The flogging of KR1M doesn't appear to be abating as a research think-tank criticised it further for its negative implications on the economy.
PETALING JAYA: Government subsidies are up by RM10 billion because of Kedai Rakyat 1Malaysia (KR1M) and the Menu Rakyat 1Malaysia concepts.
An independent research think-tank has calculated that both programmes have inflated an already massive government subsidy bill by RM10 billion. Total subsidies this year now stand at RM33 billion.
The Research for Social Advancement (Refsa) revealed this in a recent focus paper on Budget 2012 and further warned that the negative impact of KR1M would extend deeper into the country’s socio-economy.
These predictions won’t bode well for KR1M which came under attack by Pakatan Rakyat last week for stocking low-quality goods and failing to meet its promise of up to 50% discount in prices.
But the real irony is that KR1M was meant to soften the blow of Putrajaya’s cuts to a subsidy bill that would otherwise have doubled to RM21 billion this year.
Refsa’s executive director, Teh Chi-Chang bluntly labelled it a “bad policy” for unnecessarily distorting market forces and giving one retailer an unfair competitive advantage over the rest. KR1M is operated by retail giant, Mydin.
“The government shouldn’t even be involved in the retail business due to the conflict of interest among its triple roles of regulator, public goods provider and businessman,” he pointed out.
“If KR1M works as intended, and goods are indeed sold much cheaper than elsewhere, it will lead to other retailers going out of business, people being rendered jobless and the need for more KR1M outlets.”
In light of the recent exposure of KR1M’s prices however, Teh said that the most pressing question now is what became of the RM40 million allocated to KR1M.
Follow the Selangor model
He also noted that even if KR1M worked as planned only a slice of the population would benefit from the low prices and that too, for a brief period of time.
“It is not sustainable in the long run and then the rest of the citizens will lose out because government money spent on KR1M means less funds for other sectors like education, health care and security.”
Teh recommended that the KR1M outlets be closed down immediately and suggested that the government consider Selangor’s ‘Jom Shopping’ model if it truly wants to help the poor get cheap products.
“All that needs to be done is to identify the poor families and give them shopping vouchers to spend twice a month at hypermarkets.
“Right now the government is expanding its broad-based subsidies and 1Malaysia has become a convenient facade to continue keeping Malaysians addicted to those subsidies,” he said.
By Stephanie Sta Maria
Government has no business to be in business.
ReplyDeleteDon't think this should continue, the country may go bankrupt.
ReplyDeleteThese people will not appreciate our concept also, better don't waste too much effort in helping them. they are not worth it.
ReplyDelete“All that needs to be done is to identify the poor families and give them shopping vouchers to spend twice a month at hypermarkets.
ReplyDeleteI don't think this might work too.
Our economy will gradually turn bad because we are on the wrong track.
ReplyDeleteHope there's a better way in dealing with this problem, i see no improvement in this.
ReplyDeleteOk ba juga ni tapi biasalah kan setiap hal itu pasti ada baik buruknya.
ReplyDeleteTambahan pula when its comes to politics, everything pun jadi tak kena.. ayooo, entah apa yang perlu dilakukan baru OK.
ReplyDeleteLain orang lain pandangannya, so terpulanglah pada setiap individu untuk menilai hal ini.
ReplyDeleteJika KR1M ini memberikan lebih banyak manfaat apa slaahnya kita sokong tapi kalau yang tak nak tu then tak payahlah beli barang di KR1M. hehe
ReplyDeleteApapun, harap rakyat dapat enjoy apa yang telah disediakan oleh kerajaan:)
ReplyDeleteI haven't seen any KR1M outlet in sabah yet or else i be going der to buy groceries since its more cheaper than other retail shop
ReplyDeleteThe gov intention to build this retail is to help the people but unfortunately the downside to it is that it could cause other retailers to go bankrupt.
ReplyDeletei guess its not easy to please everyone.
