Czapp Explains: The Malaysian Sugar Industry

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.

For more information on the Malaysian sugar market, please subscribe to Czapp Premium.

This Czapp Explainer was Published on the 15th April 2021.

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