Study needed to avoid abuse by suppliers, says Fomca

Paul-Selvaraj-fomcaPETALING JAYA: The government should perform an in-depth study on the supply chain process to the retail side to ensure that benefits apply to both suppliers and consumers.

Federation of Malaysian Consumers Associations (Fomca) chief executive officer Paul Selvaraj said the government had already set up an independent body to enforce the Competition Act 2010, adding that it should be fully utilised.

“We have the competition law. We have the Malaysia Competition Commission (MyCC), so if the body can use that law and perform an in-depth market analysis of the whole supply chain, and if there are any companies that do not adhere to the law, they can take action,” he said.

Selvaraj was commenting on Rafizi Ramli’s statement on amendments to the Price Control and Anti-Profiteering Act in the Dewan Rakyat yesterday.

Rafizi, who is Pandan MP, had said the amendment would not be able to curb any increase in the cost of goods.

The PKR vice-president said this was because the amendment was not looking at the real issues with the price increase starting from the supply side, and not retail.

Selvaraj said the issue of profiteering among suppliers should also be highlighted as it would burden consumers and encourage bad business ethics.

“We’ve always requested that the government perform market analysis, especially on food items. This is because these are basic items and people are suffering because of the price increase,” he said.

Another consumer group, the Muslim Consumers Association of Malaysia (PPIM), said aside from in-depth studies and market analysis programmes, consumers themselves need to be educated so that they will not be “bullied” by businesses.

“If we see businesses bullying by keeping the prices up on some items, boycott them. Do not let them bully you again and again,” PPIM chief activist Nadzim Johan said to FMT.

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