Boycott Sinar Mas Products in Europe: 27 Companies Implicated in Indonesia's Cooking Oil Scandal
Photo: Sinar Mas Products (Sinarmas.com)
JAKARTA – Anti-corruption and environmental activists have called on the European Union and other nations to cease using products from Sinar Mas Group, citing allegations of corruption and illegal activities in Indonesia. This was stated by Alamsah SH, MH, from the Global Transparency Caucus (KAGOTRA), emphasizing the need for international pressure to push major corporations toward transparency and accountability.
This call aligns with the progress of an investigation by Indonesia's Commission for the Supervision of Business Competition (KPPU). The cooking oil scandal, involving alleged unfair business practices, has now entered the case-filing stage. KPPU has identified 27 companies, including PT Sinar Mas Agro Resources and Technology Tbk. (SMART), as perpetrators of alleged violations concerning price fixing and distribution restrictions, in breach of Law No. 5 of 1999 on Monopolistic Practices and Unfair Business Competition.
International Pressure
The boycott campaign, now resonating across Europe, aims to pressure Sinar Mas Group and other implicated companies to adopt more transparent and sustainable business practices. Activists argue that this boycott is not just about business ethics but also about environmental responsibility and consumer rights.
List of Companies Implicated
1. PT Asian Agro Agung Jaya
2. PT Batara Elok Semesta Terpadu
3. PT Berlian Eka Sakti Tangguh
4. PT Bina Karya Prima
5. PT Incasi Raya
6. PT Selago Makmur Plantation
7. PT Agro Makmur Raya
8. PT Indokarya Internusa
9. PT Intibenua Perkasatama
10. PT Megasurya Mas
11. PT Mikie Oleo Nabati Industri
12. PT Musim Mas
13. PT Sukajadi Sawit Mekar
14. PT Pacific Medan Industri
15. PT Permata Hijau Palm Oleo
16. PT Permata Hijau Sawit
17. PT Primus Sanus Cooking Oil Industrial (Priscolin)
18. PT Salim Ivomas Pratama Tbk. (SIMP)
19. PT Sinar Mas Agro Resources and Technology Tbk. (SMART)
20. PT Budi Nabati Perkasa
21. PT Tunas Baru Lampung Tbk. (TBLA)
22. PT Multi Nabati Sulawesi
23. PT Multimas Nabati Asahan
24. PT Sinar Alam Permai
25. PT Wilmar Cahaya Indonesia
26. PT Wilmar Nabati Indonesia
27. PT Karyaindah Alam Sejahtera
Related Brands
Some cooking oil brands produced by these companies include:
Bimoli: PT Salim Ivomas Pratama Tbk.
Filma: PT Musim Mas
Tropical: PT Bina Karya Prima
Kunci Mas: PT SMART
Sania: PT Wilmar Nabati Indonesia
Sinar Mas Response.Gianto Widajaja, Vice President Director of PT SMART, stated that this case does not materially impact the company's business. In an official letter to the Indonesia Stock Exchange (IDX), Gianto affirmed that the company complies with all regulations in its operational regions.
However, this response has been deemed insufficient by global activists demanding concrete actions to improve business practices and transparency.
Potential Impact of the Boycott. Should the boycott campaign gain momentum, it could significantly affect the reputation and operations of the implicated companies in global markets, particularly in Europe, where there is heightened scrutiny of unsustainable business practices. This international pressure is expected to drive these companies to adopt more sustainable and ethical practices.
Sources: Compiled from Bisnis.com, activist statements, and various international reports.