The Malaysian government has made a strong commitment to utilizing the huge amount of biomass available for the generation of energy and other high-value products. Due to that reason, we have witnessed a number of favorable policies and actions undertaken by the Malaysia government to promote biomass industry in Malaysia in the last decade.  Together, these are known as the environment energy-food-environment-water (EFEW) Nexus and all of the benefits associated with biomass to meet our requirements for energy and other products along with potential damage of Nexus as a whole.

This paper will examine a various policy that has been introduced by the Malaysian government in order to promote the biomass industry and its potential in Malaysia. The policies such as National Biotechnology Policy, National Green Technology Policy, National Renewable Energy Policy, and Action Plan, Biomass Industry Strategic Action Plan and National Biomass Strategy 2020 will be analyzed by using the SWOT Analysis and AFI Framework in order to understand the relationship and the contribution of all policies. The analysis will assess the objective - to identify challenges and opportunities in establishing biomass value chains in Malaysia; the significance - to support Malaysia's aspiration to capitalize on its rich biomass resources to satisfy a significant part of its demands for energy, chemicals and other materials needed for improving the quality of life of its population, in a sustainable manner; as well as the expected finding - to highlight the enablers and disablers in establishing biomass value chains in Malaysia which can give insights to policy makers in capitalizing the rich biomass resource potential.

This paper also will suggest the priority that every policy should be addressed in the attempt to promote the sustainability of Malaysia's biomass industry as well as to strengthen the competitive advantage of Malaysia position in the global biomass industry.