‘Don’t raise old stock prices as SST takes effect’
KOTA KINABALU: Kota Kinabalu Chinese Chamber of Commerce and Industry ( KKCCCI) president Datuk Michael Lui yesterday urged businesses not to raise their prices on their old stocks as the Sales and Services Tax ( SST) came into effect on Sept 1.
Lui, who is also the managing director of fast moving consumer goods ( FMCG) trading company, Syarikat Lui Kim Chock Sdn Bhd, said his company was still selling existing stocks at old prices to retailers.
He said the existing stocks at his warehouse could normally last between one to one and a half months.
“Unless manufacturers are willing to absorb the cost of SST, we may have to adjust our prices for the next batch of goods,” he said when contacted yesterday.
He expected retail prices to rise sometime at the end of September.
For the time being, Lui hoped that businesses selling existing stocks would maintain their prices, adding that the Ministry of Domestic Trade, Co- operatives and Consumerism ( KPDNKK) had also warned traders against raising their prices indiscriminately as SST took effect.
Apart from the SST, Lui said the weak Malaysian Ringgit against US dollar would also affect the price of raw materials and imported products such as chocolate, sugar, chocolate and milk powder.
Meanwhile, Pick N Pay managing director John Chong said there was no price adjustment at the supermarkets for now.
“We are still selling old stocks; therefore our prices remain the same since August.”
However, he said the supermarket might adjust their prices for their next batch of goods as the costs would have increased due to the imposition of SST.