speak up!
Pandora’s box
We are paying for policies of
the past which in most cases
have only gone towards en-
riching industry players at
the cost of lethargic consum-
ers, ignorant of their rights
and indifferent to care.
of subsidies
Why must rice come only
from Bernas? Why must one
company monopolise the
distribution of medical sup-
plies and pharmaceuticals
to government hospitals?
SUBSIDY. To of everything Why must a popular pain-
industries it is you put in your killer cost 20 sen more, just
manna from mouth is made because a company was
heaven as they up of one, two awarded the contract to
have an injection or all of these place “security seals” on all
of funds to ensure items – noodles, medicines?
their profits are pastries, breads, Why should the interest
not compromised etc. rates for a Proton or Perodua
in social efforts Moreover to – supposedly cars meant for
to reduce the bake bread, you the masses – cost 2% more
financial burden need flour and than an imported model?
on the people. To Down2Earth at times sugar Why must the same fellow
the consumers, as well, so do who operates the feedmills
by Terence Fernandez
it means that not be surprised also run chicken farms?
they pay a lot if the cost of a On Saturday, B. Braun
less for certain regular loaf rises president Dieter Gemmer
essentials. more than others. said the company was
To the government, But the question to be considering moving its
though it is akin to a dirty posed to the government is pharmaceutical operations
word, as more subsidies this: That by opening up the from Penang to Indonesia
mean less money for its cof- industry to market forces, as it could not compete ef-
fers. The oft-stated mantra are we jumping from the fectively in an environment
of the administration when frying pan into the fire? where it needs to deal with
pulling back subsidies is This is because with only middlemen.
“we need to channel the a handful of hand-picked If the Germans were to
money for better use in players in the market, this flee, it would mean losing
development projects”. could spell a recipe for RM65 million in investments
Critics of the way our disaster. There are 11 flour and 500 jobs. But even more
economy is handled have mills in the country. What if profound is that Gemmer’s
often said that if we manage there is a consensus among frustration echoes those
our resources and wealth them to hike the price? The of millions of Malaysians
well, there will be enough same with sugar. By award- who have to fork out more
for everyone and Malay- ing the monopoly to just two money due to policies that
sians may not even have to players, consumers will be benefit a handful.
pay taxes. at the mercy of the four re- Back to the issue of
That view may be a little fineries to dictate how sweet subsidies, while the govern-
too out of the park for me, consumers can afford their ment may have very valid
but I do believe that the cost coffee to be. reasons to remove them, one
of living would be more While one can look for cannot blame the people for
manageable if certain poli- alternatives to the standard being sceptical as they have
cies are reviewed. loaf which can cost as little too often witnessed and ex-
We ran a front-page as RM1.60 from micro- perienced policies that are
report yesterday on the bakeries and mum-and-pop selective with regards to the
removal of subsidies for shops, can the government end beneficiaries.
standard loaf bread, sugar guarantee that it can cap
and processed flour. the price of flour and sugar
This would mean we at reasonable rates? If that’s Terence says all policies
will be paying at least 22 sen the case, then it would should have the people at
more for a loaf of Gardenia, negate the government’s heart. He is deputy editor
60 sen more for sugar and intention to allow market (special reports & investiga-
65 sen extra for flour. forces to dictate the price of tions) at theSun and can be
The effect of this would these goods? reached at terence@thesun-
be colossal as more than half Herein lies the problem. daily.com
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