PUTRAJAYA: The special task force to address inflation has instructed agencies involved to find a mechanism to reduce the retail price of cooking oil following the decline in crude palm oil prices.
Task force chairman Tan Sri Annuar Musa said the agencies, including the Malaysian Palm Oil Board (MPOB), were instructed to hold engagement sessions with 22 palm oil producers in search for a mechanism for the purpose.
"We find a downward trend in palm oil price at RM3,800 per barrel. If it drops to RM3,750, we will seek their cooperation and ask for a reduction in the retail price (palm cooking oil).
"It is not fair to raise prices on the grounds that oil prices were increasing recently but when prices fell, the retail price did not drop,” he told a press conference after chairing the task force meeting here.
He said the special task force would monitor the actual palm oil price and when the rate dropped below the threshold value, manufacturers and retailers should give their commitment to lower the price of cooking oil being sold.
The Minister of Communications and Multimedia also sought the cooperation of manufacturers and retailers to prepare to reduce the retail price of cooking oil.
He also urged cooking oil manufacturers to comply fully with all the conditions imposed by the Domestic Trade and Consumer Affairs Ministry to prevent the leakage of cooking oil supplies.
He said the task force would ensure that firm and continuous actions are taken against those found involved in the leakage of subsidised cooking oil supply which had been rampant in the past.
"We have evidence that there had been widespread leakage before, including export of subsidised oil for sale abroad, the oil being used by the non-domestic sector, and so forth," he said.
As such, Annuar said the integrated operation would be intensified to prevent supplies of cooking oil from being smuggled into foreign countries, including close monitoring of the country's borders by the Malaysian Armed Forces and the General Operations Force.
He said in the past six months, the authorities had confiscated RM1.5mil in value involving 61 cases.
He assured that the task force would continue to gather detailed information if manufacturers are still found to be involved in the smuggling and selling of subsidised cooking oil for other purposes. - Bernama
