18-05-2025
PNG landowner groups shut down Oil Palm Mill in East New Britain
The closure on came six weeks after East New Britain Palm Oil Ltd, which owns the mill, failed to meet eight recommendations from the National Government.
Photo:
AFP
Landowner groups in East New Britain in Papua New Guinea have shut down the Liguria Oil Palm Mill.
NBC
reported that the closure on 12 May came six weeks after East New Britain Palm Oil Ltd, which owns the mill, failed to meet eight recommendations from the National Government.
This followed concerns from oil palm farmers alleging exploitation and price-fixing.
Pomio Oil Palm Growers Association chair Mata Akun said the mill will remain shut until the growers get a favorable response from the company.
Trade and Investment Minister Richard Maru told the East New Britain Resource Group, which owns East New Britain Palm Oil, the government would take them to court if they failed to comply with the recommendations.
The recommendations call for the repayment of about US$9 million in money owed to the landowners and oil palm growers, and for the establishment of a new market price formula that benefits the growers.
At least one other mill owned by the company - the Narragit Oil Palm Mill on the Gazelle Peninsula - is also expected to face temporary closure.