Detail

Malaysia

Oilseeds, oils and meals

Palm oil

01/09/2019

Trade

Export policy

Announced that the variable tax rates set under the country\'s export tax regime for palm oil would be lowered as of 1 January 2020. The measure was aimed at stimulating the country’s palm oil exports.

MALAYSIA – export policy (variable palm oil export tax): In a bid to stimulate palm oil shipments, the Government announced the following change in the commodity’s 6-year old export tax regime: from 1 January 2020 onward, whenever the oil’s per tonne benchmark price will fall into the MYR 2 250–2 400 range (USD 541–577), an export duty of 3 percent will apply – as opposed to the current rate of 4.5 percent. In the subsequent tire of MYR 2 401–2 550 (USD 578–614), the rate will increase to 4.5 percent, and then rise at 0.5 percent increments up to a maximum of 8 percent should prices exceed MYR 3 450 (USD 830) per tonne.