KOTA BHARU: The surge in cooking oil price in Thailand to RM8 per kg compared to the subsidised price of RM2.50 per kg here, has perpetuated the smuggling of the product.
Ministry of Domestic Trade and Cost of Living (KPDN), state director, Azman Ismail, noted that aside from the price factor, the majority of residents in Southern Thailand, particularly in Narathiwat, have greater confidence in the halal status of Malaysian cooking oil.
“Thai cooking oil is made from corn and priced up to three times higher than Malaysian cooking oil, which is derived from palm oil.
“Malaysian cooking oil smuggled into Thailand is sold between RM4.50 to RM5,” he said during a press conference after opening the Jualan Ihsan RAHMAH Madani in collaboration with Aggressive Transasia Group Holding Sdn Bhd (ATH Group) today.
He explained that the high prices indicate that smugglers can reap significant profits, especially from Muslim residents in Thailand.
Also present at the event was ATH Group director Norlisan Ramzai, who offered home construction packages at RAHMAH prices to support the Unity Government’s agenda for low-income groups (B40).
Azman highlighted that cooking oil smuggling at the border has decreased significantly due to strong collaboration with the Royal Malaysian Customs Department, the Malaysian Armed Forces, and the Marine Police.
“We now find that cooking oil smuggling occurs on a much smaller scale, with only about 10 to 15 boxes being smuggled, compared to previous instances involving entire trailers.
“The KPDN, along with other agencies, will continue to conduct extensive joint operations to curb the leakage of subsidised controlled goods to neighbouring countries, which ultimately leads to a loss of revenue for the government,” he emphasised.
In a related development, Azman reported that from January to August, 180 individuals were arrested, leading to the seizure of controlled goods—including petrol, diesel, sugar, and cooking oil—valued at RM451,378.
