Failure to buy Fresh fruit bunches (FFB) by the Entrepreneur/Occupier of a factory.-

General201326 sections

Statutory text

(1) Where the Entrepreneur / Occupier of a factory fails to buy all the oil palm fresh fruit bunches from the oil palm growers in the factory zone notified in relation to the factory, without any valid reasons, such oil palm Entrepreneur/Occupier of factory shall, in addition to the penalty specified in section 18 be liable to compensate the loss that may have been caused to the Oil Palm Grower as may be determined by the Oil Palm Commissioner: Provided that the Entrepreneur/Occupier of a factory shall assign reasons for such refusal to buy a particular consignment of oil palm Fresh Fruit Bunch from an Oil Palm Grower, before the compensation is determined by the Oil Palm Commissioner. Provided further that reasons such as damage, inefficient running, break down of plant/machinery, failure to use capacities and any other operational problems shall not be valid reasons for refusal to buy the consignment of oil palm Fresh fruit bunches and shall be treated as failure. Provided also that if there is any dispute whether there are valid reasons for the oil palm Entrepreneur/Occupier of factory for the failure to buy oil palm Fresh fruit bunches, the Oil Palm Commissioner shall be competent to decide such dispute.
(2) Any person aggrieved by the Order of Oil Palm Commissioner under sub-section (1) shall prefer an appeal to the Government within a period of thirty days from the date of such order.

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