Senior Minister K Shanmugam of Singapore has issued a stern warning to seven agricultural companies listed on the Singapore Exchange about their potential roles in the transboundary haze crisis. The haze, caused by fires primarily in Indonesia's Borneo and Sumatra regions, has severely impacted air quality in Singapore, Malaysia, and parts of Indonesia. Shares of firms such as Bumitama Agri, First Resources, Golden Agri Resources, and Wilmar International declined in response to the minister’s remarks, amid concerns over their associations with the haze.

Shanmugam emphasized that companies cannot evade accountability by using complex corporate structures, stating that Singapore is prepared to apply all legal and regulatory measures to hold culpable parties responsible. He identified fire or smoke sources linked to some companies, including First Resources, Bumitama Agri, and the unlisted First Borneo Plantations. The minister also noted that public declarations on policies like zero burning are insufficient without tangible proof and greater transparency, signaling increased scrutiny on these corporations.

The haze has disrupted daily life and business activities, with Singapore experiencing hazardous air quality levels not seen since 2015 and schools in Johor Bahru, Malaysia, closing due to unsafe conditions. Shanmugam signaled that Singapore is willing to amend laws swiftly if necessary to ensure compliance and may reevaluate companies’ qualifications for government grants or incentives based on their cooperation in combating the haze. He pointed out that Singapore’s efforts align with Indonesian President Prabowo Subianto’s policies and expressed hope for full Indonesian cooperation in addressing these environmental issues.

Answering questions about the impact of Singapore’s actions on bilateral relations with Indonesia, Shanmugam dismissed worries about diplomatic fallout, asserting that protecting public health takes precedence. He argued that addressing the haze benefits both countries and urged cooperation in tackling the root causes. The minister’s firm stance reflects Singapore’s determination to confront environmental challenges despite potential diplomatic sensitivities.