KUALA LUMPUR, Feb 11 ― Sime Darby Plantation Bhd (SDP) said there has been no systemic issues in its operations based on the company's recent internal assessments conducted in its entire operations in Malaysia, quashing the forced labour allegations in its production process.

In a statement today, SDP said it remained committed to addressing the withhold release order (WRO) issued by the United States (US) Customs and Border Protection (CBP).

"Our findings do not reveal any systemic issues in our operations.

"We will be also be engaging independent assessors to ensure that we leave no stone unturned in our quest to secure a completely safe and nurturing environment for all our workers, regardless of gender or nationality,” it said.

Meanwhile, SDP has maintained regular engagements with all the customers to ensure they were updated and appraised of all developments.

The company was responding to a recent news report titled ‘Buyers shun major Malaysian palm oil producers after forced labour allegations’ which stated that major palm oil buyers were seeking to block FGV Holdings Bhd and SDP from their global supply chain after the US banned imports from both local producers.

SDP further clarified that its major customers have expressed support and working closely to better understand the substance of the allegations that have been made against the plantation group.

"Many of our customers have committed to sustainable sourcing and thus truly appreciate and understand our efforts to ensure our operations are managed well, sustainably, and responsibly,” it added.

To recap, the CBP said effective Dec 30, 2020, it would detain palm oil and products containing palm oil produced by SDP and its subsidiaries, joint-ventures, and affiliated entities in Malaysia, at all US ports of entry.

According to the CBP, the WRO issued against the company’s palm oil was based on information that "reasonably indicates” the presence of all 11 of the International Labour Organisation’s forced labour indicators in SDP’s production process. ― Bernama