Malaysian Agriculture, Particularly Palm Oil, Would Benefit From TPPA

By Azlee Nor Mahmud KUALA LUMPUR, Dec 8 (Bernama) -- The Malaysian agriculture sector, particularly palm oil, will benefit from the Trans-Pacific Partnership Agreement (TPPA), by obtaining lower rates of tariff in the countries involved. Agriculture Attache at the United States Embassy Joani Dong said about US$1 billion worth of Malaysian palm oil is imported into the country, anually. "We have already rated it (crude palm oil) at zero per cent. Malaysia stands to gain a lot from countries within the TPPA pact which charges a high tariff," she told Bernama when met at the US Potato Fest culinary event here Tuesday. "The United States has given a great tariff rate, which is zero per cent. But for the remaining 11 countries in the TPPA, they will also bring it down to zero per cent and this will benefit Malaysia," she said. Other than palm oil she said, agriculture products such as cocoa would also benefit from the TPPA. Dong said, US exports to the Malaysian market consisted of products which do not attract many tariffs or there is no tariffs imposed at all. "Sunkist oranges, for example, enters Malaysia at zero tariff while a five per cent tariff is imposed on apples and grapes. "With TPPA, it will go down to zero tariffs which helps importers," she said. However, Dong said the exchange rate has much more bearing than the TPPA, but every little bit counts as these are high-value products. "It does help against competitors but in the end, it helps the consumers," she added. --BERNAMA