Driving Corporate Accountability and Progressive Implementation Towards a Better Welfare and Sustainable Malaysia**

The Malaysia Cage-Free Egg Producer’s Organisation (MCFEPO), has introduced the Yellow and Red Card Indicative System as a proactive transparency and accountability framework to guide companies toward measurable progress in implementing cage-free commitments. This initiative forms part of MCFEPO’s broader mission to align Malaysia’s food sector with global standards of animal welfare, sustainability, and Environmental, Social, and Governance (ESG) practices, while positioning the nation as a regional leader in better welfare and responsible food production focuses of cage free and free range egg production.

This system is not punitive, it is developmental. It aims to move companies through a structured journey from awareness to commitment, and from commitment to measurable action. By identifying and supporting companies at different stages of progress, MCFEPO are working to ensure that Malaysia’s cage-free transition is both inclusive and impactful, reflecting the principles of the Madani Economy and the Malaysia Food Policy Way Forward.

*Yellow Card Category: Commitment Without Progress*

The Yellow Card identifies companies that have made public commitments to source or transition to cage-free eggs but have yet to begin meaningful implementation or demonstrate measurable progress. These companies may have issued corporate pledges or public sustainability statements but have not developed clear timelines, supply chain strategies, or reporting mechanisms to track advancement. The Yellow Card is not a penalty; it is an encouragement , an indicator that progress is overdue and that the company should now move from planning to practice.

MCFEPO will work closely with Yellow Card companies through a supportive engagement model. The joint effort includes technical guidance on procurement planning, corporate roundtable discussions to identify sourcing solutions, and connections to certified cage-free/ free range and liquid egg producers within the MCFEPO. Companies are assisted in designing measurable roadmaps that specify sourcing milestones, supplier engagement, and timelines for progressive transition. This approach ensures that companies with genuine commitments receive the necessary tools, knowledge, and partnerships to begin implementing their cage-free journey.

MCFEPO plays a particularly strategic role here by linking producers and corporate buyers. Through structured dialogues and matchmaking efforts, MCFEPO enables companies to start direct procurement from certified humane producers. This ensures that the transition moves beyond policy statements into tangible sourcing actions. By facilitating these partnerships, may. helps corporates move towards fulfilling their public commitments, thereby preventing them from being listed under Yellow Card status for prolonged periods. The ultimate goal is to support companies in achieving “Green Card” recognition signifying transparent reporting and active cage-free implementation.

*Red Card Category: No Policy, No Commitment, No Progress*

The Red Card applies to companies that use eggs or egg-based ingredients in their products but lack any form of animal welfare policy, cage-free commitment, or progress reporting. Many such companies are major food manufacturers, hospitality groups, and public-listed corporations on Bursa Malaysia that actively produce ESG reports but fail to address animal welfare or sourcing transparency within them. The Red Card signals a significant gap between ESG rhetoric and ethical sourcing reality. It highlights the need for immediate action to adopt baseline animal welfare policies that align with global corporate responsibility expectations.

However, rather than serve as a label of failure, the Red Card serves as an invitation to transformation. MCFEPO reach out to these companies to initiate structured engagement aimed at policy creation, implementation planning, and measurable progress. MCFEPO adopts a soft-diplomacy approach, engaging companies privately and constructively to avoid public exposure while offering technical and strategic assistance to move them toward compliance. This includes one-on-one consultations, confidential advisory sessions, and access to best-practice models from global leaders in humane sourcing.

For Red Card companies, the first crucial step is drafting a Corporate Cage-Free Policy. This document represents a public declaration of intent to transition towards 100% cage-free sourcing within a specified timeline. With support from MCFEPO, companies receive technical templates and policy frameworks that include a clear commitment statement, defined scope of application, measurable implementation milestones, supplier welfare criteria, and annual reporting mechanisms. The aim is to ensure that every Red Card company can formalize its ethical sourcing intentions into a credible corporate document that aligns with international expectations and Malaysian sustainability goals.

Once a policy is in place, companies are guided to develop a Progressive Implementation Framework (PIF). This is a structured, time-bound plan that outlines how the company will move from commitment to measurable progress. The framework includes a baseline assessment of current sourcing practices, a timeline for introducing cage-free procurement, integration of welfare standards into vendor selection systems, and the initiation of pilot projects with certified local producers. MCFEPO actively facilitates corporate producer linkages by connecting companies to certified producers such as TC Poultry, Liang Kee, NN Agriculture, Huat Lai and Keris Aryan enabling them to begin small-scale sourcing and expand gradually as supply stabilizes.

Throughout this journey, MCFEPO provides technical monitoring and policy support through its Implementation Dashboard and assists with capacity-building, ESG integration, and recognition opportunities. As companies demonstrate genuine progress, they are moved from Red Card (no policy) to Green Card (commitment established and implementation achieved). This pathway ensures that all companies, regardless of their starting point, are given structured opportunities to evolve into responsible, humane, and transparent organizations.

The MCFEPO Yellow and Red Card Indicative System represents a landmark initiative for Malaysia’s transition toward sustainable and ethical food systems. It balances accountability with guidance, ensuring that companies are not shamed but supported into progress. By combining transparent assessment with strategic engagement, the system creates a pathway for every corporate actor whether committed or yet to commit to move toward compliance and leadership.

Through this initiative, MCFEPO reaffirm their shared mission to build a progressive, welfare-conscious Malaysia where businesses uphold integrity, consumers are empowered with ethical choices, and producers are recognized for humane and sustainable practices. The collaborative framework ensures that Malaysia’s growth is guided not only by economic advancement but also by compassion, responsibility, and respect for all living beings cementing the nation’s place as a regional exemplar in ethical and sustainable food production.