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Malaysian subsidised cooking oil continues to flow into Thailand

SONGKHLA: The smuggling of subsidised 1kg cooking oil continues unabated, and remains widely available in Thailand.

This ongoing leakage has made it difficult for Malaysians, especially those from the B40 group, to access this product which is priced at RM2.50.

Harian Metro previously highlighted the issue in a series of reports in 2019, but the problem remains rampant.

Recently, they sought to expose the smuggling of 1kg cooking oil polybags through a four-day investigation in Thailand, visiting Sadoa town, Hat Yai, Songkhla, Pattani, and Yala before concluding in Betong.

Posing as buyers, the reporters visited over 50 stalls, grocery stores, and supermarkets along the route starting from the Bukit Kayu Hitam border in Kedah.

During their journey, the reporters found and collected 12 different brands of Malaysian subsidised cooking oil being sold in local markets.

On the first day at a market in Danok, the reporters found three grocery stores selling subsidised 1kg cooking oil polybags.

The cooking oil bore a label stating "for domestic use only," along with the name of the packaging company located in Kedah, indicating that it was a subsidised good priced at RM2.50.

Two other stores were also found selling two different brands of 1kg cooking oil polybags openly.

The reporters purchased three types of cooking oil - brands A, B, and C - from Malaysia, sold at prices ranging from 37 Baht (RM4.80) to 40 Baht (RM5.20) per bag.

Continuing along a 13-km route towards Sadao, they discovered two other brands of cooking oil sold openly at four stalls and grocery stores located in Khlong Ngae Market, Sadao.

They also found subsidised cooking oil sold openly in a market in Kim Yong, Hat Yai.

One trader admitted that the Malaysian subsidised cooking oil packages were popular and well-received among Thais due to their lower price and clear appearance.

On the third day, the reporters continued their investigation around Chaimongkol, Songkhla, and the municipal market in Pattani before proceeding to Ban Ka Sot in Yala.

In Ban Ka Sot, they also found subsidised RON95 petrol from Malaysia sold on the roadside at 33 Baht per litre (RM4.15), significantly lower than the local petrol price of around 42 Baht (RM5.36) at gas stations.

The roadside trader was seen filling petrol into drink bottles, which were then placed on wooden stands to attract the attention of passersby.

The reporters concluded their journey in Betong, where they found two more brands of cooking oil sold near Tano Maero and the Betong district municipality fresh market.

Their findings revealed that most premises selling Malaysian subsidised cooking oil include grocery stores, kitchen goods shops, and kiosks in wet markets, and the product was still being smuggled on a large scale despite various preventive measures taken by the Domestic Trade and Cost of Living Ministry.

Their findings also raise the question of whether the manufacturers and packagers of this subsidised cooking oil are complicit in the smuggling, given that the reporters found 12 different brands from 12 different factories located in five states.

A Malaysian trader in Betong, who only wanted to be known as Rosli, 50, said the smuggling of subsidised cooking oil has persisted for over a decade and was difficult to control. 

"Malaysian subsidised cooking oil is the most sought-after item compared to other subsidised goods like sugar and petrol. Almost all grocery stores here, including those outside town, sell it," he said.

Rosli noted that smugglers have their methods to bypass border controls, sometimes hiding oil among other exports.

He said their operations extend beyond Betong to areas like Narathiwat and Sungai Golok.

He pointed out that the price of 1kg polybags of subsidised cooking oil has dropped from 55 Baht (RM7) two years ago to around 37 Baht (RM4.70).

He said the cooking oil was consistently available and cheaper than bottled Thai oil.

"Thais prefer Malaysian cooking oil because it's economical, with no purchase limits," he added.

Fatima Abdulrohman, a Thai restaurant owner, confirmed that several suppliers provide her with boxes of Malaysian cooking oil as needed, delivered by van or pickup truck.

"I buy each package for 35 Baht (RM4.30) in bulk, which is cheaper than retail prices," she said.

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