
Government Investment Incentives
Following are the list of investment incentives provided by MIDA, MATRADE and SME Corp which may apply or be directly related to the palm oil and oil palm industry in Malaysia.
MIDA (Malaysian Industrial Development Authority)

- Pioneer Status - 100% tax exemption on statutory income during 5 years exemption period; or
- Investment Tax Allowances - allowance of 100% on the qualifying capital expenditure incurred within a period of 5 years.
- Enhanced Incentives for the Utilization of Oil Palm Biomass - biomass companies that utilize oil palm biomass to produce value-added products such as particle board, MDF, plywood, pulp and paper are eligible.
- Renewable Energy - pioneer status with a tax exemption of 100% of the statutory income for a period of 10 years; or
- Investment Tax Allowances - 100% on qualifying capital expenditure within 5 years. Allowance can be use to set off against 100% of the statutory income in each year of assessment.
New Companies

- Pioneer Status
- Investment Tax Allowance
- Incentives for Food Production
- Incentives for Reinvestment in Food Processing Activities
- Reinvestment Allowance
- Reinvestment Incentives for Resource Based Industries
- Agricultural Allowance

- Incentives for the Storage, Treatment and Disposal of Toxic and Hazardous Wastes
- Incentives for Energy Conservation
- Incentives for Waste Recycling Activities
- Incentives for the Use of Renewable Energy Resources
- Accelerate Capital Allowance

- Contract R&D Company
- R&D Company
- In-house Research
- Double Reduction for R&D
- Incentives for Researchers to Commercialize Research Findings

- Incentives Tax Allowance
- Special Industrial Building Allowance
- Tax Exemption on Education Equipment
- Tax Exemption on Royalty Payments

- Tax exemption for shipping operators
- Exemption from import duty and sales tax on prime movers and trailers

- Industrial Building Allowance
- Infrastructure Allowance
- Tariff Related Incentives
- Incentives for Export
- Training Incentives
- Incentives for Acquiring Proprietary Rights
- Incentives for use of Information Technology
- Incentives for the use of Environmental Protection Equipment
- Donations for Environmental Protection
- Incentives Employees' Accomodation
- Incentives for Employees' Child Care Facilities
For more information, go to www.mida.gov.my
MATRADE (Malaysia External Trade Development Corporation)

Grants to assist Small and Medium Enterprises (SMEs) undertake activities for the development of export markets.
Eligible activities are:
- Participation in Trade Missions, Specialized Selling Missions and International Trade Fairs
- Participation in Malaysia Trade Centre Overseas
- Preparation of Promotional Items
- Promotion of Brands Overseas
- Designong and Improving Packaging of Products
- Participation in Overseas International Tenders
For more information, go to www.matrade.gov.my
SME Corp (Small & MediumEnterprises Corporation Malaysia)

- Business Planning and Development
- Product and Process Improvement
- Productivity and Quality Improvement and Certification
- RosettaNet Standard Implementation
- Enhancing Product Packaging Design and Labeling Capabilities SMEs
- Development and Promotion of Halal Products
- Skills Upgrading
For more information, go to www.smecorp.gov.my
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