US lifts import ban on Malaysian palm oil firm FGV Holdings

The United States has lifted a ban on Malaysian palm oil firm FGV Holdings, after finding that the company had taken sufficient action to address allegations of forced labour.

“The US will no longer detain at ports of entry palm oil and palm oil products produced by FGV and, effective immediately, will allow palm oil and palm oil products produced by FGV provided they are compliant with US laws,” the US Customs and Border Protection agency said in a statement dated Thursday (Jan 15).

In 2020, the agency banned FGV over accusations of forced labour on its plantations. FGV petitioned the agency in July 2024 to modify an order detaining its palm oil and palm oil products as imports suspected of having been made with forced labour.

FGV in a statement said that the lifting of the ban reflects the significant progress it has made in upholding labour standards, addressing gaps, and implementing sustainable reforms across its operations and supply chain.

“This outcome demonstrates that our commitment to responsible and ethical practices enables FGV to meet international standards and maintain access to key markets such as the US,” said FGV Group CEO Fakhrunniam Othman.

He added that the rights, welfare, and voices of its workers remain at the heart of their operations.

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FGV Holdings, one of the world’s biggest palm oil producers, was delisted from the Malaysian bourse in August last year after 12 years as a publicly listed company.

The company was taken over by a state-owned body, the Federal Land Development Authority (Felda), after it had gained more than the 90 per cent of the company’s shares required for a takeover. REUTERS

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