THE local sugar industry urgently requires government intervention by way of a price hike or introducing a float as the industry faces high operating costs, said MSM Malaysia Holdings Bhd today.

As essential food producers, the sugar refining giant said local refiners are tasked with ensuring food security as imports are not a sustainable option, seeing as exporting countries may face outbound quotas from their respective governments. For example, India could switch off exports to protect domestic needs.

MSM’s statement was in response to recent articles by local media regarding subsidies related to the sugar business.

The statement said the local sugar industry has not been receiving subsidies from the government since 2013 and that it operates in a regulated environment 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.

MSM said the retail sugar price in Malaysia is among the lowest in the world, as gazetted under the Price Control and Anti-Profiteering Act 2011 (Determination of Maximum Price – No. 2, Order 2017). – Bernama, May 16, 2023.