Team in place to investigate Palm Oil in East New Britain

The local farmers of East New Britain have blamed East New Britain Palm Oil Limited [ENBPOL] for low prices for fresh fruit bunches [FFB] for nearly a decade, paying K10 per metric ton from 2014 to 2022 and K15 from 2023 to 2024.

The Farmers claim these rates are 500-600% below fair market prices.

The National Executive Council received the petitions from the landowners and farmers and approved for an investigation to go ahead with a funding support of K2 million.

An investigation team, led by Chairman David Mather, will visit Kokopo next week to investigate allegations of unfair business practices of ENBPOL, which aims to address complaints from local oil palm growers in the Gazelle Peninsula, East New Britain Province.

The investigation team includes PNG Customs Chief Commissioner David Towe, chartered accountant and economist Daniel Koiam, lawyers Tony Waisi and Andy Ambulu, and Secretary Michelle Auamoromoro, who will conduct interviews with farmers, government officials, and stakeholders from November 24th to the 30th.

International Trade and Investment Minister Richard Maru has this week met with the team and discussed their terms of reference.

Minister Maru said this investigation marks a historic moment for Papua New Guinea.

“We need to uncover the truth about farmer exploitation and implement reforms to protect their livelihoods. The findings will guide changes in the oil palm industry to prevent similar issues in the future,” Mr Maru said.

He emphasized that the investigation is to secure better outcomes for the country’s 15,000 oil palm farmers, ensuring fair pricing and equitable development.

The final report is expected to have a significant impact on policy and industry reforms.