ID :
27899
Sat, 11/01/2008 - 13:49
Auther :
Shortlink :
https://oananews.org//node/27899
The shortlink copeid
PRICES OF RICE DOWN 20 SEN PER KG
KUALA LUMPUR, Nov 1 (Bernama) -- The prices of rice in the domestic market have dropped 20 sen per kg in keeping with the government's call to traders to cut prices in tandem with the reduction in fuel prices, Agriculture and Agro-based Industry Minister Mustapa Mohamed said Saturday.
He said the government spent RM400 million (US$112.4 million) annually in
subsidising the price of this variety of rice.
Mustapa said the ministry received notice of the reduction in the rice
prices two days ago.
Replying to a question, Mustapa said there was no form of control of
transportation costs but hoped that prices of goods which depended on
transportation costs would be reduced following the reduction in fuel prices.
Referring to his visit to the wholesale market, he said it was to look at
the process of movement of goods from the farmer to the wholesaler and retailer
and finally to the consumer.
"We have to understand the process, the different levels that the goods
have to go through, because it has an impact on prices.
"First, I want to find out the number of levels the goods have to pass
through. Then, I want to see how the prices are fixed at the level of the
retailer," he said.
After understanding how the process works and how the prices are fixed,
the
ministry could take measures to overcome problems faced by consumers
particularly in relation to price hikes, he said.
Mustapa said the prices of goods at the wholesale market depended on
various factors and that the government could not exercise control because
Malaysia adopted a free market policy.
He said the best way to fight price increases resulting from the presence
of middle men was to set up wholesale and farmers' markets. (US$1=RM3.5)
He said the government spent RM400 million (US$112.4 million) annually in
subsidising the price of this variety of rice.
Mustapa said the ministry received notice of the reduction in the rice
prices two days ago.
Replying to a question, Mustapa said there was no form of control of
transportation costs but hoped that prices of goods which depended on
transportation costs would be reduced following the reduction in fuel prices.
Referring to his visit to the wholesale market, he said it was to look at
the process of movement of goods from the farmer to the wholesaler and retailer
and finally to the consumer.
"We have to understand the process, the different levels that the goods
have to go through, because it has an impact on prices.
"First, I want to find out the number of levels the goods have to pass
through. Then, I want to see how the prices are fixed at the level of the
retailer," he said.
After understanding how the process works and how the prices are fixed,
the
ministry could take measures to overcome problems faced by consumers
particularly in relation to price hikes, he said.
Mustapa said the prices of goods at the wholesale market depended on
various factors and that the government could not exercise control because
Malaysia adopted a free market policy.
He said the best way to fight price increases resulting from the presence
of middle men was to set up wholesale and farmers' markets. (US$1=RM3.5)
