The government will allocate RM500 million to uniform prices of goods in Sabah, Sarawak, Labuan, said Armizan

KUALA LUMPUR: The government is allocating up to RM500 million this year to continue subsidizing certain food items for Sabah, Sarawak and Labuan in an effort to standardize the prices of goods between the peninsula and the three regions concerned.

According to Berita Harian, the Minister of Domestic Trade and Cost of Living (KPDN), Datuk Armizan Mohd Ali, said that an allocation of RM3.6 billion was also provided to enable the people in Sabah, Sarawak and Labuan to have access to diesel supplies at subsidized prices.

“The issue of significant differences in the price of goods between regions is one of the factors in the government’s consideration of continuing the existing method of providing diesel subsidies at petrol stations and diesel subsidies for fishermen, which involves an estimated allocation of RM3.6 billion for this year for Sabah, Sarawak and Labuan. .

“The government will also continue to provide certain food subsidies for Sabah, Sarawak and Labuan. For example, the provision of egg subsidy assistance involved an allocation of RM96 million for last year.

“Similarly, taking into account the very limited supply of local rice in the market in Sabah, Sarawak and Labuan, the government provides subsidies for imported rice with an allocation of RM92.84 million for 2023, which is for the period from October to December. In 2024, it is expected that this allocation reaching up to RM500 million,” he said in response to a question from Lo Su Fui (PH-Tawau) during the oral answer session at the Dewan Rakyat today.

He said the government also established a Price Stabilization Committee in Sabah, Sarawak, and Labuan, which was placed under the National Livelihood Action Council (NACCOL).

He said, the role of this committee is to examine issues, challenges and carry out studies related to the problem of the price of goods and services in Sabah, Sarawak and Labuan.

“This committee is responsible for devising strategies and mechanisms to stabilize prices more sustainably in the region. In addition to ministries and federal agencies, this committee is also made up of representatives from the state governments of Sabah, Sarawak and the Federal Territory of Labuan.

“Through this committee, a comprehensive study of price stabilization starting last May is being carried out by Universiti Malaysia Sabah (UMS) and Universiti Malaysia Sarawak (UNIMAS) to identify the issues and problems of price disparity and then submit related recommendations and suggestions,” he said.

Meanwhile, Armizan said the government is committed to dealing with the issue of smuggling of essential goods, especially involving controlled and subsidized goods, especially at the national borders including Sabah and Sarawak.

“Strategies and mechanisms implemented in dealing with the issue of smuggling in Tawau and Sabah include aspects of monitoring and enforcement, integrated operations involving all relevant agencies, auditing and monitoring, risk management of smuggling through intelligence and strengthening of guidelines and community advocacy.

“KPDN also expects the cooperation of the public to channel complaints and information regarding the smuggling of controlled goods,” he said.