KUALA LUMPUR – Former Primary Industries Minister Teresa Kok called on US authorities to lift the ban on FGV Holdings' products, urging them to send a dedicated team to investigate the latter's alleged forced labour practices.
The Seputeh MP said it was "most unreasonable" that the United States Customs and Border Protection (CBP) issued a withhold release order (WRO) against FGV based on a complaint lodged by an NGO against one of its contractors in 2015.
"Since then, FGV has actively taken various concrete steps to address the complaint(s). FGV has become one of the leading Malaysian public listed agribusiness companies," Teresa said in a statement.
"It has since, duly implemented and continues to vigorously observe best labour practices, in accordance with international standards."
She said it was "astonishing" that the US CBP made the ban based on an "old issue" as FGV has taken remedial steps to address the complaints, which were well documented and available for inspection in the public domain.
She added, FGV has also been continuously implementing long-term, comprehensive action plans in adherence to the Fair Labour Association (FLA).
"The process comprises a number of initiatives to further strengthen various aspects of its labour practices such the recruitment process and working and living conditions," she said.
Additionally, Teresa noted FGV's adoption of the Supplier Code of Conduct (SCOC), outlining the standards relating to sustainability, safety, health and environment.
"Palm oil is a very important industry for Malaysia. It is the country’s third major export, and more than half a million smallholders in Malaysia are dependent on it for a living," she said.
Terese added, by sending the investigative team, the US CBP would not be seen as practising double-standards and victimising companies in third world countries.
The ban imposed on September 30 includes FGV Holdings, and its subsidiaries and joint ventures after allegations surfaced over the company’s use of forced labour in the production process.
The CBP, in a year long investigation, found abuse of vulnerable workers, deception, physical and sexual violence, intimidation and threats, and retention of identity documents.
There were also concerns over potential use of child labour.
“The use of forced labour in the production of such a ubiquitous product allows companies to profit from the abuse of vulnerable workers,” said Brenda Smith, executive assistant commissioner of CBP’s trade office. – The Vibes, October 6, 2020
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