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Wednesday, November 20, 2024

Review monitoring mechanism for subsidised cooking oil, govt told

 

minyak masak cooking oil
The domestic trade and cost of living ministry should work more closely with the customs department to crack down on smuggling syndicates, says Kota Melaka MP Khoo Poay Tiong.

KUALA LUMPUR
A government backbencher has called for Putrajaya to review its monitoring system for subsidised cooking oil, claiming the existing mechanism is not working well.

Khoo Poay Tiong (PH-Kota Melaka) noted that the government spent RM1.3 billion last year on cooking oil subsidies, which he said amounted to 60,000 metric tonnes of cooking oil per month – or about 60 million packets.

With Malaysia having a population of about 35 million people, Khoo said this meant there was a sufficient supply of subsidised oil with each Malaysian receiving an average of two packets.

Despite this, shortages persisted in local markets, Khoo said, blaming it on the rampant smuggling of subsidised cooking oil to neighbouring countries, such as Thailand and Indonesia, where it was sold at a higher price.

“The government claims that its record-keeping system helps track the oil distribution. If there is a system, why is subsidised cooking oil still being smuggled out?

“Why are there still shortages?” he asked in the Dewan Rakyat when debating the 2025 budget.

Khoo said the requirement for retail stores, especially in rural areas, to maintain detailed records of the sale of subsidised cooking oil was cumbersome.

“Why ask them to maintain records? We already know where the subsidised oil is going. It is going to Thailand,” Khoo said, emphasising that the current system had failed to resolve the problem.

Khoo urged the domestic trade and cost of living ministry to work more closely with the customs department to crack down on smuggling syndicates.

“These syndicates are traitors to the nation,” he said, and suggested that certain influential quarters might be behind the smuggling of subsidised oil and that this probably prevented the authorities from taking action.

Earlier today, economy minister Rafizi Ramli said the subsidy for packaged cooking oil would remain in place for now, and that the government had no plans to abolish or modify it.

He said the matter had never been brought up for discussion in the Cabinet. - FMT

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