PAPAR (Sabah), March 10 – The Ministry of Domestic Trade and Cost of Living (KPDN) will take strict action, including immediate revocation of licenses of subsidised cooking oil packaging companies found to be involved in the misappropriation of the essential item, says its minister, Datuk Armizan Mohd Ali.
He said KPDN had identified several companies involved in the illegal distribution of cooking oil, including selling it to industries instead of retailers for consumer use, as well as selling it to neighbouring countries.
We (KPDN) will announce the total (number of companies involved in misappropriation and leakages related to subsidized cooking oil packaging) after March, as there are some states where audits are yet to be completed,” he told reporters after launching the Rahmah Sales Programme in Kinarut, today.
Armizan said the ministry was serious about ensuring that no subsidised cooking oil packaging company continued to sabotage the government’s well-intentioned programme to assist targeted groups in obtaining the essential item at an affordable price in the market.
“Any party found involved in misappropriation and leakages will face immediate action, including legal action,” he said, adding that subsidised cooking oil packaging companies in Sabah were not exempt from facing strict action.
Armizan said the ministry would also improve the Cooking Oil Price Stabilisation Scheme (eCoss) system to monitor the distribution process of subsidised cooking oil packets from packaging companies to retailers.
He said last year, the government spent RM1.5 billion to subsidize a total of 60 million packages of cooking oil in the market.
In Sabah, Armizan said, his ministry would continue to strengthen cooperation with various parties at the state level to ensure that subsidised cooking oil packaging companies could distribute supplies to all district in need.
He said that 90 per cent of subsidised cooking oil packaging companies were appointed on the east coast of Sabah, including Sandakan, Tawau, and Semporna, while only 10 per cent were on the west coast of the state.