India on Monday slashed the basic import tax on refined palm oil to 12.5 per cent from 17.5 per cent earlier, the government said in a notification, as the world’s biggest vegetable oil buyer tries to cool near-record price rises.
The tax cuts would make refined palm oil more attractive for Indian buyers than crude palm oil and boost shipments of refined grades from Malaysia and Indonesia, traders said.
After the cut, refined palm oil imports will be subject to a 13.75 per cent tax in total, including Agriculture Infrastructure and Development Cess (AIDC) and other taxes, down from 19.25 per cent earlier, traders said.