13/06/2009 (The Star Online), Petaling Jaya - The Malaysian Palm Oil Board (MPOB) has assured importers of palm oil from Malaysia that only the highest quality palm oil is being exported.

Its director-general Datuk Dr Mohd Basri Wahid said the export of palm oil products was in compliance with the trade commercial specification by the Palm Oil Refiners Association (Poram).

He also stressed that refineries practised stringent quality procedures when accepting crude palm oil for processing.

“Strict standard operating procedures practised by the refineries make it impossible for contaminated palm oil to reach the refineries. If there is any such case, the products will be returned to the seller and at the same time referred to MPOB for action,” said Basri in a statement to The Star.

He was commenting on the Starprobe article headlined “Oil pirates” on Monday that had exposed the siphoning of crude palm oil in Malaysia, resulting in losses amounting to billions of ringgit.

The report had quoted Basri as saying that Malaysia’s reputation was at stake due to the possibility of contamination caused by the thieves adding water, used oil and sludge into the tankers after siphoning the oil. Under the MPOB Act, he said the board was empowered to take action on malpractices, including siphoning and adulteration, which led to contamination of palm oil products.

“The offence is not compoundable. A person who commits an offence is liable to a fine not exceeding RM200,000 or an imprisonment for a term not exceeding two years, or both.

“The regulations prescribed under the Act in a way give an assurance on all palm oil products produced and exported out of the country.”

He said the Enforcement and Licensing Division carried out stringent quality surveillance on the export of palm oil at the major ports such as Pasir Gudang, Port Kelang, Kuantan, Sandakan, Bintulu and Butterworth.

“MPOB at all time monitors closely the activity of the independent surveyors and chemists in order to ensure the highest standard of services provided to the palm oil exporters” he said.