The Malaysian Insight

THE government will meet with US Customs and Border Protection (CBP) officials to discuss charges of forced labour levelled against Malaysian palm oil giant Sime Darby Plantation, Parliament was told today.

Plantation Industries and Commodities Minister Zuraida Kamaruddin said she will be leading the group heading to the US.

A meeting scheduled for January was cancelled due to Covid-19, she told Dewan Rakyat today.

“I’m going to the US Embassy tomorrow and I’ll ask for another date to face the CBP,” she said in a reply to R. Sivarasa (Sungai Buloh-PH).

In December 2020, CBP issued a withhold release order for palm oil and products containing palm oil produced by the company after finding its production process to have “all 11 of the International Labour Organisation’s forced labour indicators”.

The CBP stated that its staff at all US ports of entry will hold palm oil and any items containing palm oil manufactured by Sime Darby and connected businesses in Malaysia.

Oil palm plantation company FGV Holdings Bhd and glove manufacturer Top Glove are also among the Malaysian firms that have been accused of exploiting their workers by the CBP.

Companies subject to a withhold release order may either reroute their shipments and sell their products elsewhere or try to persuade the CBP to change its mind by providing proof the goods were not manufactured in slave-like conditions.

Zuraida said the charges of forced labour against Sime Darby Plantations were linked to parolees recruited through a Human Resources Ministry programme.

She expressed her dissatisfaction with the sanctions, which she said stemmed from “random allegations” by civil society groups and activists.

“These are the primary points on which I will disagree. A competent verification method is required.

“Now all they do is accuse and punish, which isn’t right.

“There must be verification that is communicated to the company so that we can make the required modifications,” she added.

Last month, the CBP expressed interest in talking to Sime Darby Plantation to resolve the issue. – March 16, 2022.