Fahmi: Domestic Trade actively working to prevent profiteering after SST expansion
Government spokesman Datuk Fahmi Fadzil said this was being done under an operation condenamed Op Kesan 4.0.
"The public is encouraged to stay alert and lodge complaints about any instances of unreasonable price hikes at business premises by contacting the ministry's hotline.
"Such complaints will enable authorities to swiftly identify the businesses involved and take appropriate enforcement actions," he said.
Fahmi said this during his weekly post-cabinet meeting media briefing.
On another matter, he said the cabinet has told the Health Ministry to monitor the weather conditions closely and issue appropriate announcements based on the situations.
This, he said, was because of the ongoing southwest monsoon which led to dry and hot weather conditions nationwide.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Borneo Post
40 minutes ago
- Borneo Post
Sheda advisor: Developers brace for higher costs as SST expansion hits Sarawak's construction sector
Dato Sim Kiang Chiok KUCHING (July 3): Sarawak developers are already experiencing noticeable cost increases across the property and construction sector following the introduction of the expanded Sales and Services Tax (SST). The expanded SST, implemented on July 1, 2025, broadened the sales tax to include a wide range of goods—such as over 240 steel-related products and industrial machinery—and extended the service tax to several new sectors, including six per cent to non-residential construction services. In a statement, Sarawak Housing and Real Estate Developers' Association (Sheda) advisor Dato Sim Kiang Chiok, highlighted that the costs have risen for both building materials and construction services provided by subcontractors. He lamented that the property and construction sector is currently going through 'profound challenges' stemming not only from the expanded SST but also from the mandatory e-invoicing system. Sim, who is also Sarawak United People's Party Stakan chairman, explained that the e-invoicing requirement introduces additional layers of administrative work for property and construction companies. It requires an investment of time and resources in updating accounting systems and staff training to ensure seamless integration of e-invoices with their financial records. Sim added that the combination of the expanded SST and e-invoicing mirrors the previous Goods and Services Tax (GST) system, but with increased complexity and the potential for double taxation. 'Unlike GST, SST does not provide tax credits along the supply chain, which opens the possibility of double taxation at multiple stages and increases the final cost borne by the consumers without clear visibility of tax components in pricing,' he shared. 'This lack of transparency means buyers cannot see where taxes are applied, creating confusion and undermining the efficiency such systems aim to achieve,' he stressed. While the e-invoicing system may improve overall record-keeping and tax compliance, Sim argues that these measures alone will drive construction costs higher, eventually contributing to increased property prices and a higher cost of living. Additionally, compliance and operational costs are expected to rise further with the upcoming mandatory Employees Provident Fund (EPF) contributions for foreign workers. Starting in October 2025, foreign workers in Malaysia will be required to contribute two per cent of their monthly wages to the EPF, with employers contributing an additional two per cent. 'These additional costs inevitably impact our budgeting processes, forcing developers to adjust tender pricing upwards to maintain profitability,' he stressed. He cautioned that without targeted support from the government, these cumulative changes could stifle industry growth and place significant strain on both companies and consumers. lead Sales and Services Tax Sheda Sim Kiang Chiok
The Sun
an hour ago
- The Sun
The high cost of eating well
AS the cost of living continues to rise in Malaysia, driven in part by the Sales and Service Tax (SST), more families will find it harder to put nutritious food on the table. While SST may not apply to all food products, its indirect effect through higher transport, service and business operation costs will push up prices of most food items, including fresh vegetables, fruits and basic groceries. Notably, tropical fruits like bananas, pineapples and rambutans will be taxed at 5%, along with imported fruits such as grapes, berries, avocados, lychees and starfruit. These are not luxury items; they are daily dietary staples for millions of urban Malaysians, providing essential nutrients like fibre, vitamin C, antioxidants and healthy fats. In many cases, these imported fruits cannot be produced locally at a sufficient scale, making them irreplaceable within the current food system. What used to be an affordable balanced meal will now become a budgeting challenge. Families from all walks of life and across all income levels now have to prioritise affordability over