KUALA LUMPUR, June 18 2018 : Former prime minister Datuk Seri Najib Razak has urged the government to suspend the crude palm oil (CPO) export tax until end of the year or at least until both demand and prices recover in a move to help smallholders.
CPO prices declined for the ninth consecutive day on Thursday last week and currently stood at RM2,300 per tonne.
“The export of CPO for the first 10 days of June fell 20 per cent compared with the same period last year.
“The government’s action to impose a five per cent tax on palm oil exports is the main reason why prices and demand has fallen,” he said in a Facebook post today.
The CPO export tax of five per cent will in place for July and thereafter.
Najib said the Barisan Nasional government suspended the tax for the first four months of 2018 to ensure the income of smallholders were not affected and for ‘’our CPO to remain competitive in the international market.” – Bernama