CNI News
13 September 2023
After the Myanmar Edible Oil Dealers Association (MEODA) issue a statement to sell palm oil at a price of earning 10 percent profit at most from the designated reference price, palm oil cannot be bought at the stores in the quarters reportedly from Yangon residents.
Although MOEDA is selling palm oil around a person 50 ticals at a price of about 4,000 kyats per viss in some townships including Yangon and Naypyidaw, some shops are selling a person 20 ticals only at a price of 5,000 kyats per viss. Most of the shops don't have palm oil, said Ma Khaing Lwin, a housewife in Yangon, to CNI News.
" Trucks come and drop palm oil off at the shops. The shops sell palm oil a person 20 ticals only at a price of 5,000 kyats per viss. I find it difficult to cook because I don't have edible oil. The other day because I didn't have edible oil, I was not able to fry the roselle leaves." said Ma Khaing Lwin.
MEODA is making arrangements to enable palm oil to be sold at the price of taking net two percent profit at most at the wholesale market and at the price of taking net 10 percent profit at most at the retail market, said in the statement.
While weighing and selling edible oils
Because the statement was released like that, the shops don't sell palm oil as a demonstration. Rather than designation of the palm oil price, only if every shop in quarters can sell the amount the people need at a low price, the problem of palm oil that cannot be bought can be solved, said U Thein Aung, chairman of the Farmers Development Association, to CNI News.
" Shop owners can't sell at that price. So, they say they have no palm oil. Rather than designating the price, only if the system that shops can actually sell in pristine condition can be built, it will be convenient. You don't have to sell at 4,000 kyats per viss. If you can sell at 6,000 kyats per viss the amount that the people want, the problem will be solved." he said.
Because domestic palm oil stocks are low, the demand in the market is being shared by quotas. Rather than granting palm oil import licenses to some companies, if those who have foreign currencies were allowed to freely import palm oil, commodity scarcity and price increase would be controlled, said an economic analyst to CNI News.
"We need to teach policy makers economic ideologies. If the supply increase, the price will automatically fall. At present, companies have been controlled by licenses and permits to import palm oil. If you announce every one who has foreign currencies can freely import palm oil, the price will fall at once. It might affect the dollar market in the short term. But The problem of insufficient palm oil and the problem hidden by those who speculate on palm oil can be solved in the short term," he said.
when palm oil is transported from Yangon Region to other regions and states, there are checks on the way and some shops don't sell buyers from other regions and states.
Although MOEDA is selling at a low price, it is not convenient for workers and the old because buyers have to wait in line for long to buy palm oil. Moreover, as members from some families wait in line to buy and sell palm oil, it is not convenient for those who really need, said the people.
