{"id":68598,"date":"2025-08-05T17:08:04","date_gmt":"2025-08-05T09:08:04","guid":{"rendered":"https:\/\/www.imoney.my\/articles\/?p=68598"},"modified":"2025-08-05T17:08:04","modified_gmt":"2025-08-05T09:08:04","slug":"malaysias-food-inflation","status":"publish","type":"post","link":"https:\/\/www.imoney.my\/articles\/malaysias-food-inflation","title":{"rendered":"Is Malaysia\u2019s Food Inflation Worse Than You Think?"},"content":{"rendered":"

These days, Malaysians are increasingly wondering if food inflation is worse than they think. Official figures suggest modest rises but dig deeper and you\u2019ll uncover how rising food prices bite into household budgets and push up the real cost of living.<\/span><\/p>\n

According to the Department of Statistics Malaysia (DoSM), <\/span>Malaysia\u2019s headline inflation in June 2025 was just 1.1\u202f per\u202fcent year\u2011on\u2011year<\/span><\/a>, down from 1.2 \u202fper\u202fcent in May. Food and beverages rose 2.1 \u202fper\u202fcent, with food\u2011at\u2011home actually down 0.4\u202fper\u202fcent, while food\u2011away\u2011from\u2011home rose 4.7\u202fper\u202fcent. Similarly other <\/span>reports<\/span><\/a> indicate that there was a 2.1\u202f per\u202fcent food inflation in June, unchanged from May this year.\u00a0<\/span><\/p>\n

On the surface these numbers suggest a controlled situation: food prices rising slower than in past years as Malaysia\u2019s economy moderates, helping to keep the rise in cost of living modest. However, the lived experience is different.\u00a0<\/span><\/p>\n

Beyond official numbers, the lived experience paints a painful picture<\/b><\/h3>\n

The truth is that the reality for many Malaysians feels far worse. While the overall food price index shows modest gains, essential items and street food have seen sharper hikes.<\/span><\/p>\n

A SCMP feature cites <\/span>nasi lemak breakfast rising by 5 \u202fper\u202fcent in 2024 to RM\u202f3.68 on average<\/span><\/a>, this is nearly double over ten years. Cockles prices jumped 400\u202fper\u202fcent. Meanwhile vendors report multiple price hikes to keep pace with rising raw\u2011material and logistics costs.<\/span><\/p>\n

UNICEF data in Kuala Lumpur found that <\/span>52 \u202fper\u202fcent of children in low\u2011income households eat fewer than three meals a day<\/span><\/a>, as families struggle to afford staples like rice and chicken. These families typically earn below RM 2,816 a month\u202f. That highlights how food inflation directly worsens cost of living burdens for the poorest.<\/span><\/p>\n

The slow burn of rising prices over time<\/b><\/h3>\n

Malaysia\u2019s food inflation has eroded purchasing power drastically over the decades. A 2025 report from the Malaysian Statistics Department found that what cost <\/span>RM 30.90 in 1980 now costs RM 100 in 2024<\/span><\/a>, meaning a 69.1\u202f per\u202fcent decline in purchasing power for food items. B40 households (below RM\u202f5,250 per month) spend 71.6\u202fper\u202fcent of their income on daily necessities, compared to 64\u202fper\u202fcent for T20 households.\u00a0<\/span><\/p>\n

That kind of chronic rise in food inflation means families must cut back on non\u2011essentials or switch to cheaper, less nutritious food, undermining well\u2011being.<\/span><\/p>\n

Why the gap between official numbers and reality?<\/b><\/h3>\n

On paper, Malaysia\u2019s inflation looks manageable. But for many, what they see in market stalls and hawker centres tells a different story. The official Consumer Price Index (CPI) may not fully capture the day-to-day reality of rising expenses faced by average Malaysian households.<\/span><\/p>\n

There are several reasons why official figures understate the lived cost of living:<\/span><\/p>\n