Two traders associations said it was difficult to follow the government directive to reduce the price of goods following the drop in fuel prices.
Malaysian Indian Textiles and General Goods Traders Association (Mita) and the Muslim Restaurant Operators Association (Presma) said the reduction in fuel prices had no significant impact on their businesses.
Mita secretary R Maheswary said the depreciation of the ringgit had affected their business since most of the supply was obtained from wholesalers abroad.
“We cannot lower the price of goods because of additional cost of capital due to the higher US dollar,” he added.
Domestic Trade, Cooperatives and Consumerism Minister Hamzah Zainuddin had warned traders to reduce the price of goods in line with the drop in fuel prices for September.
Yesterday, the price of RON95 and RON97 petrol dropped by 10 sen per litre to RM1.95 and RM2.35 respectively, while the diesel price fell by 15 sen per litre to RM1.80.
Hamzah gave the traders one week to lower the price of goods or face action under the Price Control and Anti-Profiteering Act 2011.
Presma president Noorul Hassan Saul said it was not easy for his members to reduce the price of food products.
“We import spices from abroad to ensure quality and suffer due to the depreciation of the ringgit. As such, how can we reduce prices?” he asked.
Meanwhile, Muslim Consumers Association of Malaysia (PPIM) chief activist Nadzim Johan said it was difficult to get the traders to reduce prices.
“What the government can do is to act against traders who committed offences under the Price Control and Anti-Profiteering Act 2011.
“The business community will no longer take this issue lightly if this Act is enforced more strictly,” he added.