10% export tax on Malaysian CPO retained for April

19-Mar-2025 12:25 PM

Malaysia Retains 10% Export Tax on Crude Palm Oil (CPO) for April

Key Takeaways:

• 10% Export Tax Continued: The Malaysian Palm Oil Board (MPOB) has confirmed that the 10% export tax on crude palm oil (CPO) will remain for April, similar to March.
• Reference Price Increase:
  • April's CPO reference price: 4,547.79 ringgit/tonne
  • March's CPO reference price: 4,390.37 ringgit/tonne
• Tax Structure:
  • Export tax starts at 3% for CPO prices between 2,250 - 2,400 ringgit/tonne.
  • The maximum tax rate (10%) applies when prices exceed 4,050 ringgit/tonne.
  • CPO prices have consistently remained above this threshold, keeping the highest tax rate in effect.
• Impact on Malaysian Palm Oil Exports:
  • Higher tax and elevated CPO prices are slowing exports.
  • Production is in an off-season phase, reducing available palm oil stocks.