India probing jump in refined palm oil imports from MalaysiaChristian Fernsby ▼ | August 18, 2019
India has initiated a probe into whether a jump in refined palm oil shipments from Malaysia is causing serious injury to domestic industry.
Asia Malaysia palm oil
Topics: India Malaysia palm oil import
Mohd Bakke Salleh, chairman of the MPOB, last month attributed the increase to recent changes in Indian duties.
In January, New Delhi cut import duty on refined palm oil shipments to 50% from 54%.
Malaysian shipments already attracted only a 45% duty due to the Comprehensive Economic Cooperation Agreement signed by the two countries nearly a decade ago.
Yet the change in duty structure reduced the effective duty difference between crude palm oil (CPO) and refined palm oil for Indian refiners to 5.5 percent from 11 percent for shipments from Malaysia, making overseas buying of refined palm oil more lucrative than CPO. ■