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Cooking Oil Smuggling

August 9, 2024

A foreign trader attempted to smuggle goods into Thailand using a tourist van to avoid detection, but Malaysian authorities saw through the ruse. They confiscated 60 kilograms of subsidized cooking oil found in the van, and the suspect is now in custody.

Perlis Padang Besar District Police Chief, Mohd Sukri, stated that the van driver, a 23-year-old trader, had bought 60 packets of various brands of subsidized cooking oil in Kedah, with plans to sell them for profit in Thailand.

The incident occurred on the morning of August 9th, when police conducted a routine inspection at the Immigration, Customs, and Quarantine Complex. They noticed a silver Toyota van with Thai registration, whose driver appeared nervous when stopped.

During the inspection, officers found seven plastic bags hidden in the back seats, filled with the cooking oil. The driver was unable to provide legal documents for the subsidized goods, leading to the seizure of the van and the cooking oil, which had a total value of RM90,168. The cooking oil itself was valued at RM150.

While the monetary value of the oil may seem small, Mohd Sukri pointed out that smuggling subsidized items can have serious economic consequences.

The police are investigating the case under Section 21 of the Control of Supplies Act 1961. If convicted, the trader could face a fine of up to RM1 million, up to three years in prison, or both.

Photo taken by Focusmalaysia

Malaysia subsidized cooking oil

The Government has increased the Cooking Oil Stabilization Scheme (COSS) budget to RM600 million this year to provide 1-kilogram polybags of cooking oil at RM2.50 each, helping to ease consumer costs. Minister Dato Sri Alexander Nanta Linggi assured that the quality of subsidized oil matches that of bottled versions. While unsubsidized bottled oil prices follow global market rates, consumers can choose between subsidized polybags or unsubsidized bottles. KPDNHEP is working to refine pricing and will act against price gouging, including setting maximum prices if needed.

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