Government Considers Removal of Packet Cooking Oil Subsidy to Curb Leakages.


KOTA BHARU: The government has discussed the issue of abolishing the packet cooking oil subsidy to address the problem of leakages, said Economy Minister Rafizi Ramli. He noted that if the subsidy is removed, it could pose certain risks, given the substantial expenditure the government has made on the cooking oil subsidy.

According to BERNAMA News Agency, Rafizi highlighted that similar challenges would arise whether subsidised cooking oil becomes scarce or ends up in Thailand. The matter falls under the jurisdiction of the Ministry of Domestic Trade and Cost of Living (KPDN) and has been deliberated multiple times at the Cabinet level. Rafizi shared these insights during a media conference after the Economy Ministry’s 13th Malaysia Plan (13MP) engagement session with the Kelantan government at Kompleks Kota Darulnaim.

Rafizi, who is also the Pandan Member of Parliament, indicated that the final decision awaits KPDN’s presentation to the Cabinet at an appropriate juncture. Currently, KPDN is reviewing optim
al ways to subsidise cooking oil while minimising leakages. Rafizi stated that his ministry will await the Cabinet’s presentation to determine if a more effective method exists.

Previous media reports suggested that the government has been advised to replace the packet cooking oil subsidy with financial aid targeted at specific groups to mitigate issues of misappropriation and leakage.

In a related development, Rafizi mentioned that all national border development projects in the northern states as well as Sabah and Sarawak are under scrutiny at the ministry’s level. The government is working on establishing a development format and model before any allocations are made. This approach aims to ensure that the development, including in Kelantan and other bordering states, is well-planned before determining the necessary allocations and implementation strategies.

Rafizi made these remarks following questions about a statement from Kelantan Menteri Besar Datuk Mohd Nassuruddin Daud regarding a proposed RM450 m
illion security and flood control wall along the Rantau Panjang-Sungai Golok border. On November 14, the Thai government expressed support for Kelantan’s proposal for the wall’s construction, seeing it as a vital measure against cross-border crimes.

Earlier, on November 5, the Kelantan government proposed to the federal government the construction of a 100-kilometre wall along the Malaysia-Thailand border in the state, citing its importance in combating smuggling and controlling floods.