World · Singapore Bureau
Palm oil firms blame El Niño, dispute fire responsibility
Singapore-listed palm oil producers First Resources and Bumitama Agri have attributed recent regional fires to El Niño conditions, claiming most hotspots fall outside their operational areas.
LSN Singapore ·

First Resources and Bumitama Agri have pushed back against assertions of responsibility for ongoing fires affecting Southeast Asia, with both companies contending that current hotspots are predominantly located beyond their concessions.
First Resources said in a statement that the concentration of active fire regions coincides with areas where the group does not maintain operations. Similarly, Bumitama Agri noted that several incidents appear to have originated outside zones under its direct management, suggesting external factors and geography are key considerations in the current fire situation.
The two Singapore-listed producers attributed much of the fire activity to El Niño conditions, which have created drier atmospheric patterns across the region. Such weather phenomena typically increase fire risk, particularly in peatland and plantation areas across Indonesia and Malaysia.
The statements come as regional haze concerns mount, with multiple stakeholders scrutinizing the palm oil industry's fire management and land clearing practices. Both companies maintained they adhere to environmental standards and actively monitor their estates, though they emphasised the limitations of controlling fires that originate beyond their boundaries.