The Basics
Malaysia is one of the world’s most important raw sugar importers; it doesn’t produce sugar itself and so imports everything it consumes.
There are five refineries in the country, each of which processes raw sugar into refined.
Malaysian raw sugar imports are duty-free. Refined sugar imports are also duty-free, but are limited to 100k tonnes a year by the Government to support the refiners.
Per capita sugar consumption is increasing, driven by rising incomes and consumers’ switch to a more modern diet of increased processed foods and drinks.
In 2019, Malaysia introduced an excise tax of 40 MYR/litre on sweetened beverages with more than 5g of sugar or sugarbased sweetener per 100ml.
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This Czapp Explainer was Published on the 15th April 2021.
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