MSPO recognises land use rights and NCR: Minister

KUALA LUMPUR (July 23): Primary Industries Minister Teresa Kok has responded to allegations by environmental group Sahabat Alam Malaysia (SAM) that native customary rights (NCR) land are being violated in the palm oil industry.

In a statement yesterday, Kok reiterated that it is mandatory for companies registered under the Malaysian Sustainable Palm Oil (MSPO) to recognise land use rights and NCR.

In addition, she said all entities seeking MSPO certification will have in place an appropriate conflict and dispute resolution process accepted by all stakeholders.

She added if there are, or have been, disputes, documented proof of legal acquisition of land titles and fair compensation that have been or are being made to previous owners and occupants will be made available.

Kok said the documented proof of legal acquisition of land titles and fair compensation should be accepted with free prior informed consent. “The regulations are applicable in Sabah and Sarawak, just as it is in Peninsular Malaysia,” she said.

Kok also said the MSPO is a national sustainable scheme for the palm oil sector developed after factoring in Malaysia’s demographics and socio-economic situation.

She pointed out that under the Principle 3 Compliance with legal requirements, potential certificate applicants are required to prove their land use rights and oil palm cultivation activities do not diminish other users’ land use rights.

Applicants must also provide documents showing legal ownership or leases, the history of land tenures and the actual use of the land, Kok said. “NCR components are prominently present in the MSPO Standard as one of the criteria in Principle 3 as well.”

Kok said this criterion requires potential certificate applicants to recognise and demonstrate efforts towards a fair resolution of any NCR claims.

For parcels encumbered by customary rights, Kok said the company should demonstrate these rights are understood and not being threatened nor reduced.

“Maps of an appropriate scale showing the extent of recognised customary rights shall be made available; and the negotiation and FPIC (free, prior and informed consent) shall be recorded and copies of negotiated agreements should be made available.

“I hope this clarifies to all parties that through the MSPO, we are striving to produce sustainable palm oil and this covers land rights as well.”

SAM, in a statement at the weekend, said Kok must learn the difference between smallholders’ situation in Peninsular Malaysia and that in Sarawak, as there can be no sustainable palm oil industry if the NCR remain encroached by big plantation companies.

This article first appeared in The Edge Financial Daily, on July 23, 2019.

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