Proposed tax cut not likely to boost Malaysia’s palm oil exports by much: analysts
Malaysia - the world’s second-largest palm oil producer behind Indonesia - has announced plans to increase its exports, and it is also mooting a proposal to temporarily cut its export tax on the commodity in a bid to boost its global market share.
Observers say, however, that these moves will not have a significant impact on the country’s palm oil industry if the government does not take steps to resolve the sector’s labour shortages.
Malaysia is widely seen as a major beneficiary after Indonesia banned edible palm oil exports with effect from April 28 this year, and Russia’s invasion of Ukraine disrupting sunflower oil shipments to many parts of the world. Palm oil accounts for about 60 per cent of global vegetable oil shipments.
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Asean
Thailand cuts growth outlook but pins hopes on Q4 stimulus boost
Indonesia draws 204.4 trillion rupiah in FDI in Q1, up nearly 16% annually despite political uncertainty
Indonesia to drive the growth of Asean’s green economy: PM Lee
Vietnam’s inflation advances to 15-month high amid FX, gold pressures
Berlin kidnapping charge hangs over rise of Vietnam’s anti-graft enforcer
Thailand picks capital markets veteran as finance chief