New Straits Times

HAMZAH: KR1M 2.0 WILL BE EXPANDED TO SUNDRY SHOPS

It will include sundry shop owners in its network, says minister

- FARAH ADILLA

KEDAI Rakyat 1Malaysia (KR1M) 2.0’s operations are set to expand even further with the inclusion of independen­t sundry shops as part of the government’s efforts to alleviate the high cost of living for the public.

Domestic Trade, Cooperativ­es and Consumeris­m Minister Datuk Seri Hamzah Zainudin said the move, which forms the third phase of KR1M 2.0, would be powered by the supply of goods by the Tunas Manja Group (TMG).

Hamzah said this was part of the government’s initiative to help small independen­t sundry shop owners boost their sales, as well as to add variety to a range of quality products at fair prices.

“We will not be hasty in ironing out an agreement with independen­t grocery shops to include them in the KR1M 2.0 network, as several factors need to be taken into account.

“The main factor will be TMG’s ability to absorb logistics costs into the supply chain so that the essential goods sold at these independen­t grocery shops are offered at fair prices.

“This forms the third phase of KR1M 2.0 after TMG and KK Mart, which utilise the supermarke­t and convenienc­e store concepts,” he said, adding that the initiative to expand the programme to sundry shops was in line with the ministry’s efforts to open 3,000 KR1M 2.0 outlets nationwide by 2020.

Present at the media briefing yesterday were Perbadanan Nasional Bhd (PNS) chairman Datuk Seri Syed Ali Syed Abbas Al-Habshee and chief executive officer Datuk Syed Kamarulzam­an Syed Zainol Khodki Shahabudin.

PNS is the main operator of KR1M 2.0. Besides TMG as the supermarke­t anchor, KK Super Mart is the convenienc­e store partner for the programme.

Hamzah said TMG had experience­d a seven per cent growth in sales to date since the launch of the programme on Feb 4.

TMG’s improved performanc­e in the short period of time, he said, was evidence that the programme was relevant and wellreceiv­ed by the rakyat.

“Since the launch of TMG as the anchor for the KR1M 2.0 programme, the supermarke­t operator has experience­d a significan­t growth in its sales numbers.

“We see the programme as being well-received by the rakyat, with its products priced affordably.”

Hamzah said KR1M 2.0 was a redevelopm­ent of KR1M, where its had been redesigned to be more open, competitiv­e and accommodat­e more retailers.

His comment came on the heels of KR1M’s previous operator Mydin Group managing director Datuk Dr Ameer Ali Mydin’s remark that the programme had caused a “massive loss of RM100 million” to the company.

The minister said statistics showed that Giant hypermarke­ts, which had been long-establishe­d in Malaysia, for example, had decided to close eight of its outlets but also opened a new one.

“I have spoken to the Giant management to ask about why they closed their outlets. The feedback I received was that it was related to a location management strategy, and not due to dwindling sales.”

 ?? PIC BY ROSELA ISMAIL ?? Domestic Trade, Cooperativ­es and Consumeris­m Minister Datuk Seri Hamzah Zainudin (right) checking Kedai Rakyat 1Malaysia 2.0 products at a media briefing at Perbadanan Nasional Bhd (PNS) in Bangsar South, Kuala Lumpur, yesterday. With him are PNS...
PIC BY ROSELA ISMAIL Domestic Trade, Cooperativ­es and Consumeris­m Minister Datuk Seri Hamzah Zainudin (right) checking Kedai Rakyat 1Malaysia 2.0 products at a media briefing at Perbadanan Nasional Bhd (PNS) in Bangsar South, Kuala Lumpur, yesterday. With him are PNS...
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