Domestic Trade and Consumer Affairs Minister Saifuddin Nasution said the labels include those saying “palm oil-free” or “no palm oil”.

He said the suggestion has been discussed and approved by the Cabinet and the ministry is now engaging stakeholders on the contents of the regulations.

“The action is in line with the government’s support for the palm oil industry,” he told reporters at the Parliament lobby today.

Saifuddin said the products with such labels are mostly imported “which gives a negative connotation” to the palm oil industry.

He said his officers carried out spot checks on 2,609 premises nationwide and found 12 imported products with the negative labels.

The officers told the traders not to sell the products and follow-up checks showed that they had complied with the request, he said.

“But for the future, there is a need for a list of dos and don’ts,” he said, adding that it will be done without having any impact on international trade.

“As a palm oil producing country, we have a right to protect the industry,” Saifuddin said.

Primary Industries Minister Teresa Kok had said that some products like peanut butter do not need negative palm oil labels.

“If there is no palm oil in the product, like peanut butter, than there is no need to put up that label,” she said.

She said most of the products are used as marketing gimmicks for the European market.