Recognised across
National Frameworks
Recognised across national frameworks supporting sustainable forestry, responsible sourcing, and environmental stewardship.
National Policy
Framework
MTCS is formally recognised across Malaysia's key national policy frameworks, spanning forestry, commodities, and biodiversity. Together, these policies set measurable targets for expanding certification and affirm MTCS as a central instrument in the country's commitment to sustainable forest management.
Malaysian Policy on Forestry 2020
The Malaysia Policy on Forestry 2020 sets out the national framework for the management, conservation, and sustainable use of Malaysia’s forest resources across Peninsular Malaysia, Sabah, and Sarawak. The policy commits Peninsular Malaysia to implementing forest management certification to ensure compliance with international sustainable forest management standards, with MTCS explicitly named as one of the certification schemes through which this commitment is fulfilled.
Dasar Agrikomoditi Negara 2021-2030 (DAKN 2030)
The Malaysia Policy on Forestry 2020 sets out the national framework for the management, conservation, and sustainable use of Malaysia’s forest resources across Peninsular Malaysia, Sabah, and Sarawak. The policy commits Peninsular Malaysia to implementing forest management certification to ensure compliance with international sustainable forest management standards, with MTCS explicitly named as one of the certification schemes through which this commitment is fulfilled.
National Policy on Biological Diversity (NPBD) 2022–2030
The NPBD 2022-2030 sets out Malaysia’s commitment to conserving its biological diversity, promoting sustainable use, and ensuring the fair and equitable sharing of benefits from biological resources.
Under Action 5.2: Enhance Sustainable Forest Management, the NPBD recognises MTCS as a key mechanism for conserving biodiversity, maintaining ecosystem functions, and ensuring forests continue to deliver social, environmental, and economic benefits. A measurable target is set directly: by 2030, 50% of the forestry sector is to be certified under sustainable forest management schemes, with MTCS explicitly cited as one of the primary vehicles for achieving this.
Green
Procurement
Malaysia's green procurement framework directs government bodies and public institutions to prioritise certified sustainable products and services. MTCS certificate holders, as PEFC-endorsed entities, are recognised across these platforms, giving certified companies direct access to Malaysia's growing public and institutional procurement market.
Garis Panduan Perolehan Hijau Kerajaan (GGP) 3.0
The Green Procurement Guidelines (GGP) 3.0 issued by the Malaysian Green Technology and Climate Change Corporation (MGTC) require that paper, wooden furniture, wooden stationery, and printing services procured by government bodies carry recognition or endorsement by MyHijau Mark or PEFC. As a PEFC-endorsed scheme, MTCS certificate holders meet these requirements directly.
MyHijau Directory
MyHijau is Malaysia’s official green recognition scheme, endorsed by the Government of Malaysia and implemented by the Malaysian Green Technology and Climate Change Corporation (MGTC). It brings together certified green products and services that meet local and international environmental standards under a single mark, serving as a reference for both government and private green procurement.
MTCC has been serving as a MyHijau Verification Partner since 2015, with the partnership most recently renewed in 2025. As the verification partner, MTCS/PEFC certificate holders are recognised under the MyHijau Directory, giving certified companies visibility in Malaysia’s official online reference for green purchasing.
Green Building
Construction
Malaysia's green building frameworks recognise MTCS as an accepted certification for timber used in construction projects, providing a clear pathway for developers and contractors to meet sustainability requirements while specifying Malaysian certified timber.
Malaysia Green Building Index (GBI)
The Green Building Index is Malaysia’s recognised green building rating system. Under its Materials and Resources criteria, GBI specifically recognises MTCC under its Sustainable Resources requirement, awarding points where at least 50% of wood-based materials and products used are MTCS/PEFC-certified. This covers structural framing, flooring, sub-flooring, wood doors, and finishes, and applies to both permanently installed and temporarily purchased wood materials for a project.
MyCREST (Malaysian Carbon Reduction and Environmental Sustainability Tool)
Incentives and
Industry Support
Malaysia's green procurement framework directs government bodies and public institutions to prioritise certified sustainable products and services. MTCS certificate holders, as PEFC-endorsed entities, are recognised across these platforms, giving certified companies direct access to Malaysia's growing public and institutional procurement market.
New Industrial Master Plan 2030 (NIMP 2030)
The NIMP 2030, issued by the Ministry of Investment, Trade and Industry, sets Malaysia’s industrial direction to 2030. Under its Wood, Paper and Furniture Industry sectoral plan, MTCS is listed as a key institutional support mechanism, recognised for promoting Sustainable Forest Management and Chain of Custody practices across the timber industry’s value chain.
Bank Negara Malaysia Climate Change and Principle-based Taxonomy
Issued by Bank Negara Malaysia, this taxonomy guides financial institutions in categorising economic activities according to their climate and environmental sustainability. MTCS/PEFC certification is explicitly listed in Appendix 5 as a recognised third-party certification for the forestry sector, enabling banks and financial institutions to use MTCS certification as part of their green finance due diligence assessments.
Income Tax (Deduction for Cost of Obtaining Chain of Custody Certification from Malaysian Timber Certification Council) Rules 2008
Under these rules, companies incorporated and resident in Malaysia that are engaged in the manufacturing of wood-based products are entitled to a full tax deduction on the cost of obtaining Chain of Custody certification from MTCC. The deduction is equivalent to the actual cost incurred and has been in effect from the year of assessment 2007.
Guidelines on Deduction of Expenditure under Paragraphs 34(6)(m) and 34(6)(ma) of the Income Tax Act 1967
Issued by the Inland Revenue Board of Malaysia (LHDN), these guidelines provide for additional tax deductions for companies obtaining quality management system certifications accredited by the Department of Standards Malaysia (JSM). Forest Management Certification is explicitly listed as one of the qualifying programmes. Under Paragraph 34(6)(ma), companies are eligible to claim a double deduction on certification expenditure, covering application fees, annual fees, and assessment fees incurred in obtaining certification.Issued by the Inland Revenue Board of Malaysia (LHDN), these guidelines provide for additional tax deductions for companies obtaining quality management system certifications accredited by the Department of Standards Malaysia (JSM). Forest Management Certification is explicitly listed as one of the qualifying programmes. Under Paragraph 34(6)(ma), companies are eligible to claim a double deduction on certification expenditure, covering application fees, annual fees, and assessment fees incurred in obtaining certification.