4th August 2022 - 2 min read
The Ministry of Domestic Trade and Consumer Affairs (KPDNHEP) has announced the full list of ceiling prices for bottled palm cooking oil for the month of August, set to take effect starting from 8 August. This is following the government’s recently announced decision to implement a monthly pricing mechanism for bottled palm cooking oil.
Applicable throughout the whole of Malaysia, the ceiling price for bottled palm cooking oil in August – according to weight – will be as follows:
Prior to this, the Jihad Tangani Inflasi taskforce had already revealed that the government will be adopting a monthly pricing mechanism for bottled palm cooking oil. The ceiling price is to be adjusted monthly based on the price of crude palm oil (CPO) in the global market in the previous month. As such, the ceiling price for August was decided based on the average price of CPO in July, which was recorded at RM4,063 per metric ton.
During this initial announcement, the chairman of the task force, Tan Sri Annuar Musa also stated that the RM34.70 ceiling price (5kg bottled cooking oil) was applicable only for Peninsular Malaysia. However, it was subsequently extended to Sabah, Sarawak, and Labuan as well.
Meanwhile, the KPDNHEP minister, Datuk Seri Alexander Nanta Linggi reiterated that the government has also recently gazetted the order prohibiting the export of unsubsidised cooking oil in all forms of polybag packaging. This is to avoid confusion among consumers and exporters, and to mitigate the leakage of controlled and subsidised goods.
To note, the government had removed the subsidy for bottled palm cooking oil beginning last month, which subsequently resulted in a significant increase in the price of the commodity. The government then announced late last month that it will reintroduce a ceiling price for bottled palm cooking oil, seeing as cooking oil manufacturers did not reduce their retail prices despite a decrease in crude palm oil prices.
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