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As we all know, the expanded Sales and Service Tax (SST) announced by the government under Budget 2025 has come into effect starting today (1 July), with imported fruits being among the affected products – now subjected to a 5% tax.
However, following public concerns, especially from the lower-income group, the Finance Ministry has decided to exclude apples, oranges, mandarin oranges, and dates from the tax.
Good news for fruit lovers
Responding to the news, a well-known fruit retailer MBG Fruits Sdn Bhd has expressed its support to the exemption.
MBG’s Managing Director, Adnan Lee said that while the exemption applies to certain fruits, other imported fruits sold by MBG such as avocados, blueberries, cherries, kiwis, figs, and plums, will have the same import duties and 5% SST.
“Fruits like dragon fruit and passion fruit will have a mixed tax structure, combining SST rate and weight-based charges, while sweet potatoes will remain at 0% SST,” he added.
Thanks to Malaysia’s various Free Trade Agreements (FTAs), with countries such as China, ASEAN, Korea, Japan, India, Australia/New Zealand, Pakistan, Turkiye, and Chile, MBG Fruits reassured customers that they will continue to offer premium-quality imported fruits at competitive prices.
“These trade agreements help us to reduce import costs, allowing us to sell fruits at cheaper prices despite the 5% tax,” Adnan said.
However, the company will still comply with the latest government policies and incentives while implementing this initiative.
He also emphasized that MBG supports the government’s effort to ease the cost of living, while continuing to provide fresh and high-quality fruits, as reported by Berita Harian.
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