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Indonesia: IFC CAO withdraws from mediation process in PT Asiatic Persada oil palm concession

The International Finance Corporation Compliance Advisor/Ombudsman (IFC CAO) has formally announced its withdrawal from the case of PT Asiatic Persada, following the sale of the concession by Wilmar in April 2013, and the new management’s decision to continue mediation through a government team instead. This is despite the fact that the affected Batin Sembilan communities and complaint signatory NGOs have repeatedly called on the IFC CAO to continue its role as mediator and to encourage the company to pursue this avenue towards conflict resolution.

Indonesia: police shootings in palm oil estates

The controversial palm oil producing company, Sinar Mas, was in the news again as a long standing land dispute on one of its estate escalated into a police shooting in which 5 local community members were seriously injured. The conflict occurred in the province of Jambi on the island of Sumatra when unarmed local community members were attacked without warning by members of one of the mobile police brigades called in by the Sinar Mas-owned subsidiary, PT Kresna Duta Agroindo. The Sinar Mas group is Indonesia's largest palm oil conglomerate and has been blacklisted by some major US and European palm oil processors, owing to reports of repeated violations of social and environmental standards.