KOTA BARU: The authorities believe that Malaysian subsidised cooking oil is in high demand in Thailand because of its low price and halal certification.
Kelantan Domestic Trade and Cost of Living Ministry (KPDN) director Azman Ismail said Malaysian subsidised cooking oil was priced at RM2.50 per 1kg packet, but was sold for between RM4.50 and RM5 when it was smuggled into Thailand, where the regular price of cooking oil was about RM8 per kg.
"As the majority of people in southern Thailand are Muslims, they prefer to use our cooking oil because its halal status is not in doubt," he said.
Azman was speaking to reporters after launching the "Ihsan Rahmah Madani" sale here today.
Present was ATH Group director Norlisan Ramzai.
However, Azman said there had been a slight drop in the smuggling of oil into Thailand.
"Smugglers are deterred by increased checks by the Malaysian authorities. All border enforcement agencies, particularly in Kelantan, have stepped up operations," he added.
He said that from January to Aug 31, the state KPDN had seized about RM450,000 worth of cooking oil and other price-controlled items suspected to be bound for Thailand.
He added that 180 people were also arrested.