What are the effects of the cooking oil subsidy removal? What can you do about the upcoming cooking oil subsidy removal?
Why the Subsidy Removal?
Official reason from Second Finance Minister Johari Abdul Ghan is to control losses due to export sales
Another major reason is to reduce government spending on subsidies
Last price increase was 10 years ago; Cooking oil prices have been one of the lowest in the region
Subsidy Removal Schedule
- Nov 1, 2016: Removal subsidies for all cooking oil except for refined palm oil 1kg poly bag & 5kg bottle
- Refined palm oil 1kg poly bag: subsidized but ceiling price increased to 2.90 (+16.0%; +0.40)
- Refined palm oil 5kg bottle: subsidized but ceiling price increased to 15.25 (+14.2%; +1.90)
- Jan 1, 2017: Removal all remaining cooking oil subsidies except for refined palm oil 1kg poly bag
- Refined palm oil 1kg poly bag: subsidized but new ceiling price TBC
Suggestions & Solutions
- Cook using an air fryer: no oil, less mess, grill, bake & roasts too
Cost: 200 – 1k++
- Cook without oil using nonstick pots & pans (good-quality teflon, stainless steel, enamel-coated cast iron or ceramic titanium)
- Take a stand against hawkers who indiscriminately raise prices using the cooking oil price increase as an excuse (OR reuse blackish cooking oil even more times now… uggh)
What is cakoi? (Food item highlighted as price increase)
Youtiao aka Yao char kuai (oily ghost) or Chinese cruller 😛
Discuss & share on the cooking oil subsidy removal
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