Malaysia

Sugar price up 20 sen tomorrow

May 09, 2011

Datuk Seri Idris Jala’s Pemandu agency said last year that subsidy cuts were needed to bring down government expenditure. — file picDatuk Seri Idris Jala’s Pemandu agency said last year that subsidy cuts were needed to bring down government expenditure. — file picKUALA LUMPUR, May 9 — The price of sugar will be raised by 20 sen to RM2.30 effective at midnight.

This follows a previous increase in December last year, which saw the price being raised by a similar amount.

The increase is part of the government’s concerted subsidy cuts first announced on July 16 last year, when prices went up by five sen per litre for petrol and diesel, 10 sen per kg for LPG and 20 sen per kg for sugar.

It also comes after the price of RON97 petrol was increased by 20 sen last week. RON97 is, however, not subsidised and its price determined by a managed float.

Last week, the United Nations released a survey projecting a moderate slide in economic growth for Malaysia this year due to rising food and fuel prices, which economists predicted would be further hampered by the government’s lack of political will for reforms.