CIMB Research viewed the developments as “negative” for upstream plantation companies with exposure in Indonesia.
PETALING JAYA: Regulatory pressure in Indonesia’s plantation sector is set to intensify, raising concerns for Malaysian companies with exposure in the republic following recent government moves to seize and transfer land operated without forestry permits.
According to CIMB Research, a decree of Indonesia Forestry Minister had named 436 oil palm firms which are operating illegally in forest areas.
