The authorities on Wednesday slashed import duty on refined palmolein from 50 percent to 45 percent, although that on crude palm oil (CPO) from 40 percent to 37.5 percent with immediate effect, a movement the sector than stating it’s going to hurt domestic refiners.
A notification in this respect was issued by the finance ministry. The obligation cut was produced under the ASEAN arrangement along with also the India-Malaysia Comprehensive Economic Cooperation Agreement, ” it stated. Opposing the transfer, the Solvent Extractors’ Association of India (SEA) stated that following the decrease in import duty, the tax gap between CPO and refined palmolein has decreased from 10 percent to 7.5 percent. “This may have significant effect on domestic palm oil refining business and oilseeds farmers. We dread import of elegant palmolien would improve and power utilisation of the business would be impacted,” SEA Executive Director B V Mehta stated.