nutrition. While economic policies aim to boost national revenue, their ripple effects will be deeply felt in household kitchens where meals will increasingly be shaped by price rather than nutritional value. This shift is understandable but will come at a cost to our health. Middle-income families are also struggling to stretch their budgets, opting for quantity over quality to feed their households. This growing 'health affordability gap' is dangerous. It can lead to a population that is fed but undernourished. This issue ties closely to dietary inequality where socioeconomic status, lifestyle, geography and systemic access will determine not just how much food people can buy but the quality of that food. Today's dietary patterns are increasingly unsafe, unstable and unequal, especially for a significant portion of the population. When good nutrition becomes inaccessible, the consequences will be felt across the entire nation. This dietary shift will drive a surge in malnutrition and rising obesity rates, especially among urban low-income communities where access to fresh, healthy food is limited. Poor diets compromise immune function, leading to more sick days and reduced workplace productivity. This will place a heavier burden on the national healthcare system. For children, the effects can be more severe – ranging from stunted growth, reduced cognitive performance to long-term health complications. If this issue remains unaddressed, the gap between those who can afford to eat well and those who cannot will continue to widen, posing a serious threat not only to individual well-being but also to Malaysia's social stability, economic resilience and long-term development. If no measures are taken, the post-SST future may bring: Increased demand for public healthcare due to a rise in diet-related illnesses; Greater strain on school feeding programmes as more children arrive undernourished; and Widening social gaps between families who can afford balanced meals and those who cannot. Good nutrition is a right and necessity The government should zero-rate SST for essential nutritious items, including imported fruits. Fruits are a vital daily source of vitamin and fibre, and access to them should not be limited by income level. Nutritional equity must go beyond borders – good health should not depend on whether a fruit is grown locally or imported. Additionally, supermarkets and grocers should be encouraged to offer rotational weekly discounts on local and commonly imported fruits under a 'Healthy Fruit for All' initiative, making nutritious choices more accessible to everyone. Many urban families rely on promotions to guide their purchasing decisions. Clearly labelled discounts on local and essential food items can improve affordability and encourage healthier eating habits. Good nutrition is not a luxury; it is a fundamental right that must be protected through inclusive policies and practical, accessible solutions. The SST rollout may be necessary for economic sustainability but nutrition must not become collateral damage. Without intervention, we risk reversing progress on Sustainable Development Goals related to health, hunger and inequality. Every action we take now will determine whether Malaysia remains on track towards the 2030 agenda for Sustainable Development or fall into a nutrition divide that will harm generations to come. Let us ensure that the right to eat well does not become a privilege. A healthy Malaysia begins with affordable nutrition for all. Dr Salini Devi Rajendran is a senior lecturer at Taylor's Culinary Institute, Faculty of Social Sciences and Leisure Management, Taylor's University. Comments: letters@
New Straits Times
3 hours ago
- New Straits Times
Utilities, energy sectors outperform Bursa Malaysia in June
KUALA LUMPUR: Investors turned to defensive sectors in June, with utilities and energy leading Bursa Malaysia's performance for the month, according to CIMB Securities. In its June 2025 monthly wrap note, the research firm said the gains were supported by institutional interest and selective foreign inflows. The utilities index rose 4.3 per cent month-on-month, while the energy index climbed 3.8 per cent far outperforming the benchmark FTSE Bursa Malaysia KLCI, which gained 1.6 per cent during the same period. "Utilities was the top performer month-on-month, followed by the energy sector," it said. Local institutional investors were the largest net buyers of utility stocks in June, with inflows totalling RM545.9 million. Foreign investors also recorded net buying of RM52.5 million, while retail and nominee investors were net sellers in the sector. The sectoral trend comes amid concerns over earnings risks from the expanded Sales and Service Tax (SST), heightened geopolitical tensions earlier in the month and the looming risk of a United States tariff decision. "We expect the market to remain range-bound in the near term owing to concerns over potential earnings risks from the expanded SST and uncertainty surrounding the US tariff outcome on July 9," CIMB Securities said.
