Malaysia August reference tax rate kept unchanged at 8%

Malaysia CPO export tax was retained at 8% for the eighth successive month after the calculated reference price came to RM3975.92/ton (US$941) for August shipment or down a whopping RM692.23 (US$55.40) from the previous month. The fall in the reference price was expected but the quantum was larger than anticipated. It was the first fall in 14 months and the lowest reference price in 6 months. July reference price was RM4668.15/ton. Malaysia progressive CPO export tax starts at 3% when the monthly reference price exceeds RM2250/ton rising to the highest tax band of 8% when prices are above RM3450/ton. The tax rate on CPKO is kept flat at 10% and RBDPKO at 5% respectively.