Thursday October 16, 2008

High food prices hard to digest

PETALING JAYA: Consumers have complained that food prices remain high despite cheaper petrol.

Housewife Tham Anna, 39, said that coffeeshops had, instead, in- creased food prices and reduced portions too.

The mother of one now eats out less as a result.

From a high of RM2.70 a litre in June, petrol price went down to RM2.55 in August with further reduction to RM2.45 in September and RM2.30 yesterday.

Cleaner P. Ranee, 46, said a small piece of fish cost RM3 or RM3.50 and is too expensive for her.

“I eat out during lunch and I eat only bread for dinner,” said the single mother who earns RM540 a month of which RM200 is spent on food.

The rest goes to transportation and her son’s tuition fees.

Federation of Livestock Farmers’ Association Malaysia president Lee Ah Fatt said while prices of food generally depended on market demand, lower transport cost could reduce the cost of raw meat and vegetables, but it was not so.

“Transport operators say they had not increased transport cost much to begin with,” he said.

Consumers Association of Penang (CAP) president S.M. Mohamed Idris said the benefit of the reduced fuel prices should trickle down to consumers.

“Those in the transport industry say they can’t reduce their prices because everything else has gone up but it’s a chicken and egg situation,” he said.

Federation of Malaysian Consu- mers Associations secretary-general Muhammad Sha’ani Abdullah said he did not expect food prices to go down and the Government should step up efforts to increase the purchasing power of the poor.