PETALING JAYA: Some Malaysians may have rushed to stock up on essential items due to the movement control order (MCO) but the average prices of many goods have remained stable so far, according to figures from the Statistics Department.

Each month the department releases Consumer Price Index (CPI) figures and related data which includes among others a list of the average prices of 100 items ranging from raw food to household appliances.

An analysis of the figures for March shows no major increases in average prices compared to the previous months, with 53 items on the list recording slightly lower average prices.

The MCO started on March 18 and has since been extended three times. The fourth phase, which starts on April 29, will end on May 12.

Amid reported shortages of certain items such as bread and toilet paper which is said to be due to panic buying, other items namely fish, seafood and vegetables saw a drop of between 20 sen to RM1.00 in average prices per kg.

Distribution problems and declining demand are among the likely reasons explaining the drop in prices for fresh produce, says Sunway University economics professor Dr Yeah Kim Leng.

“Because of the MCO, many farmers and middlemen have not been able to deliver the items to market and end up with excess stocks that they have to sell at very cheap prices to minimise losses, ” said Yeah

The MCO also means that fewer people are going out and those that do buy their supplies less frequently.

Because of this, Yeah reckons that some people may prefer to buy more processed food which lasts longer.

The department’s March CPI for “Food at Home” recorded a 0.2% decrease from the previous month, with vegetables (-1.6%) and fish and seafood (-1.0%) among the biggest contributor to the index.

https://www.thestar.com.my/news/nation/2020/04/28/have-prices-of-essential-items-gone-up-or-down-during-the-mco-find-out-here