Date:19/02/2003 URL: http://www.thehindu.com/2003/02/19/stories/2003021904611100.htm

National

Malaysia for cutting customs duty on palm oil

By Our Special Correspondent

NEW DELHI Feb. 18. Even as 10 days are left for the presentation of the Union budget, Malaysia today urged India to reduce the customs duty on crude palm oil imported from that country.

Projecting a high-demand, low-supply international scenario for the commodity, Malaysia's Minister for Primary Industries, Datoseiro Lim Keng Yaik, said that if it had to remain competitive in respect of other edible oils, it was essential that India cut its customs duty on palm oil from 65 per cent to 45 per cent, the tariff rate for soya oil. At a meeting with the Union Food Minister, Sharad Yadav, he said the demand for his country's palm oil was increasing from Europe and countries such as China, Thailand, Egypt and consequently, it might find it difficult to meet India's demands.