SINGAPORE (Dec 6): CGS-CIMB Securities is maintaining “neutral” on the Asean agribusiness sector as Indonesia revises its export levies on palm oil and its derivative products, following a drop in crude palm oil (CPO) prices.

Under the revised ruling, the country’s government will not collect levies from palm exporters when prices are below the threshold of US$570 per tonne, but will charge US$10-25 a tonne once prices are in a range of US$570-619 per tonne. This levy will rise to US$20-50 should prices hit above US$619 per tonne.

Under the previous rules for levies, exporters paid US$20-50 per tonne regardless of palm price levels.

To continue reading,

Sign in to access this Premium article.

Subscription entitlements:

Less than $9 per month
3 Simultaneous logins across all devices
Unlimited access to latest and premium articles
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)

Related Stories

Stay updated with Singapore corporate news stories for FREE

Follow our Telegram | Facebook