Felda Urges Tax-Free Palm Oil to Combat Reserves: Southeast Asia

Felda Global Ventures Holdings Bhd. said that palm oil shipments from Malaysia, the largest producer after Indonesia, should be allowed duty-free for some companies until midyear to help reduce near-record stockpiles.

There’s a risk reserves will be carried into the second half unless they are cleared, Sabri Ahmad, chief executive officer of the third-largest operator of palm plantations, said in an interview. Government programs, such as increased blending of palm in biodiesel, known as B10, should be speeded up, Sabri said yesterday. Exports in March are set to be taxed at 4.5 percent after two months of duty-free shipments.