The subsidy programme keeps the price of cooking oils sold in 1kg polybags at RM2.50, protecting consumers from increases in crude palm oil (CPO) market prices.

In a statement, domestic trade and consumer affairs minister Alexander Nanta Linggi said the price of CPO, which is often a component of cooking oil, had climbed recently to around RM4.50/kg before processing and packaging, necessitating the need for the subsidy to keep the cost of cooking oil affordable for all consumers.

“The government guarantees that the quality of subsidised palm cooking oil sold in polybags is the same as that sold in bottles and some of it is even produced in the same factory,” he said in a statement today.

“Cooking oil sold in plastic bottles of 2kg, 3kg, 5kg and in 17kg cans are not subsidised and the price is determined by the price of CPO on the global market.

“The people can choose whether to buy subsidised cooking oil in 1kg polybag packaging or unsubsidised in plastic bottle and can packaging.”

The government currently allocates 60,000 tonnes, or roughly 60 million 1kg bags of subsidised cooking oil a month, which is available to all Malaysians.

Nanta said his ministry was in discussions with relevant agencies to improve price control mechanisms to ensure the public was not burdened by high costs.

Regarding other items, he said the ministry would not hesitate to introduce price ceilings if the cost of certain products increased beyond a reasonable amount.

He added that enforcement officers were monitoring the price of products on sale, and would not hesitate to take action against traders found to be profiteering.