AS the Government is receiving public backlash over rising prices of essential goods, the Consumer Association of Subang & Shah Alam (Cassa) said the matter can be attributed to two reasons.
“One is, poor information dissemination by the Government and secondly, cartels are taking advantage of this communication breakdown to engage is profiteering,” its president Datuk Jacob George told FocusM.
Recently, there were reports that prices of essential goods have risen in certain states, believed due to supply shortage.
It was reported, for example, that prices of chicken have risen from RM6.80 per kilogramme to RM8. Prices of vegetables such as long beans, string beans, and sawi have also nearly doubled.
However, the Government assured that prices will stabilise in a few weeks’ time, as the dust settles of the movement control order (MCO 2.0).
Elaborating on the matter, George said speculation that the Government may impose a ‘full lockdown’ following a meeting with a business chamber have triggered panic buying among the public.
“After the speculation, people went to stores and just purchased whatever they can get their hands on, whether they needed it or not.
“Sensing an opportunity, cartels took advantage by disrupting the supply chain. They use excuses such as not enough manpower and delays in transporting goods due to MCO, creating an artificial shortage,” he said.
Training his guns on the Government, George said the former should have dismissed the ‘full lockdown’ speculation on the spot, instead of not commenting about it.
“Only the business chamber has come out to say that no one discussed about a ‘full lockdown’. Why is the Government keeping mum about it?
“Of course, Finance Minister Datuk Seri Tengku Zafrul Abdul Aziz had dismissed it but he is not the person calling the shots here. It should be done either by Senior Minister (Security) Datuk Seri Ismail Sabri Yaakob or Home Minister Datuk Seri Hamzah Zainuddin,” he opined.
Brewing public anger on top of COVID-19
George cautioned that the situation now is very fragile, as many have lost jobs and had reduced incomes, and rising prices of essential goods was just adding fuel to the fire.
He added that the Government should intervene actively on the matter or risk having another problem at hand apart from the pandemic, which is the growing public discontent.
“Unfortunately, I feel the Government had dropped the ball due to petty politics. People are suffering so much that they have resorted to stealing now.
“Unless the Government intervenes, take on the cartels and disseminate information properly, we’re going to see a bigger problem soon,” George added.
Touching on the matter, Federation of Malaysian Consumers Associations (Fomca) said that rising food prices in the country was a result of the Government’s neglect on the nation’s food security.
“We have neglected food security issues despite being warned many times in the past. Our over dependence on food imports didn’t prepare us for a crisis of this magnitude,” its CEO Paul Selvaraj told FocusM.
For now, Selvaraj urged the Malaysia Competition Commission (MyCC) to get cracking and throw the book against those engaged in monopolistic and price manipulation practices.
“Enforcement officers need to double their efforts to ensure that free market practices and the food supply chain are not disrupted by errant quarters.
“MyCC has all the studies with them. Right now, they have to focus on enforcement issues,” he said.
Selvaraj added: “In the long-run, let this serve as a lesson to us all and prepare for future crises by strengthening our food security.” – Jan 30, 2021
