The MSPO certification scheme was adopted nationwide and made mandatory for all smallholders, plantations and mills starting 1^st January 2020. In Malaysia, an independent smallholder is defined as an individual who owned land less than 40.46 hectares in aggregate and they accounted for 17% of the total oil palm planted area. However, the long duration required to obtain MSPO certification for independent smallholders affects their eligibility to supply their fresh fruit bunches (FFB) to certified palm oil mills for export. The study showed that during the certification phase for independent smallholders, the preparation of the stage 2 audit plan and stakeholders’ consultation required the longest time to be completed in 52 days, followed by drafting of the final audit report with 29 days and preparation of stage 1 audit plan with 25 days. Meanwhile, issuance of MSPO certificate required the shortest time to be completed with 1 day. Therefore, it is only proper that Malaysia, as one of the leading palm oil producers, has a comprehensive certification scheme which is locally adaptable and meet the sustainability requirements internationally following the principles of sustainability which the MSPO standard was built upon.
Keywords: Audit, Certification, Factors, Independent smallholders, MSPO, Palm oil