KUALA LUMPUR – Plantation Industries and Commodities Minister Datuk Zuraida Kamaruddin has discredited the import ban imposed by the United States Customs and Border Protection Department (CBP) on Sime Darby Plantation Bhd (SDP).
Calling the move “rash and unfounded”, she sought to substantiate her stand by pointing out that SDP is in the midst of handing over a comprehensive report to the US.
She added, however, that the ministry appreciates the leeway given by CBP to SDP for the company to produce an audit report disproving allegations of forced labour.
In a statement, Zuraida noted that the ministry has been informed of CBP’s call to reduce the Withhold Release Order (WRO) imposed on SDP to a notice of finding instead.
She explained that products affected by a WRO can still arrive in the US but cannot be processed or traded while the finding notice will see products by SDP being confiscated.
The CBP recently issued a WRO on several local companies and seized oil palm products manufactured by SDP and its subsidiaries. The order was also imposed on YTY Group’s rubber glove products.
“The ministry will also be obtaining further explanation on the matter from relevant agencies in the US so that a solution can be immediately reached.
“For the purpose of ensuring that the nation’s palm oil can be traded freely on a global scale, the ministry will be working closely with Putrajaya and the International Trade and Industry Ministry while also cooperating fully with agencies in the US and other nations,” she said.
Zuraida stressed that the palm oil industry in Malaysia operates under strict standards in accordance with the Sustainable Development Goals established by the United Nations.
“The ministry also works together with the Human Resources Ministry, and the Environment and Water Ministry to ensure that the nation’s palm oil industry abides by both domestic and international laws and practises,” she said.
Yesterday, Human Resources Minister Datuk Seri M. Saravanan had said that he will be holding a meeting soon with companies subjected to the import ban imposed by the CBP, adding that the meeting will be held to discuss immediate action to resolve allegations on forced labour in the country.
Saravanan said the ministry viewed the ban imposed by the CBP on several local companies seriously as it could tarnish Malaysia’s name and had instructed the Manpower Department to carry out an immediate investigation. – The Vibes, January 31, 2022
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