Govt acts to protect industry
Ministry committed to defending local players’ and smallholders’ interests, and boosting commodity reputation
ARECENT media article by Plantation Industries and Commodities Minister Datuk Datuk Seri Mah Siew Keong brought the issue of “No Palm Oil” labels to wider attention. The article, “Ethical Labelling: The Way to Go”, highlighted Denmarkbased Arla Foods’ use of “No Palm Oil” labels in Malaysia.
Since the article was published, Arla Foods has taken action to remove from sale in Malaysia all products bearing “No Palm Oil” or “Palm Oil Free” labels as they discriminate against palm oil. All of the company’s products with such labels are expected to be removed from sale within 60 days.
Below are the excerpts of a Question and Answer with the minister. must be respectful of our rules and national interests. Very shortly after my message in the media, the Embassy of Denmark and Arla Foods contacted the ministry to explain that they heard and understood my message. A meeting was arranged at the ministry on October 5 to discuss how Arla Foods would implement the government’s demand to remove the labels.
Yes. Arla Foods is not the only foreign company operating in Malaysia that has issues with palm oil, whether through labelling or other means. The government is clear: this will not be tolerated. Our highest priority is protecting and defending the best interests of the people of Malaysia, including all of those who work in our palm oil sector.
To all those companies operating in Malaysia, I have a simple message: you are welcome here, we want you to operate and sell your products here but you, in turn, must be respectful of our products, our people, and yes, our palm oil.
Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi has also said recently that the government will not be silent on any campaign against palm oil and will give a fitting response to those who harmed the palm oil industry.
The DPM has called on everybody to respond rationally to all negative campaigns against palm oil with facts and figures on the issues of deforestation and destruction of wildlife.
He also pointed out that the industry was facing unprecedented challenges such as anti-palm oil campaigns particularly in the European Union, which systematically sidelined the palm oil industry.
My ministry has been addressing this issue head-on. I met personally with the EU (European) Commissioner and several Members of the European Parliament, in my most recent trip to Europe. MPOC has also been conducting effective campaigns against the “No Palm Oil” labels in Europe. More can and must be done. Many of the companies using the labels are also members of the Roundtable on Sustainable Palm Oil (RSPO). RSPO rules state that the labels are not allowed — these rules must be enforced and RSPO must ensure that none of its member companies use such negative labelling.
Absolutely. MSPO is a gamechanger for the Malaysian palm oil sector. It will allow smallholders to achieve certification, an important and necessary advance for the sector. MSPO is also a message to the world — a mandatory scheme, undertaken by the government and designed using international best practices. MSPO illustrates Malaysia’s commitment to lead the world in palm oil sustainability. Through MSPO, we will ensure that smallholders will also have an equal opportunity to participate in a certification scheme and can gain market access later.
During our meeting on October 5, Arla Foods said it is committed to working with the government on MSPO. The Danish embassy further stated that it supports sustainable palm oil production and will continue constructive dialogues with the Malaysian government to find long-term sustainable solutions of high global standards that benefit consumers, rural farmers, industry and other stakeholders. It’s important that MSPO gains such a wider acceptance as this will be essential to delivering full value to our smallholders.