Malaysia

Business as usual for palm oil firms in Sabah Temco zones 

Planters association confirms go-ahead in Tawau, Lahad Datu, Kunak and Semporna

Updated 6 years ago · Published on 03 Oct 2020 9:03AM

Business as usual for palm oil firms in Sabah Temco zones 
MPOA chief executive officer Datuk Mohd Nageeb Abdul Wahab has announced the good news to the relief of palm oil operators. – NORMAN GOH/The Vibes, October 3, 2020

by Rebecca Chong

SANDAKAN – Palm oil companies in four districts in Sabah under targeted enhanced movement control order (Temco) continue to operate despite a massive jump in Covid-19 cases.

East Malaysia Planters Association (Empa) chairman Anthony John Wong confirmed that the local authorities in Tawau, Lahad Datu, Kunak and Semporna have allowed oil palm related operations to continue.

The four districts were announced to be under Temco by Minister of Defence Datuk Seri Ismail Sabri Yaakob on September 28.

Following the announcement, palm oil industry groups, representatives from Empa and Malaysian Palm Oil Association (MPOA) sought the local authorities to clarify on their operation status.

“Good news, we are allowed to operate,” said MPOA chief executive officer Datuk Mohd Nageeb Abdul Wahab.

The palm oil groups were concerned that history would repeat itself as former Sabah Chief Minister Datuk Seri Mohd Shafie Apdal had ordered for all oil palm operations in six districts in the East Coast of Sabah to stop, two days after the MCO was called on March 16.

The districts involved were Tawau, Lahad Datu, Kinabatangan, Kunak, Semporna and Kalabakan.

Shafie made the decision following several Covid-19 cases involving oil palm estate workers, including 11 positive Covid-19 cases in Felda Sahabat estate, Lahad Datu.

Empa, Malaysian Estate Owners Association and MPOA had then pleaded for the operations to be resumed and said the industry could lose about RM860 million of revenue for a month of closure in Sabah.

Sabah contributes to about 25% of palm oil production in Malaysia, and is the largest palm oil-producing state in the country. – The Vibes, October 3, 2020

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