Ministry to Summon Johor Indian Muslim Entrepreneurs Association Over Food Price Hike Proposal
Introduction
The Domestic Trade and Cost of Living Ministry (KPDN) has issued a notice to the Johor Indian Muslim Entrepreneurs Association, requiring an explanation for its proposal to raise food prices by five per cent starting next year.
Background
According to media reports, about 300 mamak restaurant operators in Johor expressed concerns about rising operating costs, with the implementation of the minimum wage next year expected to further increase expenses. As a result, Indian Muslim restaurant operators are expected to raise food prices by at least five per cent at their premises from next year.
Minister’s Statement
Minister Datuk Armizan Mohd Ali said KPDN had issued the notice under Section 21 of the Price Control and Anti-Profiteering Act 2011, requiring an explanation for the proposed price increase. "Since this association has only just made the announcement for next year, we are taking proactive steps to prevent anyone from taking advantage of the situation. This notice is to summon the association to provide an explanation for their announcement regarding the price increase," he told reporters.
Action Under OPS Kesan 2.0
Armizan cited an example from OPS Kesan 2.0, where the ministry had taken action against those attempting to take advantage of the implementation of targeted diesel subsidies and the sales and service tax (SST) hike. "Some parties announced a price increase, but after being summoned and asked to explain, it was found that their reasons were unfounded. For instance, the construction sector claimed that the price increase was due to the implementation of the targeted diesel subsidies, even though it is not eligible to use subsidised diesel," he said.
Ministry’s Stance
Armizan said that KPDN had issued a notice and taken action under OPS Kesan 2.0 to ensure that price increases were only made based on relevant, actual costs. "We are taking proactive steps to prevent anyone from taking advantage of the situation. We will not allow anyone to take advantage of the situation and hike prices without a valid reason," he emphasized.
Conclusion
The Domestic Trade and Cost of Living Ministry is taking a proactive approach to ensure that price increases are made based on actual costs and not for any other reasons. The ministry will continue to monitor prices and take action against any party that attempts to hike prices without a valid reason.
Frequently Asked Questions
Q: Why is the Johor Indian Muslim Entrepreneurs Association proposing to raise food prices by five per cent?
A: The association has expressed concerns about rising operating costs, with the implementation of the minimum wage next year expected to further increase expenses.
Q: What is the Domestic Trade and Cost of Living Ministry doing to address the proposed price hike?
A: The ministry has issued a notice to the association, requiring an explanation for the proposed price increase and will take action under OPS Kesan 2.0 to ensure that price increases are made based on actual costs.
Q: What is OPS Kesan 2.0?
A: OPS Kesan 2.0 is an initiative by the Domestic Trade and Cost of Living Ministry to monitor prices and take action against any party that attempts to hike prices without a valid reason.