PLAYERS in the cooking oil industry seem reluctant to agree to a two-tier cooking oil pricing proposal, the Dewan Rakyat was told today. 

Domestic Trade and Cost of Living Minister Salahuddin Ayub said the response from the industry players was to protect smallholders’ interests. 

“From time to time, we try to solve this problem through dealings with industry players on the two-tier pricing (proposal), but it seems industry players are a bit reluctant because they look after the (interests of) smallholders,” he said during question time today.

He said this in response to a question by Cha Kee Chin (Rasah-PH) regarding the government’s willingness to increase the quota of subsidised cooking oil packets in the local retail market so supply will be sufficient. 

Before this, there was a proposal regarding the feasibility of a two-tier pricing system for cooking oil for domestic use and export, since the product’s cost is currently determined with a single-tier system.

To a supplementary question from Chu regarding enforcement on leakages and whether the country is facing a crisis in oil supply, Salahuddin said so far, the supply of subsidised cooking oil packets is not critically low. 

“If there are cases (shortage of supply) in certain places, my ministry will act swiftly,” he said.

He said his ministry will not compromise on the issue of leakages, with 2,896 inspections carried out over the last two months, of which 13 cases were brought to court. – Bernama, February 23, 2023.