The government has proposed cutting the export tax on palm oil by as much as half to help fill a global edible oil shortage and grow the market share of the world's second-largest palm oil producer.

Plantation Industries and Commodities Minister Zuraida Kamaruddin said in an interview with Reuters today her ministry has proposed the cut to the Finance Ministry, which has set up a committee to look into the details.

Malaysia could cut the tax, likely a temporary measure, to 4 percent-6 percent from...