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MSPO vs RSPO: Understanding the Differences in Palm Oil Certifications

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Palm oil, one of the world’s most widely used ingredients, often faces scrutiny over its environmental and social impacts. To ensure that palm oil is produced sustainably, two key certification schemes have emerged: MSPO (Malaysian Sustainable Palm Oil) and RSPO (Roundtable on Sustainable Palm Oil). Both certification schemes aim to drive sustainable practices, but they have different origins, objectives, and impacts. In this blog post, we’ll explore the differences between MSPO and RSPO, and what these certifications mean for consumers, companies, and the environment.

The Origins and Objectives of MSPO and RSPO

The MSPO certification was launched in 2013 by the Malaysian government as a national standard to promote sustainable palm oil practices. It is mandatory for all palm oil plantations and smallholders in Malaysia and emphasizes environmental responsibility, social welfare, and good agricultural practices. MSPO’s goal is to make Malaysia a leader in sustainable palm oil production while protecting local livelihoods.

RSPO, on the other hand, was established in 2004 as a global, voluntary certification scheme supported by a diverse group of stakeholders, including environmental NGOs, companies, and investors. RSPO aims to promote the production of sustainable palm oil through a set of comprehensive criteria focusing on reducing deforestation, respecting human rights, and promoting transparency in the supply chain. RSPO operates globally, with members in palm oil-producing countries like Indonesia and Malaysia, as well as in consuming markets across Europe and the United States.

Affiliations and Brand Certifications

MSPO is primarily affiliated with the Malaysian government and the national palm oil industry. This certification is deeply tied to the country’s economy and efforts to promote sustainable agriculture within its borders. As of 2022, Malaysia has certified over 90% of its palm oil under the MSPO standard, making it one of the largest contributors to the global supply of certified sustainable palm oil.

RSPO, being a global initiative, has affiliations with international companies, NGOs, and consumer brands. Many of the world’s largest food and cosmetic companies, including Unilever, Nestlé, and L’Oréal, are members of RSPO and actively promote their commitment to sourcing RSPO-certified palm oil. This certification is seen as the gold standard for sustainability in Western markets, and brands using RSPO-certified palm oil often highlight this on their products to reassure environmentally conscious consumers.

What Does This Mean for Consumers and Companies?

For consumers, both certifications provide a level of assurance that the palm oil used in products is produced sustainably. MSPO-certified products are especially relevant for consumers in Malaysia and Southeast Asia, where the certification is most widely recognized. For consumers in the West, RSPO certification carries more weight due to its global reach and backing by international brands.

Companies, particularly those operating globally, often opt for RSPO certification to meet the sustainability expectations of Western consumers. However, for companies sourcing from Malaysia, MSPO certification is equally important in demonstrating their commitment to ethical and sustainable sourcing. Both certifications play a vital role in ensuring that sustainable palm oil becomes the industry norm, but they target different markets and stakeholders.

Impact on Plantations, the Industry, and the Planet

For plantations, MSPO and RSPO certifications drive improvements in environmental and social practices, but they also require compliance with strict standards. MSPO, being mandatory in Malaysia, ensures that even smallholders—who make up a significant portion of the industry—are included in the sustainability movement.

RSPO’s global influence helps push the entire palm oil industry towards greater sustainability. However, it’s important to note that achieving RSPO certification can be more challenging for smallholders due to its more stringent criteria and higher costs. MSPO, in contrast, is designed to be more accessible while still delivering significant environmental benefits.

How Are These Certifications Perceived in the West?

In Western markets, RSPO is generally seen as the more credible certification due to its global presence and rigorous criteria. Brands often promote RSPO certification as a mark of their commitment to sustainability. However, MSPO is gaining recognition as Malaysia continues to push its national standard and highlight its contribution to global sustainability efforts. As more Western consumers and companies become aware of MSPO, its perception may evolve, especially with its strong emphasis on protecting local livelihoods and biodiversity.

Conclusion

Both MSPO and RSPO play crucial roles in promoting sustainable palm oil production, but they serve different markets and stakeholders. While RSPO is widely recognized in the West, MSPO is vital for the sustainability of Malaysia’s palm oil industry. For consumers, companies, and the planet, both certifications are essential in moving the industry towards a more sustainable future, ensuring that palm oil production can meet the needs of a growing global population without compromising environmental integrity.

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