Mamak Restaurants Hike Prices Despite Zero GST

Mamak Restaurants Hike Prices Despite Zero GST

Despite the Goods and Services Tax (GST) being zero-rated since June 1, 30% of mamak restaurants are still found to be raising their food prices, says the Domestic Trade and Consumer Affairs Ministry.

“We found that the food prices at 30% of the mamak restaurants had been increased while another 70% had decreased.

“So we are now actively identifying restaurants that are still stubborn not to lower food prices,” he said, as reported by an English daily.

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The overall price drop was only between 0.04% and 13%, which is the reason why people are not feeling the impact of the zero-rated GST, he added.

The above percentages were based on the findings of a survey, conducted over 35 days from June 1, covering 417 items used by consumers, among others, wet and dry items as well as infant essential items.

“In fact, there is no increase in prices. The price drop is too small that it hardly reached 30% to 40%.” said Saifuddin.

[Source 1, Source 2]

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