US urged to remove Malaysian palm oil from forced labour list

LOS ANGELES: Malaysia is appealing to the US Labour Department to remove its palm oil from the “List of Goods Produced by Child or Forced Labour”, Plantation Industries and Commodities Datuk Amar Douglas Uggah said.

Among the criteria used by the department to assess child or forced labour was the withholding of passports of foreign workers and payment of low wages, he said.

“The Government has undertaken an independent study, covering 68 plantations nationwide, and it showed that incidences of this nature are negligible. “Thus, it is unfair for the department to list the Malaysian palm oil industry alongside others,” he added.

Uggah said this in his keynote address at the Global Oils and Fats Forum USA 2015, here on Wednesday.

He also said Malaysia had implemented a minimum wage structure since January this year and the government would continue to ensure the welfare of foreign workers in the plantation sector with employers subject to domestic laws and regulations.

“This is one of the criteria in the Malaysian Sustainable Palm Oil certification process,” he added.

The newly implemented MSPO is aimed at ensuring the production of palm oil in a sustainable manner.

On the conclusion of the Trans Pacific Partnership Agreement (TPPA) negotiations, Uggah is optimistic that the palm oil trade with the United States will be further enhanced in the future due to it.

He expressed the hope that American consumers will increase their consumption of palm oil products due to it being nutritious, healthy, competitively priced and responsibly produced.

“The benefits are proven through studies by both independent research institutions abroad and the Malaysia Palm Oil Board (MPOB) in Malaysia.

“The research and development findings by MPOB together with its research partners has gained recognition by the international research fraternity,” Uggah said.

Meanwhile, Lee said palm oil industry players from both the United States and Malaysia are strongly encouraged to explore opportunities within existing and new areas in the palm oil sector in the country.

He said the organisation would offer its best assistance to address specific needs in bringing together new buyers, as well as sellers, and further enhance palm oil trade between the two countries.

“Palm oil has been playing an important role in the US and its import is expected to remain strong going forward.

Last year, the US imported 4.27 million tonnes of oils and fats, of which palm oil supplied 1.19 million tonnes or 28% of the total, he said.

Lee said the Americas region, and particularly the United States, was an important market for Malaysian palm oil. – Bernama