People are in uproar over the fact that even though the prices of petrol and diesel have decreased, the prices of goods, on the other hand, have not.
We at the Consumers Association of Penang (CAP) can sympathise; after all we are also consumers and the cost of living has been steadily increasing.
It is also frustrating that no one is able give a clear reason as to why the prices of goods have not decreased.
One thing we know, for sure, is that this is probably the result of an interplay of many different factors that is keeping the prices of goods high.
Some of the factors that could possibly explain why the prices of goods have not decreased include:
1. It is a gradual process for the prices of goods to decrease. If the prices of goods were to suddenly drop, it would indicate that the prices of goods in Malaysia are not steady and that our economy is in danger.
2. The state of the Malaysian ringgit, and the fact that most of the goods sold in Malaysia are imported from other countries, are also reasons why the prices of goods are still high. Take into account that:
a. The Malaysian ringgit has weakened considerably.
b. We import most of our goods.
c. We pay for goods in US dollars.
d. The prices of goods in the world market have increased.
3. The middleman syndrome.
Bearing in mind these possible reasons, we would like to suggest a few things to all parties:
1. The public must exercise patience because indignant protests will get us nowhere. There is a bigger picture here and no one is trying to deliberately make your life more difficult.
2. Those selling goods, be it raw materials or finished products, should not be profiteering.
3. While the government cannot, and should not, arbitrarily decrease the prices of goods, it must call a meeting with the chambers of commerce, hawkers associations, restaurant associations and all the relevant transport associations to discuss this very crucial issue and come up with viable solutions. This way, manufacturers, retailers, food sellers, etc, can be directed to conduct their trade reasonably, responsibly and ethically.
4. Cut out the middleman. Especially so, since in our society, it won’t be middleman but middlemen. In the end, the consumer bears the brunt of this unnecessary middleman syndrome.
On another note, but one that is still very relevant to this issue, is that CAP is of the opinion that Malaysian produce (vegetables, fruits and grains) and livestock (chicken, goats, etc) should be banned from being exported.
Instead of focusing on the commercial profit of exporting these goods, we should be focusing on satisfying the local food demand.
CAP believes that if everyone can compromise and work towards reaching some middle ground, then we can survive these trying times and turn it into a win-win situation.
SM MOHAMED IDRIS is president of the Consumers Association of Penang.
