THE government will be setting a new ceiling price for bottled cooking oil on a monthly basis based on the price of crude palm oil (CPO), Special Task Force on Jihad against Inflation chairman Annuar Musa said today.

According to Annuar, the ceiling price for 5kg bottled cooking oil for the month of August will be set at RM34.70.

“The price will be determined monthly based on the CPO price announced by the Malaysian Palm Oil Board (MPOB) on the first of each month,” Annuar said during a press conference in the Parliament lobby today.

“This will be the benchmark for the retail price of unsubsidised bottled cooking oil.

“A method of calculation has been decided by the Ministry of Domestic Trade and Consumer Affairs after discussions with industry players to ensure that, after the MPOB announces the monthly CPO, there is enough profit margin within the ceiling price.”

For July, the MPOB announced that the CPO price stood at RM4,062, based on this, the ceiling price for 5kg oil is set at RM34.70, Annuar said.

This new ceiling price will take effect in shops from August 8.

“The ministry will gazette the ceiling price and it will be done within a week for it to take effect.

“For the coming months, this method will be used.”

The state aid for bottled cooking oil was scrapped on July 1, leaving just 1kg poly bags subject to subsidy. – August 1, 2022.