KUALA LUMPUR: Malaysian Rubber Export Promotion Council (MREPC) chairman Chik Chan Chee said the government agency is rolling out a new incentive to encourage rubber product producers to undergo more rigorous social audits.
“We take a serious view on social compliance. Only WRP Asia's product is pinpointed by the US Customs and Border Protection while Malaysia's exports of rubber gloves to the US continues, as usual.
“We know it is very costly for rubber products producers to undergo social audit because there are multiple audits for different buyers.
“We hope this incentive would be able to help alleviate the audit cost burden of small and medium enterprises," Chik said in a statement this evening.
When contacted, Malaysian Rubber Glove Manufacturers Association (MARGMA) president Denis Low Jau Foo said, "the US government only blocked importation of gloves from one specific Malaysian company and not all Malaysian rubber gloves.
"We are deeply saddened and regretted that journalistic prudence is not exercised by some publications. At MARGMA, we are ever willing to accommodate to any request to ascertain facts and figures concerning the industry," he said.
"There is not going to be any impact on the medical glove industry except for an initial loss of pride when the whole industry was touted to be banned," he told the New Straits Times in a telephone interview.
"In fact, what WRP Asia will be losing out can easily be regained for the industry when other glove producers step in to fulfill WRP Asia’s obligations," he added.
Established in 1989, MARGMA represents 90 per cent of local glove manufacturers. Malaysia is the world’s top supplier of rubber gloves. All over the world, rubber gloves are used in healthcare, food-handling and other industries.
Among glove-making giants listed on Bursa Malaysia include Top Glove Corp Bhd, Hartalega Holdings Bhd, Supermax Corp Bhd and Kossan Rubber Industries Bhd. They are exporting medical gloves, a healthcare necessity, to over 190 countries.
Low explained MARGMA members take great concern on the welfare of their workers. Since 2018, rubber glove producers have been working on Social Compliance initiatives to continuously improve on employees welfare.
In another statement late evening, Human Resources Minister M Kulasegaran said he plans to meet US embassy officials here to explain that action has been taken against WRP Asia.
Kulasegaran said WRP Asia was taken to court by his ministry in February 2019, and in May the company pleaded guilty and was fined.
“My ministry is committed to educating the public on the adverse effects of forced labour. Malaysia advocates the enhancement of worker rights and has taken various steps accordingly,” he said.
The minister said he wants to meet with all rubber glove makers to explain the repercussions of forced labour in their operations after the US banned WRP Asia’s medical gloves.