SUNGKAI: FGV Holdings Bhd
will leverage its existing customer base to export crude palm kernel oil (CPKO) products to Europe by the end of this year.
Group chief sustainability officer Nurul Hasanah Ahamed Hassain Malim said this is the first time the company is attempting to market its CPKO products indirectly to Europe.
She said FGV has been collaborating closely with its customers to ensure that all necessary documentation aligns with the standards set by the European Union Deforestation Regulation (EUDR), as part of its efforts to enter the European market.
Nurul Hasanah stated that the buyer plans to export its end product, which contains CPKO purchased from FGV, to Europe in November or December.
"The CPKO brought by our buyer will be processed into another product which they will export to Europe. Thus, it is not directly exported by FGV,” she told reporters on the sidelines of the media familiarisation programme, called "A Journey Through Sustainability with FGV”, here, recently.
Nurul Hasanah highlighted that even though the EU has not yet imposed the EUDR, FGV has gathered an independent party to do the verification based on the requirements that comply with EUDR standards.
"So, in terms of documentation, FGV and the buyer will work closely to get all the documentation aligned with EUDR prohibitions.
"It also involves a law council to ensure we read the law correctly and we understand what is required,” she explained.
Nurul Hasanah stated that it has not been confirmed whether the documentation complies with EU standards as the EUDR has not been enforced.
In August this year, the company achieved its first production of CPKO which meets EUDR standards.
She also said that the company is hopeful that the import ban imposed by the United States Customs and Border Protection (CBP) on FGV will be lifted soon.
With the change in the United States presidency, Nurul Hasanah expressed hope that CBP executives will maintain neutrality in their decision-making.
"Our petition was submitted in June 2024, and since then, we have been in ongoing discussions with CBP as they review it, responding to their questions.
"If you ask about a timeline, I cannot provide one as CBP continues to come back with further questions, and we are still supplementing information as of today,” she said.
On Sept 30, 2020, CBP issued a Withhold Release Order (WRO) against palm oil and palm oil products made by FGV based on information that reasonably indicates the use of forced labour. - Bernama
