Diesel Policy Change Has No Impact on SD Guthrie

Petaling Jaya, 6 June 2024 - SD Guthrie Berhad (SDG or the Company), formerly known as Sime Darby Plantation Berhad, supports the recent announcement by YAB Prime Minister of Malaysia, Dato' Seri Anwar bin Ibrahim on the rationalisation of diesel subsidies.

SDG has always purchased diesel at market price, without any form of subsidy or preferential pricing. Thus, when this rationalisation plan is implemented, it will not have any material impact on the cost of purchasing diesel.

On 21 May, the Malaysian government approved the start of the diesel subsidy rationalisation programme which is expected to save the government around RM4 billion a year. The programme targets users in Peninsular Malaysia, covering commercial consumers and owners of private vehicles such as small farmers, rice farmers and small traders.

SDG has aligned its strategies to market driven principles and thus contributes positively to Malaysia’s economic progress and reform agenda.

We believe that such rationalisation initiatives to remove subsidies and return to market prices will significantly enhance the prosperity of all Malaysians.