Armizan Ali, the acting minister for domestic trade and consumer affairs, said the disruption of sugar supplies in Sabah and other parts of the country was partly due to the spike in raw sugar prices in the international market.

He said the government has granted import permits to 43 companies to import a total of 557,080 tonnes of sugar to ensure there is stable supply for the people, Bernama reported. But so far only 22,547 tonnes or 4% could be imported.

“The issue is that they cannot import sugar because of the high international prices,” he said.

Raw sugar costs had gone up by 52%, which also resulted in an increase in production costs for local manufacturers.

“To avoid continuous losses, (local manufacturers) reduced production, causing a shortage in sugar supply in the local market,” he said.

The manufacturers had made an appeal for a price increase, but the government has not made a decision, he said.

“We are studying the international sugar price forecasts, and the price is expected to rise.”

Armizan, who is MP for Papar, Sabah, was speaking to reporters at a constituency event in Pitas.

He said he had received complaints about disruptions to sugar supplies, especially those controlled at the price of RM2.85 per kg.

It was important to take into consideration the level of sugar supply and not just the price, he said.

“The government is in the process of considering long-term measures related to sugar supply because its responsibility is not only to make sure that the price is reasonable, low, and controlled but also to ensure the stability in supply,” he was quoted as saying.

“If we control at low prices but the supply is insufficient, it will also be a problem for the people,” he said.

He dismissed claims that the sugar supply is being monopolised by certain parties. He said the government had provided import permits to 43 companies, with the average price of imported sugar between RM3,400 and RM3,500 per tonne.