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Thursday, September 27, 2007

Food prices going up



Food prices going up

PETALING JAYA: The price of food in restaurants and hawker stalls has been on the rise since the salary increase for civil servants from July 1.

Many consumers say they were paying more for the same meals while restaurant owners and hawkers admit increasing prices by between 20sen and 50sen.

Those who have not increased prices are serving smaller portions of food.

The National Consumers Complaints Centre (NCCC) said it was receiving more complaints about the rising food prices.

NCCC director Darshan Singh said that even the prices of teh tarik, Milo and Nescafe had gone up by between 50sen and RM1.

Becoming expensive: many consumers have started paying more for the food as prices at restaurants and hawker stalls have been steadily increasing since July 1.
“We are receiving an average of 30 complaints a day from consumers on the higher price of food,” he added.

The NCCC works closely with the Domestic Trade and Consumer Affairs Ministry and forwards all complaints received to the enforcement division of the ministry.

The Consumers Association of Penang (CAP) said more enforcement was needed to rein in food prices.

“Clearly, many traders and restaurateurs are still not being kept in check. We have received many complaints,” CAP officer Uma Ramaswamy said.

She added that, in Penang, the food portions served had become smaller.

“Food prices, however, have in general only gone up by 10sen. But this (price increase) will continue if nothing is done.

“True, there is no law against increasing prices but the authorities should not just leave it at that,” she said.

Uma said CAP had also been encouraging the public to have more home-cooked meals to save money but this practice was troublesome for working couples.

Domestic Trade and Consumer Affairs Ministry’s enforcement (development) division deputy director-general Iskandar Halim Sulaiman said that under Ops Gaji, which started on May 21, the ministry had conducted 580,485 checks on grocery shops, restaurants and food outlets.

More than 130,000 compounds were issued and 550 restaurants hauled up for not adhering to their price list.

“So far, RM459,166 worth of goods have been seized and RM219,480 in compounds collected,” he added.

Those who have complaints about higher food prices and other essential items can call the enforcement division at 1800-886-800, SMS 32255 or e-mail e-aduan@kpdnhep.gov.my





Food sellers: Cost of ingredients eating into profits

PETALING JAYA: Hawkers, petty traders and mamak restaurant owners lament the higher cost of ingredients as well as intense competition which they say are making a dent on their profits.

While most traders and restaurant owners said they were absorbing the increase in expenditure, some stall owners had passed on the cost to consumers.

Federation of Hawkers and Petty Traders Associations of Malaysia president Datuk Ghai Soo Ming said many ingredients had become more expensive.

“Business is tough. If a trader simply increases the price, customers run away. For traders who really cannot make ends meet, it is advisable to keep the increase low,” he said.

Restaurant owner, J. Selva, said wholesalers had raised prices but they were within the ceiling prices set by the Government.

“But at the end of the day, restaurant owners like me still have to pay more for the foodstuff,” he added.

Selva said that some restaurants had increased the prices of drinks.

“Take Milo for instance. I pay about RM14 for 1kg of Milo. For a good-tasting cup, you can only make about 15 glasses for every kilo of Milo. I also need to use two tins of condensed milk, which costs RM4.80 for both.

“So, my cost for the 15 glasses of Milo is RM18.80. I sell it at RM1.50 each, which works out to a total of RM22.50. That means my profit is RM3.70.

“But then we have not taken into consideration the cost of gas for boiling the water, electricity bill, rental and also workers’ salaries,” he said.

A chap fun (rice and pre-cooked dishes) seller in SS2 here said he now charged 20sen more per plate of food.

“However, I do not charge my regular customers extra because I want them to continue patronising my stall.”




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