Around the world, sugar is one of the most heavily subsidised commodities. Eighty percentage of foreign sugar market prices are subsidised by their respective governments to match the price of sugar in the US, a value that is lower than production costs for sugar in those countries.

Sugar is expected to be in short supply worldwide this year because of erratic weather patterns, which disrupt production. Even though the Malaysian government asserted that there is enough supply of sugar, consumers in Malaysia are already thronging hypermarkets and supermarkets to get their supply of sugar.

Most small shops and convenience stores are running low on stocks. With the festive season approaching, demand will be on the rise and will definitely affect market stability, despite the authorities' promise to keep prices stable.

According to the Ministry of Domestic Trade, Cooperatives and Consumerism, one of the main causes of the current local sugar shortage is refineries cutting back production after over selling the commodity in the first six months of this year.

Unlike coarse sugar, refined sugar is not under the list of controlled items because it is mainly used to make cakes and bakeries. Since the price of refined sugar is not under the control of the government, producers could choose to increase production, leaving the production of coarse sugar low, resulting in artificial shortage.

The four major sugar producers in Peninsular Malaysia had deliberately produced more refined sugar to create an artificial shortage of coarse sugar in the country for their own benefit.

As part of the immediate measures to solve the problems extensive inspections should also be conducted to catch profiteers, greater enforcement at the border to discourage smugglers, and a campaign to encourage Malaysians to live a healthier lifestyle by consuming less sugar.

Other than that, the government should cancel the permits of errant manufacturers, wholesalers and suppliers and blacklist them as a deterrent to ensure that there will be no shortage of not only sugar but also other essential goods in view of the approaching festive season.

The public must also cooperate by reducing the intake of sugar, preventing wastage, and reporting those who hoard or smuggle sugar. Sugar consumption can be expected to continue its upward trend in Malaysia, reflecting population and income growth.

To meet domestic needs, Malaysia is likely to increase raw sugar imports, and inevitably place a heavier reliance on the global market.

To ensure future sustainability of sugar supplies in the domestic market, the government, producers, and consumers must play their respective roles earnestly; otherwise such problems will imminently resurface every year particularly during festive seasons.