SGX RegCo probes agribusiness firms over Indonesia fire links

The SGX Regulation Company has directed listed agribusiness firms to clarify any relationships with companies that have received legal notices under Singapore's Transboundary Haze Pollution Act, according to regulatory filings. The directive represents an effort to enhance transparency around supply chain links that could expose Singapore-listed entities to reputational or operational risks stemming from Indonesian forest and peatland fires.

The regulator's enquiries focus on whether listed companies have commercial ties—including investments, supply agreements, or operational partnerships—with entities implicated in activities contributing to regional haze. Companies have been instructed to disclose the nature and extent of such connections in their regulatory submissions.

Indonesia's dry season fires, which periodically blanket Singapore and the region in smoke, have prompted Singapore authorities to intensify scrutiny of corporate accountability. The legal notices issued under the haze law typically target companies operating in Indonesian territories where fires originate, particularly in plantation and agricultural sectors.

The SGX RegCo's move underscores growing investor and regulatory focus on environmental, social and governance factors affecting listed companies. Agribusiness firms operating across Southeast Asia face mounting pressure to demonstrate responsible practices in fire prevention and land management to avoid triggering enforcement action in their host countries.