# Windfall tax threshold for palm oil raised by RM500: 2022 Budget

> Indonesian President Widodo said the country would at some point ban crude palm oil exports to force downstream processing. Experts said high biodiesel prices, weak domestic CPO demand and biodiesel trade barriers make a full downstream industry hard to achieve soon.

- Date: 2021-10-29 · published 2021-10-29T12:00:00.000Z
- Category: policy · region Indonesia · magnitude medium
- Page: https://feedsoft.ai/events/44422-windfall-tax-threshold-for-palm-oil-raised-by-rm500-2022-budget
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md), [Soybean Oil](https://feedsoft.ai/c/SBO.md)

## Why it matters

A CPO export ban would remove a large share of world palm supply and would be strongly bullish for palm oil and competing vegetable oils. Experts view the plan as infeasible in the near term, which limits the immediate price impact.

## Read by commodity

- SBO: bullish ▲
- PALMOIL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2021-10-29 | [Malaysia to raise threshold for palm oil windfall levy next year \| Financial Post](https://feedsoft.ai/events/44419-malaysia-to-raise-threshold-for-palm-oil-windfall-levy-next-year-financial-post.md) | +1.9% | -0.1% |
| PALMOIL | 2019-12-12 | [Malaysia raises export tax for crude palm oil for first time in over a year - The Business Times](https://feedsoft.ai/events/55463-malaysia-raises-export-tax-for-crude-palm-oil-for-first-time-in-over-a-year-the.md) | -0.0% | +11.2% |
| PALMOIL | 2020-01-07 | [Minister: Govt to channel 50pc of crude palm oil windfall tax to biofuel fund \| Malay Mail](https://feedsoft.ai/events/54958-minister-govt-to-channel-50pc-of-crude-palm-oil-windfall-tax-to-biofuel-fund.md) | +2.1% | -12.9% |
| PALMOIL | 2021-04-06 | [Indonesia’s Palm Oil Tax Regime as of April 2021](https://feedsoft.ai/events/47464-indonesia-s-palm-oil-tax-regime-as-of-april-2021.md) | -1.7% | +9.0% |
| PALMOIL | 2022-08-30 | [Palm Oil Rises After Indonesia Raises Export Tax, Biodiesel Use](https://feedsoft.ai/events/15797-palm-oil-rises-after-indonesia-raises-export-tax-biodiesel-use.md) | -7.5% | -11.0% |
| SBO | 2018-01-10 | [EU heading for ‘zero palm oil’ in transport by 2021](https://feedsoft.ai/events/67017-eu-heading-for-zero-palm-oil-in-transport-by-2021.md) | -3.1% | -3.0% |
| SBO | 2021-04-06 | [Indonesia’s Palm Oil Tax Regime as of April 2021](https://feedsoft.ai/events/47464-indonesia-s-palm-oil-tax-regime-as-of-april-2021.md) | -2.0% | +18.2% |
| SBO | 2016-11-25 | [Palm oil demand from Indonesia biodiesel sector to surge by 2020](https://feedsoft.ai/events/73756-palm-oil-demand-from-indonesia-biodiesel-sector-to-surge-by-2020.md) | +2.1% | -5.6% |

## Sources

- nst.com.my: https://www.nst.com.my/business/2021/10/741036/windfall-tax-threshold-palm-oil-raised-rm500-2022-budget

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.