PETALING JAYA: The Domestic Trade and Cost of Living Ministry will be able to maintain ceiling prices for pure palm-based cooking oil through the Cooking Oil Price Control Mechanism.
Its minister Datuk Armizan Mohd Ali (pic) said under this mechanism, the ministry will be able to maintain ceiling prices for pure palm cooking oil sold in bottles at RM6.90 for 1kg, RM13.30 for 2kg, RM19.60 for 3kg and RM30.90 for 5kg through regulations under the Price Control and Anti-Profiteering Act.
“Our proposal to introduce the mechanism was approved by the Cabinet on Nov 6. The decision was made after taking into account the upward trend in global crude palm oil (CPO) prices since June 2025.
“The trend is expected to continue, placing increasing cost pressures on manufacturers to comply with the stipulated ceiling prices for bottled cooking oil, with some companies having already halted production, he said in a statement.
Based on the average global CPO price of RM4,400 per tonne last month, the price of a 5kg bottle of cooking oil is estimated to rise to RM34 if no intervention measures are implemented, he added.
The mechanism is expected to prevent supply disruptions and price fluctuations in bottled cooking oil that could become a burden on the people.
“The measure will involve financial implications, with an estimated RM15mil per month in special incentives to ensure the supply of bottled cooking oil at the stipulated ceiling prices,” he said.
On another note, Armizan said the government has also taken note of the concerns raised by some restaurant operators on the difficulties in recruiting workers and their requests for approval to employ foreign workers.
“As the regulatory ministry for the restaurant subsector, we call on all relevant stakeholders to participate in strengthening the strategies and approaches to achieve this target,” he said.
In this regard, stakeholders such as the Malaysian Muslim Restaurant Owners Association (Presma) are encouraged to put forward recommendations and proposals based on comprehensive data and research on reducing the employment of foreign workers,” he added.
He said while the government acknowledges the difficulties faced by restaurant operators in securing workers, serious commitment and action are needed to reduce the continued reliance on foreign labour.
