KUALA LUMPUR — The government will exempt specific imported fruits, including apples and oranges, from the sales and services tax (SST) following public concern over the rising cost of local and imported produce, said Prime Minister Datuk Seri Anwar Ibrahim.
Anwar, who is also Finance Minister, explained that although the government continues to promote the consumption of local fruits such as guava, rambutan and durian, the exemption for the two popular imported fruits was introduced to ensure that low-income communities still have access to affordable and healthy food options, Bernama reported.
“Yesterday, during the Cabinet meeting, we listened to the people’s concerns. Some still want to eat apples and oranges because they are cheaper.
“So, although there will still be a small tax on other imported fruits, we are granting exemptions for apples and oranges,” he said during the launch of the Kota Madani Development Project here today.
The Prime Minister stressed that local fruits — many of which are nutrient-rich and seasonal — remain a priority for the government’s food policy.
“Even avocados are now being cultivated in Sabah. We have so many fruits… langsat, duku, rambutan, durian. But I’ve observed that the B40 group still consumes imported apples and oranges, so we reconsidered the matter,” he said.
Anwar also announced that the threshold for micro enterprises and small traders would be raised from RM500,000 to RM1 million.
“We’re increasing it because RM500,000 is simply too low. This move is to ensure continued support for the government’s reform efforts,” he said, adding that more details will be announced in due course.
Earlier, Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi had indicated that the government would review the expansion of SST on certain imported goods, including fruits like apples and oranges. He noted that as these fruits are fully imported, the proposed 5% to 10% SST warranted further evaluation.
On June 9, the government announced a targeted revision of the Sales Tax rate and an expanded scope for the Services Tax, set to take effect from July 1, 2025.
The Kota MADANI Development Project, launched today, is expected to serve as a model for inclusive, sustainable and people-centric urban development. The federal government will work closely with state governments and local authorities to prioritise the needs of civil servants and residents in the area.
Among those present at the event were Minister in the Prime Minister’s Department Datuk Seri Dr Zaliha Mustafa and Chief Secretary to the Government Tan Sri Shamsul Azri Abu Bakar. – June 26, 2025