Despite boycott from Indian Traders, Malaysian PM stands by his comment on Kashmir

By TIN Media | Current News Published 4 years ago on 1 November 2019
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KUALA:

Recently, Indian traders called for an unprecedented boycott of Malaysian palm oil due to the recent criticism of Malaysian Prime Minister Mahathir Mohamad on New Delhi's actions in disputed Kashmir.

According to the newest record, Dr. Mahathir described the situation to be a trade war between the world's second-biggest producer and exporter of the commodity and its biggest buyer so far this year.

Off late India's top vegetable oil trade body asked its members to stop buying Malaysian palm oil after Dr. Mahathir said at the UN General Assembly last month that India had "invaded and occupied" Kashmir, a disputed Muslim-majority region also claimed by Pakistan. India is the world's biggest importer of edible oils, also buys palm oil from Indonesia. Soya oil and Sunflower Oil from Argentina, Brazil, and Ukraine respectively.

On August 5, Indian Prime Minister Narendra Modi's government removed the long-standing autonomy of India's portion of the Kashmir valley calling it an internal matter and criticizing countries that have spoken out against the move. The UN Security Council adopted several resolutions in the 1948-1950s on the internal dispute between India and Pakistan over Kashmir.

Dr. Mahathir told reporters outside Parliament "We speak our minds, and we don't retract or change. What we are saying is we should all abide by resolutions of the (United Nations). Otherwise, what is the use of the UN?". Malaysia would study the impact of the boycott called by the Mumbai-based Solvent Extractors' Association of India, and look at ways to address the issue.

Dr. Mahathir added, “This is not the Indian government, so we have to find out how we can communicate with these people because trade is a two-way thing and it is bad to have what amounts to a trade war,".

Malaysia's exports to India were worth US$10.8 billion (S$14.7 billion) in the fiscal year that ended on March 31, while imports totaled US$6.4 billion, according to Indian government data. Malaysia is considering raising imports of raw sugar and buffalo meat from India, in a bid to ease the trade tensions persisting in both the countries.


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