TRADERS WERE URGED NOT TO RAISE FOOD PRICE

KUALA LUMPUR, May 10 (Bernama) -- The Domestic Trade, Cooperatives and Consumerism Ministry Tuesday told traders not to use the increase in the price of sugar as an excuse to raise food prices.

Deputy secretary-general Mahani Tan Abdullah said: "The increase in the price of sugar by 20 sen a kilogramme is minimal and is no excuse for hiking allfood prices."

"The increase should not burden the consumers and they should look at it from the positive side that less consumption of sugar means less danger of diabetes," she told reporters after delivering a keynote address at a corporate governance seminar here.

She said the ministry would carry out checks from time to time to make sure that the traders did not arbitrarily raise food prices.

When announcing the increase in the price of sugar yesterday to RM2.30 per kilogramme, the government said that it was to rationalise the retail price of sugar.

Even with the increase, the government would still have to subsidise sugar to the tune of RM283.4 million (US$94.577 million) a year. (US$1=RM3)