Friday 29 Mar 2024
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KUALA LUMPUR (Oct 1): Plantation stocks dropped among Bursa Malaysia's top losers in the morning trading session today after it was reported that the US had banned imports of palm oil from FGV Holdings Bhd amid investigations into forced labour claims.

As at the time of writing, shares in the plantation sector had fallen 0.28% or 19.56 points to 7,030.67. 

Among the top losers were Kuala Lumpur Kepong Bhd (KLK), which fell 1.23% or 28 sen to RM22.52, and Genting Plantations Bhd, which was down 1.62% or 16 sen to RM9.74. 

Meanwhile, shares in FGV fell 6.96% or eight sen to RM1.07, bringing its market capitalisation to RM3.9 billion. It saw some 13.91 million shares change hands. 

According to Reuters, the US Customs and Border Protection (CBP) agency said that the US had banned imports of palm oil from FGV following investigations into allegations that it uses forced labour.

In response, FGV issued a statement today, saying the issues raised by the CBP had been the subject of public discourse since 2015 and it had taken several steps to correct the situation.

“FGV is disappointed that such a decision has been made when FGV has been taking concrete steps over the past several years in demonstrating its commitments to respecting human rights and upholding labour standards,” it said.

Edited ByLam Jian Wyn
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