Malaysia: Extraordinary levy for oil palm growers in Sabah, Sarawak, according to the MPOA

KUALA LUMPUR: The Malaysian Palm Oil Association (MPOA) is urging the government to restore the extraordinary profit levy (WPL) rate for Sabah and Sarawak to 1.5 percent in Budget 2024 compared to the current three percent. Given the rising production costs, the association also requested the government to review the WPL price threshold of RM500 per tonne of crude palm oil (CPO) to RM3,500 per tonne for Peninsular Malaysia and to RM4,000 per tonne for Sabah growers and Sarawak. The MPOA also called for tax incentives to support large-scale replanting initiatives, recognizing its critical role in protecting the future productivity of the sector to support its supply chain and maintain competitiveness. Its Chief Executive Officer, Joseph Tek Choon Yee said, while waiting for growers to carry out the replanting program every year, larger replanting areas should be worked on immediately. "Accelerated replanting involving the private sector across the country is essential to achieve ...