Malaysia to Reduce Tax on Palm-Oil Exports; Futures Decline
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Malaysia, the world’s second-biggest palm-oil producer, will reduce the export duty on the crude variety and abolish a duty-free shipment quota from Jan. 1, according to the government. Futures dropped.
The cut will allow the industry to compete with other exporting countries, the Ministry of Plantation Industries and Commodities said in a statement today. The new rates will range from 4.5 percent to 8.5 percent, rising as prices climb from 2,250 ringgit ($736) a metric ton to 3,600 ringgit, Minister Bernard Dompok said. The existing rate is 23 percent.