In the first part of my commentary last month, I
highlighted two factors that bind ESG (environmental, social, and
governance) and human rights concepts. This month, I will elaborate
on why Malaysian businesses will lose out if they do not embrace
the ESG-business and human rights (BHR) standards that are being
driven by countries that we export to.
Slowly but surely, increased regulatory standards for due
diligence, transparency in supply chains and ESG-BHR reporting will
hit the operations of Malaysian companies doing business overseas.
There has been a raft of foreign laws, treaties, and mechanisms
driving the ESG-BHR agenda already.
It is public knowledge that several Malaysian companies have
suffered from import bans, and whether rightly or wrongly,
Malaysia's reputation has been bruised and battered. Our record
on the issue of forced labour is quite appalling in the eyes of the
global community. The bans have also disrupted the operations of
our companies
