Impact of Recent Sharp Price Increases for Imported Meat, Vegetables and Other Food Items on Local Retail Prices
Ministry of Trade and IndustrySpeakers
Summary
This question concerns Mr Liang Eng Hwa's inquiry regarding the impact of rising imported food prices on local retail costs, the underlying causes, and mitigation measures for consumers. Minister for Trade and Industry Chan Chun Sing stated that while food inflation remains stable, vegetable prices rose 2.3% due to weather-related disruptions in Malaysia, though pork prices fell 0.3%. To mitigate such impacts, the Government focuses on diversifying food supply sources and building local capacity where economically viable to reduce the effect of supply shortages and price changes. Additionally, the Government partners with the Consumers Association of Singapore to promote consumer awareness and has piloted the Price Kaki mobile app for comparing household grocery and cooked food prices. These initiatives, slated for nationwide roll-out in early 2020, aim to empower consumers to make more informed purchasing decisions and achieve better value for money.
Transcript
57 Mr Liang Eng Hwa asked the Minister for Trade and Industry (a) whether the retail prices of pork, vegetables and other food items have been impacted by sharp increases in prices from our imported sources; (b) what are the reasons for the increases; and (c) how can such impact be mitigated for consumers.
Mr Chan Chun Sing: Food price inflation has been relatively stable in recent months. Overall non-cooked food prices rose by 1.3% on a year-on-year basis over the October to November period, slightly higher than the 1.0% increase in the third quarter of 2019. In terms of specific categories of food, the prices of chilled pork fell by 0.3% while the prices of vegetables rose by 2.3% over the same period. The increase in vegetable prices during this period could be due in part to weather-related disruptions in Malaysia, a key import source.
Although weather-related and seasonal factors are not within our control, the Government helps to reduce the impact of such factors on food prices by diversifying our food supply sources. This includes working with industry to buy from different countries and building up local capacity where it makes economic sense. By buying from different sources, Singapore can reduce the impact of food supply shortages and price changes.
The Government will also continue to work with the Consumers Association of Singapore (CASE) to promote consumer awareness and help consumers get better value for money. One of CASE's latest projects is a mobile app, Price Kaki, to help consumers compare the prices of common household items, such as groceries and cooked food, so that consumers can make more informed purchasing decisions. CASE started a pilot of the app in September 2019 and plans to roll it out nationwide in early 2020.