KUALA LUMPUR - Sime Darby Plantation Bhd expressed concern today about the possibility of having its exports banned by US customs authorities.
Responding to reports yesterday that identified SDP as the next target of an import ban by US Customs and Border Protection (CBP), the planter said in a statement it had not been given the opportunity to explain the petition filed against it by Hong Kong-based anti-trafficking group Liberty Shared (LS) in April this year.
LS alleged labour abuse on SDP estates after conducting interviews with workers and civil society, and scrutinising public disclosures, audit reports and sustainability initiatives.
Human Resources Minister Datuk Seri M. Saravanan earlier said he was expecting the US to ban imports of another plantation firm after CBP blocked entry of palm oil products from SDP’s Bursa Malaysia peer, FGV Holdings Bhd, over allegations of forced labour.
“Despite our attempts to engage with the CBP, we have not had the opportunity to provide any explanation and neither has (SDP) been provided details of the allegation by LS,” SDP said.
The US is a crucial market for SDP with annual exports valued at about US$5 million (RM20.7 million).
SDP said it had earlier responded to a summary of LS’ petition against the company in a series of public statements and would continue engaging with non-government organisations to hopefully obtain details of the allegations.
At 3.21pm, SDP’s share price was up 0.21% at RM4.80, giving the plantation giant a market capitalisation of RM33.05 billion. – The Vibes, October 1, 2020
