Supply Chain Research

U.S. customs authorities have issued a Withhold Release Order to restrict imports of palm oil by FGV Holding in response to accusations of forced labor usage. FGV has stated it has “taken several steps to correct the situation”. The use of WROs is increasing with 12 orders issued in 2020, up from seven in 2019 and two in 2018. Most have been applied against China whereas the FGV order relates to Malaysia. Producers in Malaysia represented 32.6% of U.S. imports of palm oil in the 12 months to July 31 and had already seen a decline with a 16.4% year over year slide. Panjiva’s data shows ju...