Subsidy reductions and the shrinking of disposable income are making it difficult for the urban poor especially to cope with higher prices of consumer products.
To assist them, premier Najib Abdul Razak has mooted the Kedai Rakyat 1Malaysia project, through which 250 generic products will be sold at 30-50 percent lower than the retail price for branded items.
Najib is scheduled to launch the first shop - located at Kelana Jaya LRT station - this evening. It will be operated by Mydin Mohamed Holdings Bhd.
Mydin Holdings managing director Ameer Ali Mydin told a recent press briefing that the generic products will be tagged with the '1Malaysia' brand.
He provided a snapshot of prices that buyers can expect:
Ameer said Mydin's advantage lies in bulk purchases and the support of 500 local small- and medium-size industries, some of which will supply the generic products.
“We are doing this out of our corporate social responsibility to assist the people. I assure you the government will not incur any costs. If there is an opportunity we would like to expand this concept to other places,” he said.
Advertising hurdle overcome
Asked about operational costs, he would only say that setting up regular retail premises occupying 1,200 sq feet would require RM250,000 to stock up items and install shelves and chillers.
The Kedai Rakyat 1Malaysia in Kelana Jaya will occupy 2,000 sq ft, provided at minimal rent by LRT operator Syarikat Prasana Negara Bhd. The shop will also stock branded goods.
Ameer refused to comment when asked if Mydin Holdings has been granted exclusive rights to use of the 1Malaysia brand for the generic products.
“However, as you know 30 percent of the cost of a product goes to advertising. Since we are using the '1Malaysia' brand, it does not need any advertising as it is in line with the government's concept,” he said.
“If given the chance, we would like to open similar stores possibly in Pantai Dalam, Ampang Hilir and Wangsa Maju. But this (depends on) the prime minister.”
To assist them, premier Najib Abdul Razak has mooted the Kedai Rakyat 1Malaysia project, through which 250 generic products will be sold at 30-50 percent lower than the retail price for branded items.Najib is scheduled to launch the first shop - located at Kelana Jaya LRT station - this evening. It will be operated by Mydin Mohamed Holdings Bhd.
Mydin Holdings managing director Ameer Ali Mydin told a recent press briefing that the generic products will be tagged with the '1Malaysia' brand.
He provided a snapshot of prices that buyers can expect:
- RM20.50 for a regular pack of diapers (branded: RM40)
- RM 2.99 for a 420g can of sardines(branded: RM6.10)
- RM6.80 for a bottle of cordial (branded: RM9.90)
- RM2.05 for a tin of creamer (branded: RM2.80)
Ameer said Mydin's advantage lies in bulk purchases and the support of 500 local small- and medium-size industries, some of which will supply the generic products.
“We are doing this out of our corporate social responsibility to assist the people. I assure you the government will not incur any costs. If there is an opportunity we would like to expand this concept to other places,” he said.
Advertising hurdle overcome
Asked about operational costs, he would only say that setting up regular retail premises occupying 1,200 sq feet would require RM250,000 to stock up items and install shelves and chillers.
The Kedai Rakyat 1Malaysia in Kelana Jaya will occupy 2,000 sq ft, provided at minimal rent by LRT operator Syarikat Prasana Negara Bhd. The shop will also stock branded goods.Ameer refused to comment when asked if Mydin Holdings has been granted exclusive rights to use of the 1Malaysia brand for the generic products.
“However, as you know 30 percent of the cost of a product goes to advertising. Since we are using the '1Malaysia' brand, it does not need any advertising as it is in line with the government's concept,” he said.
“If given the chance, we would like to open similar stores possibly in Pantai Dalam, Ampang Hilir and Wangsa Maju. But this (depends on) the prime minister.”
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