Malaysia will remove the subsidies on certain cooking oil products that will be phased out beginning July 1, in an effort to ensure domestic supply and stabilise prices, says Minister of Domestic Trade and Consumer Affairs Alexander Nanta Linggi.
Malaysia will also raise chicken and egg price ceilings beginning in July, he also says. Malaysia is the world’s second-largest palm oil producer and it will discontinue subsidies for 2kg, 3kg, and 5kg cooking oil bottles introduced last year but will continue to subsidise 1kg packets.
“This move is intended to ensure a more stable supply of food in the market and, in the long run, more stable prices,” he says in a statement, adding that price controls had caused market and price distortion.
