malay02

Malaysia expects higher demand for CPO as India raises tax

  • Sep 06, 2019

PETALING JAYA: Malaysia expects higher demand for crude palm oil from India, as the country has increased the import tax on refined palm oil from Malaysia.

India, the world’s biggest importer of vegetable oil, said in a government statement on Wednesday that it raised the tax on Malaysian refined palm oil from 45% to 50% until March 2,2020, to curb imports and boost local refining.

The country had imposed a 40% import tax on crude palm oil (CPO) and 50% on refined palm oil, but under an agreement with Malaysia, since January this year, shipments of refined palm oil from Malaysia had been taxed at 45%.

Malaysian Palm Oil Council chief executive officer Datuk Kalyana Sundram said India had imported substantial quantities of Malaysia’s refined palm oil in the last few months due to the lower tax – in the first half of 2019, the imports jumped 727% from the same period a year before. — Bernama

Source: https://www.thestar.com.my/business/business-news/2019/09/06/malaysia-expects-higher-demand-for-cpo-as-india-raises-tax#HFbygjl9XUtJ7SMR.99