SUGAR EXPECTED TO RISE AFTER CNY

BUTTERWORTH (Malaysia), Jan 21 (Bernama) -- The sugar price may be raised
after the Chinese New Year celebration following the hike in price in the
international market, Domestic Trade and Consumer Affairs Minister Shahrir Abdul
Samad said Tuesday.

"Eighty to 90 per cent of our sugar supply comes from overseas. Our supply
contract ended last year. This year we have a new contract and the price is
higher than that last year," he told reporters after launching the "Health and
the Dangers of Sugar" campaign here.

He said that if the retail price were to remain at RM1.45 per kilogramme the
government would have to pay a subsidy. (US$1=RM3.62)

However, he gave an assurance that if there was an increase, it would be
done gradually at intervals of three to four months.

The sugar price in the country now was lower than that in the sugar
producing countries, he said, adding that it had not been increased for three
years.
-- BERNAMA