Malaysia to blacklist entities manipulating subsidised sugar prices
The Malaysian government has announced plans to blacklist any entities, including manufacturers, wholesalers, and retailers, found to be manipulating the price of subsidised regular sugar. Domestic Trade and Cost of Living Minister Salahuddin Ayub emphasised that the government will not tolerate any party taking advantage of its efforts and will take stern actions to protect the public interest.
Salahuddin warned that those attempting to collude on sugar prices would face legal consequences and be blacklisted immediately, with no room for compromise. The statement came as he addressed a clarification session on the approval granted to local sugar companies MSM Malaysia Holdings Berhad (MSM) and Central Sugars Refinery Sdn Bhd (CSR) to produce clear refined white sugar, known as clear sugar, for the retail market.
Furthermore, Salahuddin stated that the government has no intentions of floating the price of sugar again. However, if the economy recovers, it will be open to examining steps to float the price of the essential item.
During the session, Salahuddin explained that MSM and CSR were permitted to produce and market the new type of sugar at a retail sale price not controlled by the government or subject to price fluctuations based on market conditions. He said, “Taking into account the production costs of the local sugar industry, and the responsibility of the government as it is involved in giving subsidies, the Domestic Trade and Cost of Living Ministry (KPDN) allows the production of clear sugar to be sold in the retail market in order to give consumers a choice.”
However, during the session, five MPs raised concerns that the move to sell clear sugar could lead to more cases of price rationing and sugar hoarding, seeking further clarification on the matter.
