CPO export tax brings cheer to palm oil refiners

IOI Corp’s oil palm refinery in Pasir Gudang. The refinery stands to benefit from the resumption of the CPO export tax.

THE re-imposition of Malaysia’s export tax on crude palm oil (CPO) at 4.5% this month after its suspension since September last year, is seen as a mixed blessing by local palm oil industry players.

Palm oil refiners, whose margins are mostly affected by the zero duty on CPO exports imposed seven months ago have plenty to cheer about by this latest turn of event.