FGV says palm oil exports to rise after export tax suspension

CEO Zakaria Arshad says this will enable FGV to increase supply to its joint-venture refinery in Pakistan at a more competitive pricing.

KUALA LUMPUR: Felda Global Ventures Bhd (FGV) says it expects a 30% to 50% increase in palm oil export volumes to India, Pakistan, China and Europe following the suspension of palm oil export duty.

Malaysia suspended export taxes on crude palm oil for three months last week.

“With this development, we expect a 30%-50% increase in the export volume to major importing countries like India, Pakistan, China and Europe,” FGV group president and CEO Zakaria Arshad said in a statement.

“This will also enable us to increase supply to our joint-venture refinery in Pakistan at a more competitive pricing.”

FGV expects average crude palm oil prices for the first quarter of 2018 to improve slightly by trading around RM2,650 to RM2,750 per metric tonne, he added. -FMT