and palm oil from developing Latin America and Asia.

Hulot's negative view of palm oil reflects that of Avril Group, Europe's largest biodiesel producer. Avril Group uses French rapeseed as its main feedstock for biodiesel.

Last week, Avril chief executive Jean-Philippe Puig reportedly said his company supports all initiatives banning usage of palm oil in biodiesel.

Mah was speaking with reporters after officiating at the Transfer of Technology seminar organised by the Malaysian Palm Oil Board (MPOB) here today.

Also present were Plantation Industries and Commodities deputy secretary general Zurinah Pawanteh, MPOB director general Dr Ahmad Kushairi and Malaysian Palm Oil Council chairman Datuk Lee Yeow Chor.

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