Licences of subsidised cooking oil companies involved in misappropriation to be revoked
10/03/2024 (The Star Online), Papar - The Domestic Trade and Cost of Living Ministry will revoke the licenses of subsidised cooking oil packaging companies found to be involved in the misappropriation of the essential item, says its minister, Datuk Armizan Mohd Ali.
He said the ministry has identified several companies involved in the illegal distribution of cooking oil, including selling it to industries instead of retailers for consumer use as well as selling it to neighbouring countries.
"We will announce the total (number of companies involved in misappropriation and leakages related to subsidized cooking oil packaging) after March, as there are some states where audits have yet to be completed," he told reporters after launching the Rahmah Sales Programme in Kinarut on Sunday (March 10).
Armizan said the ministry is serious about ensuring that no subsidised cooking oil packaging company continues to sabotage the government's well-intentioned programme to assist targeted groups in obtaining the essential item at an affordable price in the market.
"Any party found involved in misappropriation and leakages will face immediate action, including legal action," he said, adding that subsidised cooking oil packaging companies in Sabah are not exempt from facing strict action.
Armizan said the ministry would also improve the Cooking Oil Price Stabilisation Scheme (eCoss) system to monitor the distribution process of subsidised cooking oil packets from packaging companies to retailers.
He said last year, the government spent RM1.5bil to subsidize a total of 60 million packages of cooking oil in the market.
In Sabah, Armizan said, his ministry would continue to strengthen cooperation with various parties at the state level to ensure that subsidised cooking oil packaging companies could distribute supplies to all district in need.
He said that 90% of subsidised cooking oil packaging companies were appointed on the east coast of Sabah, including Sandakan, Tawau, and Semporna, while only 10% were on the west coast of the state.