New Straits Times (01/04/2020) - KUALA LUMPUR: Sime Darby Plantation Bhd (SDP) says the containment of palm oil plantations in Sabah needs to be balanced with considerations so that it will not jeopardise the sector.

Palm oil is one of the industries recognised by the National Security Council (NSC) as essential to avoid potentially adverse and severe implications arising from the decision.

On March 31, Sabah state government announced that it was closing palm oil operations in three additional districts in the state.

The decision expanded the shutdown of palm oil operations to a total of six districts in Sabah which account for 75 per cent of the state's crude palm oil (CPO) production.

“We fully appreciate and understand that the control over the spread of the Covid-19 pandemic is being regarded as the top priority of the state government.

“We are hopeful that the State Government of Sabah will take Malaysian Palm Oil Association’s (MPOA) concerns into account and reconsider its decision.”

SDP said this was in line with the NSC move to allow palm oil companies to continue limited parts of their operations deemed essential by strictly adhering to the conditions and operational guidelines.

In relation to this, SDP said it had worked with the authorities and made adjustments to the operations at its estates and mills to be in compliance with the conditions and guidelines.

“We believe the same has been implemented by other responsible palm oil companies to ensure that the essential parts of their operations will continue to remain productive during this difficult period for the country, while ensuring risks to the safety and health of all workers are effectively mitigated,” it added.