The European Union Deforestation-Free Regulation (EUDR): assessing impacts and strategies for Malaysian and the global oil palm industry


Citation

Subashini Nadras, . and Rafizah Mazlan, . and Hisham Hussain, . and Insyirah Md Shah, . (2024) The European Union Deforestation-Free Regulation (EUDR): assessing impacts and strategies for Malaysian and the global oil palm industry. Journal of Sustainability Science and Management (Malaysia), 19 (6). pp. 54-74. ISSN 2672-7226

Abstract

The European Union Deforestation Regulation (EUDR) is an EU initiative that limits deforestation and forest degradation caused by forestry and agricultural activities worldwide. The EUDR entered into force on 29 June 2023 and will generally apply on 30 December 2024 and 30 June 2025 for micro or small businesses. This study focused on exploring the probable impacts of the EUDR on the palm oil market and later specifically focused on the Malaysian palm oil industry. By integrating the findings from a PESTLE analysis, which evaluates the political, economic, social, technological, legal, and environmental factors that impact the global palm oil market, and a SWOT analysis, which categorises the strengths, weaknesses, opportunities, and threats of the Malaysian palm oil industry, this study delivers a holistic understanding of the challenges and opportunities brought forth by the EUDR. The findings showed that implementing the EUDR in the oil palm industry has wide-ranging consequences. The analysis sheds light on the multifaceted impacts of sustainability regulations on a crucial global commodity and offers valuable insights for policymakers, industry stakeholders, and researchers.


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Abstract

The European Union Deforestation Regulation (EUDR) is an EU initiative that limits deforestation and forest degradation caused by forestry and agricultural activities worldwide. The EUDR entered into force on 29 June 2023 and will generally apply on 30 December 2024 and 30 June 2025 for micro or small businesses. This study focused on exploring the probable impacts of the EUDR on the palm oil market and later specifically focused on the Malaysian palm oil industry. By integrating the findings from a PESTLE analysis, which evaluates the political, economic, social, technological, legal, and environmental factors that impact the global palm oil market, and a SWOT analysis, which categorises the strengths, weaknesses, opportunities, and threats of the Malaysian palm oil industry, this study delivers a holistic understanding of the challenges and opportunities brought forth by the EUDR. The findings showed that implementing the EUDR in the oil palm industry has wide-ranging consequences. The analysis sheds light on the multifaceted impacts of sustainability regulations on a crucial global commodity and offers valuable insights for policymakers, industry stakeholders, and researchers.

Additional Metadata

[error in script]
Item Type: Article
AGROVOC Term: oil palms
AGROVOC Term: palm oils
AGROVOC Term: deforestation
AGROVOC Term: impact assessment
AGROVOC Term: European Union
AGROVOC Term: regulations
AGROVOC Term: market access
Geographical Term: Malaysia
Depositing User: Mr. Khoirul Asrimi Md Nor
Date Deposited: 09 Apr 2025 01:37
Last Modified: 09 Apr 2025 01:37
URI: http://webagris.upm.edu.my/id/eprint/2549

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