Government studying sugar price trend following request to raise sugar price

JOHOR BARU: The government is conducting a study on sugar prices due to requests from sugar producers following the increasing cost of raw sugar, said Domestic Trade, Cooperatives and Consumerism Minister Datuk Seri Hamzah Zainudin.

He said discussions on the matter had been going since last month. "The government will observe the world sugar market price trend as it can rise and fall and occasionally remain stable so that it will be easy for us to calculate," he told reporters after chairing a Hawkers and Petty Traders Consultation Council Meeting here today.

He said the trend was highly volatile and heavily influenced by various factors including climate and insufficient supply which could cause the price of sugar to increase and sometimes return to normal and remain stable.

"Therefore it is not fair if we were to allow them to raise the price (especially when abrupt changes occur)," he said.

Hamzah was asked to comment on MSM Malaysia Holdings Bhd's request to the government to raise sugar prices by 20% because cost of raw sugar was said to have increased by 40% since the beginning of this year and this had created an impact on the company's profit margin. — Bernama