Following the nationalistic protest over Malaysia’s comment on Kashmir, a trade body from India boycott palm oil products from Malaysia.
The Solvent Extractors’ Association of India (SEAI) takes a drastic measure to convey Indians’ outrage and dismay upon Malaysian PM Mahathir’s comment on Kashmir at the UN assembly. In particular, the attempt is to display that such unfavorable statement might backfire.
Accordingly, India is the third biggest consumer of palm oil products from Malaysia. In 2018, the exports were worth USD 1.63 billion, contributing 2.8% to Malaysia’s GDP last year and 4.5% to its total exports.
“The recent developments pertaining to strained relations between our nation and Malaysia has put a lot of responsibility on our industry in view of huge imports of palm oil from that country. In your own interest as well as a mark of solidarity with our nation. We should avoid purchases from Malaysia for the time being. We trust you would heed our advice,” said Atul Chaturvedi, president of the SEAI.
“Our government has not taken kindly to the unprovoked pronouncements by the Malaysian prime minister and is contemplating some retaliatory action,” he added.
Also Read: PM Mahathir Warns of Possible Trade Sanctions on Malaysia
PM Mahathir Stands by His Remark
Regarding the recent update, PM Mahathir does not plan to retract or revise his statement. Furthermore, he prefers to further examine the case as the Indian government has not issued any official statement.
“We have to study the fact for the boycott. What is important is their government has not said anything, so we will see what their government policy is going to be like,” he said.
In his defense, Mahathir believes that it is acceptable to criticize the situation. In addition, the 94-year-old PM is firmly resolute with his acts to speak up.
“Sometimes we have to have a strained relationship, but we want to be friendly with people. Malaysia is a trading nation, we need markets, so we are nice to people. But also we have to speak up for people, so sometimes what we say is liked by some, but disliked by some,” he added.
For the time being, Malaysia does not plan to inquire for WTO’s assistance in the possible trade sanctions. In contrast, Malaysia was reportedly considering to import more raw sugar and buffalo meat from India. The country attempts to ease the escalating tensions.
Also Read: Indonesia Palm Oil, From WTO Complaint to Deal with Netherlands
