KUALA LUMPUR (Feb 18): The government has increased the cess it collects on palm products comprising crude palm oil (CPO) and palm kernel oil (PKO) produced in Malaysia to RM16 per tonne from RM14.
The Federal Government Gazette published by the Attorney General’s Chambers sighted by theedgemarkets.com was authorised by the Minister of Plantation Industry and Commodities (MPIC) Datuk Dr Mohd Khairuddin Aman Razali, who on Feb 15 said the government would be collecting RM16 in cess payments on per tonne of CPO produced compared to RM14.
According to the document, the Malaysian Palm Oil Board (Cess) Order 2019 was amended after consulting the Minister of Finance.
When contacted to confirm the increase in cess, the Malaysian Palm Oil Board said it could not provide detailed information as it had not been officially informed by the AG’s Chambers or the ministry.
The MPIC has yet to respond to queries from theedgemarkets.com at the time of writing.
The Cess Order, which is stipulated under the Malaysian Palm Oil Board Act 1998 (Act 582), is a fee levied by the government to support the industry.
The cess was last increased in 2019 to RM14, from RM13 previously.
Source : The Edge Markets