New, costly sugar won’t cause prices to soar, say F&B groups


Angie Tan

FOOD and beverage groups have reassured the public that their prices will not go up with the introduction of market-price clear, refined white sugar because they will continue to use price-controlled coarse sugar.

But they warned that the prices of bottled carbonated drinks, which contain the new variety of sweetener, could go up.

Federation of Selangor and Kuala Lumpur Hawkers Association complaints unit head Boon Kok Choon said members of the group do not use clear, refined white sugar in their food and drinks.

“So people can rest assured that the prices of food and drink will not go up,” he told The Malaysian Insight.

The government has approved the applications of MSM Malaysia Holdings Bhd and Central Sugars Refinery Sdn Bhd to make clear, refined white sugar to remain competitive.

Malaysians have voiced their concern on social media, believing that this meant that coffee shops and restaurants will be raising their prices once more.

“Here we go. Here it comes. Coffee shop owners have a chance to raise prices again, (the prices of) coffee/tea will rise a few sen again!” said Koo Boon Kiet.

“Haha, food courts can start (raising) prices again,” another posted.

Malaysia Singapore Coffee Shop Proprietors’ General Association president Wong Teu Hoon said members of the group also do not use clear refined white sugar. 

“It’s expensive. We only use ordinary coarse white sugar,” Wong said.

“So the prices of food and drinks in coffee shops will not go up.”

Coarse and refined sugar costs between RM2.75 and RM2.85 per kg while clear, refined white sugar is expected to sell at RM4.20 to RM4.60 per kg.

Food and beverage groups have reassured the public that they will be sticking to price-controlled coarse sugar to sweeten their offerings. – The Malaysian Insight file pic, May 27, 2023.

Consumers have choice

Federation of Sundry Goods Merchants Associations of Malaysia president Hong Chee Meng said consumers have a choice.

“If they think it is expensive, then don’t buy. The price difference (between coarse and clear, refined white sugar) is quite big.”

On May 25, Domestic Trade and Cost of Living Minister Salahuddin Ayub said consumers have a choice of sugar.

The Malaysian Sugar Mills had urged the government to raise prices or introduce floating prices because of the rising production costs of sugar. The sugar giant had said that as a producer of a basic item, the local refineries are tasked with ensuring food security.

Sugar makers are allowed to sell their products at the controlled price of RM2.85 per kg for crude, refined white sugar and RM2.95 per kg for refined white sugar.

Sugar production in Malaysia is regulated by the Domestic Trade and Cost of Living Ministry. The price is controlled and among the lowest in the world. – May 28, 2023.



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