MSNR ENSURES MALAYSIAN RUBBER REMAINS COMPETITIVE IN INTERNATIONAL MARKETS -- JOHARI

PORT KLANG, Dec 12 (Bernama) -- Malaysia's rubber industry has recorded many achievements through the Malaysian Sustainable Natural Rubber (MSNR) initiative, which was implemented to ensure rubber remains a commodity that can compete in international markets.

Plantation and Commodity Minister Datuk Seri Johari Abdul Ghani said two local rubber companies, through early compliance with standards based on the European Union Deforestation Regulation (EUDR), have exported 200 tonnes of Standard Malaysian Rubber (SMR) to the European Union (EU).

"Last month, the EU Parliament voted to delay enforcing the EUDR from Dec 30, 2024, to Dec 30, 2025, for large companies and June 30, 2026, for micro and small enterprises," he said during the Malaysian Rubber Board's First MSNR-Compliant Rubber Export to EU launching ceremony here today.

Johari pointed out that although EUDR regulations have yet to be enforced, today's ceremony has shown Malaysia's commitment to complying with international sustainability standards through the MSNR.

"This proves the local agricommodity sector's readiness to ensure the (rubber) supply chain complies with global sustainability practices," he said.

Johari said that among the MSNR's objectives is to protect Malaysia's rubber industry to ensure its 15 per cent EU market share, worth an estimated RM3.87 billion.

Also present at the launching ceremony were Plantation and Commodity secretary-general Datuk Yusran Shah Mohd Yusof, Malaysian Rubber Board (MRB) chairman Datuk Zurinah Pawanteh and MRB director-general Datuk Zairossani Mohd Nor.

The MRB launched the MSNR initiative on Oct 7 to ensure Malaysia's rubber industry could comply with international requirements in line with the United Nations 2030 Sustainable Development Goals.

The initiative focuses on five principles -- no deforestation for rubber planting, rubber planting in accordance with the National Land Code, environmental sustainability, social compliance and supply chain traceability.

The MSNR initiative recognises sustainable practices of MRB licence and permit holders through a regulatory and enforcement approach to ensure that the rubber produced can enter the global market as a sustainable and competitive product.

Johari said the Plantation and Commodities Ministry targets reducing rubber imports to RM3 billion from the current RM6 billion within five years, reducing the country's dependency on foreign rubber sources.

The minister said the country's rubber industry currently produces 350,000 tonnes of natural rubber annually.

"As a result, we are forced to import RM6 billion worth of rubber, especially for the apparel and textile industry. We aim to reduce imports to RM5 billion or even by half to RM3 billion," he said.

Meanwhile, Zairossani said the MRB held a briefing session as part of today's event regarding the need to implement MSNR and the board's role in assisting the rubber industry.

"The MRB is aware of the issues faced by the rubber industry. Among the major issues faced by the industry at the international level is the lack of traceability elements for raw materials.

"Nevertheless, the board has a comprehensive traceability system that can propel Malaysia as a global pioneer in the sustainable production of natural rubber and rubber products," he added.

-- BERNAMA