Hike in Export Duty of Crude Palm Oil (CPO) in Malaysia

Malaysia has raised its tax on crude palm oil (CPO) exports to 5% for April, ending an 11-month period of CPO being shipped out tax-free. Malaysia is the second highest producer of palm oil, after Indonesia and this hike in export duty could create a dent in the exports. It could also drag the benchmark Malaysian prices of this tropical oil, which hit one-month highs amid output uncertainties due to a crop-damaging El Nino. Traders have reacted very pessimistically on this duty hike policy. Big plantations will be rushing to take out CPO from the country and put pressure on domestic figures and supplies and take exports higher before the tax kicks in. The exports are expected to come down after the duty comes into effect.

Read Full News At: http://www.researz.com/hike-export-duty-crude-palm-oil-cpo-malaysia

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s