Budget 2025: KPK Proposing Initiatives To Strengthen Oil Palm Industry
PUTRAJAYA, Sept 23 (Bernama) -- The Ministry of Plantation and Commodities (KPK) has submitted two proposals to the Ministry of Finance to be considered for inclusion in Budget 2025, namely a revision of the windfall profit levy (WPL) on palm oil and additional allocations for palm oil replanting programmes.
KPK Minister Datuk Seri Johari Abdul Ghani said the WPL review is necessary to ensure the country's palm oil prices remain competitive compared to other producing nations.
“I have submitted the proposal to revise the WPL for inclusion in Budget 2025. It is one of the main requests from industry players," he told reporters after attending the 2023/2024 Malaysian Palm Oil Industry Awards (AISM) here today.
Johari also hopes that the government would consider additional allocations for the Smallholder Palm Oil Replanting Financing Incentive Scheme (TSPKS) to be included in the budget, noting that nearly 1.5 million hectares of palm oil plantations are currently managed by smallholders.
“Last year, the government allocated RM100 million for TSPKS 2.0, 50 per cent of which as grants and 50 per cent as loans.
“However, I believe more funding will be needed for palm oil replanting to ensure our future exports are not affected," he said.
Budget 2025 is scheduled to be presented in the Parliament by Prime Minister Datuk Seri Anwar Ibrahim on Oct 18.
-- BERNAMA