Malaysia, the world’s second largest palm oil producer, on Wednesday kept its crude palm oil (CPO) export duty at 8 percent.
According to a circular on the Malaysian Palm Oil Board website, the July CPO reference price stood at 3,604.73 ringgit (775.46 U.S. dollars), down from the June reference price of 4,144.31 ringgit.
Based on the tax structure, no export duty will be imposed on any CPO price below 2,250 ringgit per tonne.
An export tax of 3 percent will be imposed when the CPO price ranges between 2,250 ringgit and 2,400 ringgit per tonne.
The maximum tax rate is 8 percent when the CPO prices are above 3,450 ringgit per tonne. (1 ringgit equals 0.22 U.S. dollar)