According to a message from the Chairman of the Inflation Task Force, edible oil producers and retailers will need to reduce the price of edible oil once the price of crude palm oil falls to RM3,750 per metric tonne. The price of crude palm oil is now RM3,800 per metric tonne.
The Inflation Task Force and the relevant agencies will be discussing with the industry on the retail price mechanism for cooking oil. He pointed out that it would not be in the interest of either party to profit from high margins and that once the supply price is stabilised, the industry will need to cooperate in reducing the price.
The government abolished the subsidy on bottled pure palm cooking oil from July 1, which has caused the price of bottled pure palm cooking oil to increase by 44% since July 1. 1kg of pure palm cooking oil was previously RM6.70, while the new price is RM9.50.
The price for a 2kg bottle of pure palm cooking oil was previously RM12.70 sen and is now RM18. A 5kg bottle of pure palm cooking oil was previously RM29.70 sen and is now RM42.50 sen.
