Govt must consult
The National, Wednesday February 24th, 2016
By GYNNIE KERO
THE Government must consult agriculture-based companies on any new legislation which will affect the industry, company operations and any future investments, a company manager says.
New Britain Palm Oil Limited Group country manager Robert Nilkare said other companies involved in sectors such as coffee, cocoa, copra and livestock should also be asked for their input on any new Government legislations.
He was responding to the Agriculture Minister’s announcement to introduce the Agriculture Investment Cooperation Act and Agriculture Administration Adjustment Act.
He said the business landscape, especially in the renewable sector, “is tough enough as it is”.
“Business should be allowed to compete on a level playing field in competitive overseas markets without being handicapped by unnecessary and inefficient domestic bureaucratic red tape, regulation and cost,” he said.
“It should be noted that all – and I repeat all – of our operations are appropriately covered by necessary regulatory provisions covering many jurisdictions. Layering more regulatory legislation on top of this is unnecessary bureaucratisation, which is exactly what Prime Minister Peter O’Neill says shouldn’t be happening.
“We (NBPOL) are the largest and most successful business in the agriculture sector of PNG. But we feel sorry for others that operate on a less strong footing, like cocoa and coffee, and even some other palm oil companies, that would have to somehow deal with the proposed legislation.”
Nilkare said given the recent tough economic times, the Group was still able to pay roughly K20 million per fortnight into the cash flow of the local economies where it operated.
“This is through local payment of wages and salaries, small-holder crop, landowner royalties and rentals, local goods and services,” he said.
“The economic multiplier-effect is enormous. NBPOL is the largest private-sector employer in the country employing about 24,000 people, and less than a 100 of which are expatriates.
“In a rural setting, this of course means providing for 24,000 families and all their needs such as housing, education, health, power and many other things.”
He said the NBPOL Group produced about 54 per cent of PNG’s total agricultural exports.
However he said the company is not just about palm oil and other oil palm related products. “NBPOL is also the country’s largest beef producer, the only sugar producer and only ethanol producer,” he said.
“The company is also a significant generator of renewable energy from conversion of biomass and also methane capture.
“We have significant long term growth and investment plans for our operations in PNG, the options are very exciting, but this will require close collaboration and support from Government.”