Malaysia plans to raise its export tax for crude palm oil for January 2020, for the first time in one-and-a-half years. (Photo: Thestar.com.my) Hanoi (VNA) – The Malaysian Palm Oil Board said on its website on December 13 that the country plans to raise its export tax for crude palm oil for January 2020, for the first time in one-and-a-half years.
The world’s second-largest producer and exporter of palm oil had last imposed an export tax of 4.5 percent in August 2018 before lowering it to zero. It then placed a tax-free exemption on crude palm oil from May to December 2019 to boost palm oil exports and expand into new markets.
Malaysia calculated a palm oil reference price of 2,571.16 ringgit (616.59 USD) per tonne for January next year.
A Kuala Lumpur-based trader said Malaysia will export more refined products as crude palm oil will now have 5 percent tax.
Malaysian benchmark palm oil futures were up 1 percent at 2,913 ringgit per tonne in early trade on December 13.
Traders also predicted that Indonesia may follow Malaysia’s footsteps to impose a similar tax on export of this product./.
VNA
