THROUGHOUT the various editions of the Movement Control Order (MCO), there have been reports of the financial impact Covid-19 has had on people's lives. Overseas investments dipping, businesses shuttering or cutting costs, and people losing jobs or facing pay cuts.
Despite government incentives, many companies have had to offer discounts to boost business. And while there are sales and discounts on certain goods, it is not so with some essentials and food.
For instance, there have been complaints of price hikes of raw food items due to claims that the supply of, in particular, vegetables and fish, has fallen significantly.
Notwithstanding the government's assurances that food supply is sufficient, industries are essential services and therefore allowed to operate, and transportation is available for these items — prices continue to increase and, in certain places, they may go up as much as 100 per cent.
A visit to a wet market recently revealed that 1kg of mackerel costs up to RM20 (previously it was RM15). Chicken now sells for RM10 per kg, up from RM8, and cabbage costs double at RM8.
With Chinese New Year around the corner, prices of goods not controlled by the government are bound to go up further.
The price hikes, coupled with our current financial situation, is a terrible burden on the vast majority of Malaysians.
The government says action will be taken under the Price Control and Anti-Profiteering Regulations (Mechanism to Determine Unreasonably High Profits) 2018 if anyone is found to have indiscriminately raised prices.
More than 190 notices have been issued to business owners since the rollout of MCO 2.0. Still, prices are spiralling. Price hikes mean hardship for millions, especially poor urban consumers, who are net food buyers and easily victimised in the supply chain.
The government should heed calls to address the price hikes of essential goods, and enhance initiatives to monitor the cost of food items and other basic necessities.
A recent study on food prices in Malaysia by Picodi.com showed that they had increased by 6.35 per cent, yet the minimum wage at this time of Covid-19 remains unchanged.
What this means is that for ordinary Malaysians to survive, prices should align with the public's purchasing power. This Leader agrees.
The government may want to expand social protection programmes, like food or income transfers, and nutrition programmes for the poor and hardcore poor in urban and rural areas. Or, provide food vouchers.
These can cushion the effects of price increases. Another way is to stockpile essential food items — when market prices increase, the authorities can release them to the market.
Other things to consider would be the creation of storage facilities, cold chains and reforms in agricultural marketing at the state and national levels. Let's face it, Covid-19 will not likely go away anytime soon.
Some health experts have even said it will probably become endemic. Hence prices of goods, food and raw materials will continue to rise. The government, therefore, must act now to ensure the people are not burdened any more than they already are.