Cheaper sugar for industry won’t trickle down to consumers: Councillor
MIRI: One of this Oil Town’s leading personalities is sceptical of the end results of the decision to issue Approved Permits (APs) to players in the food and beverage industry in Sabah and Sarawak so that they can enjoy cheaper sugar.
Miri City councillor Karambir Singh said on the contrary, the Domestic Trade and Consumer Affairs Ministry’s move may even bring about “some additional implications than that intended”.
“In most likelihood, the lower price will not be passed on to consumers,” he said when asked for his comments on yesterday’s announcement by Domestic Trade and Consumer Affairs Deputy Minister Chong Chieng Jen.
Chong told a press conference here that industry players in Sabah and Sarawak will enjoy cheaper sugar as his ministry is ready to issue APs to import sugar directly from Thailand.
The Bandar Kuching MP said the APs are strictly for business use and industry players can ask permission from the ministry to import refined sugar directly from Thailand.
He said with the international sugar price currently lower (RM1.20 per/kg) for the past few months, it is a good opportunity for the industry players to obtain the APs.
“We encourage the industry players in Sarawak to write to the ministry. The process will not take long. There is no dateline for the submission of applications. We’ll process the applications as soon as possible,” he said.
“We hope the industry players would make full use of this good gesture, but don’t abuse it,” he said.
Karambir in an immediate response said: “It can be seen from past examples, such as when GST was removed, prices of drinks in coffee shops did not come down.
“On the contrary, when subsequently SST was implemented prices in some establishments went up.
“Additionally, is cheaper sugar not against the policy of soda tax brought in to discourage the use of sugar?
“Perhaps the only beneficiary of this whole exercise will be the retailers and AP holders.”
Chong was in Miri after a trip to Limbang.
With him at the press conference yesterday were Senator Alan Ling, Pujut assemblyman Dr Ting Tiong Choon, and Miri Domestic Trade and Consumer Affairs head Joe Azmi Jamil.
