KUALA LUMPUR: The local sugar industry urgently requires the government to intervene by way of a price increase or introduce a floating price basis as the industry is operating in a challenging environment with high operating costs, said MSM Malaysia Holdings Bhd
today.
As essential food producers, the sugar refiner said local sugar refiners are tasked to ensure food security while imports are not a sustainable option because exporting countries may face export quotas from their respective governments. For example, India, may switch off export in order to protect domestic needs.
The statement was in response to recent articles by a local media regarding subsidies related to the sugar business, adding that MSM wished to provide further clarification on the issue being raised.
The statement said that the local sugar industry has not been receiving subsidies from the government since 2013 and that it operates in a regulated industry governed by the Domestic Trade and Cost of Living Ministry under Section 5 of the Control of Supplies Act 1961 and Regulation 1 of the Control of Supplies Regulation 1974.
The sugar refiner said retail sugar price in Malaysia is among the cheapest in the world, as gazetted under the Price Control and Anti-Profiteering Act 2011 (Determination of Maximum Price - No. 2, Order 2017). - Bernama
