Its minister Teresa Kok said the aim is to show the world that Malaysian palm oil is produced from sustainable planting sources and good agricultural practices.

Kok said the government would pay for the certification as long as the smallholders abide by the rules and regulations.

The smallholders will also be given annual grants to help them obtain certification.

“The ministry and the state government will be holding more meetings to discuss the issue.

“Once we have certified the smallholders and the refineries and palm oil mills, the products from uncertified smallholders will not be accepted,” she said after paying a courtesy call on Chief Minister Abang Johari Openg at his office here today.

Kok said they discussed collaboration in tackling issues on palm oil.

Noting that the European Union is planning to phase out palm oil imports, she said Sarawak has sizeable oil palm plantations and the country as a whole will be affected since the EU is the second largest market for Malaysian oil palm.

“We are not happy. Why is soybean oil considered as low ILUC (Indirect Land Use Change) but palm oil is high ILUC?

“My ministry has sent a delegation to the EU to argue the methodology.

“We hope they can consider Malaysia’s position because we are the second largest palm oil producing country,” she said.