ReplyDelete1Malaysia Kedai is all just political gimmick and nothing more..just to win the next elections and back to Umno-colonization. WTF!
ReplyDeleteBaik memansuhkan subsidi sajalah, rakyat tidak patut terus bergantung pada subsidi.
ReplyDeleteHarap kerajaan Malaysia akan mempertimbangkan semula Kedai 1 Malaysia ini.
ReplyDeleteTo the people, this is good but to the country, soon will go bankrupt like Europe country economy issue now.
ReplyDeleteConcept 1Malaysia is good, but, government need to reconsider the concept that may burden the government.
ReplyDeleteHow many among us that really benefit from the 1Malaysia shop? Soon more 1Malaysia shop going to open, what about the subsidy cost?
ReplyDelete1Malaysia may bring negative impact to the "kedai runcit". Price not competitive at all, soon those shop will close down.
ReplyDeleteTo those they can enjoy the benefit and welfare will support it but what about to those who are not? There are always pro and cons. Hope these not burden to the country development and projects.
ReplyDeleteUMNO is always FAILED in Financial Planning when it comes to MONEY matter.
ReplyDeleteNo wonder his own people Idris Jala also admitted Malaysia going to bankrupt if under UMNO dickheads!
Biasalah ada yg menyokong ada yg tidak, bagi saya ok lah kerajaan bagi kemudahan begini..
ReplyDeleteSebenar bagus jg ada shop 1 Malaysia ne, dapat membantu rakyat dari golongan yg susah... mungkin dari segi ekonomi negara, ada kekurangan la..
ReplyDeleteSusah jg mau kasih senang hati semua pihak ne..politik2...
ReplyDeleteBerfikiran Positive laa...jangan fikir yg tidak baik sahaja..
ReplyDeletetunggu dan lihat apa kesudahan nya..rasanya semua akan berjalan lancar..
ReplyDeleteThis shop should be open in Kg area.
ReplyDeleteWell, in a positive view, this is good for us to get things in a low price.
ReplyDeleteKanapa harga pasaran minyak jatuh mendadak UMNO pura2 tidak tahu?
ReplyDeleteSiapa kah yang kasih subsidi minyak sama kerajaan setan UMNO ini sekarang jika bukan rakyat?
Tambahan subsidy sebegini memang membebankan kerajaan.
ReplyDeleteJust don't understand, cut oil subsidy, sugar subsidy but now go for shop subsidy, what is the purpose?
ReplyDeleteThese help a lot to those foreign worker mostly.
ReplyDeleteSubsidy that please the people but over burden the government seems a bad idea too.
ReplyDeleteThese will causes more retails shop to closed down.
ReplyDeleteRakyat yang bagi subsidi minyak untuk UMNO yang RASUAH!
ReplyDeleteKembalikan semua hasil bumi Sabah kepada rakyat Sabah.
Jangan asyik makan duit rakyat Sabah dan menyebabkan SABAH sebagai negeri termiskin di malaysia.
Harap2 rakyat Sabah mengambil peluang untuk menceburkan diri dalam bisness ni.
ReplyDeletedulu masa harga barang naik, semua salahkan kerajaan dan minta subsidi.. bila ada subsidi untuk barang2 keperluan ada pula yang bising konon membebankan negara..
ReplyDeletepembangkang risau bila lihat rakyat menyambut baik penubuhan KR1M.. sebab itu buat isu..
ReplyDeletekedai ini membantu rakyat dalam mengurangkan beban mereka. harga barangan lebih murah.
ReplyDeleteEverything has its own pros and cons, but make sure when to implement something, the pros weigh more than the cons.
ReplyDeleteGive some times and let see the achievement of these KR1M first.
ReplyDeleteJika BN ikhlas tolong rakyat, kasih turun harga minyak.
ReplyDeleteRakyat yang bayar subsidi sama Kerajaan setan umno sudah beberapa bulan.
Janganlah umno pura2 merompak duit dari minyak subsidi dari rakyat untuk subsidi kedai rakyat 1 malaysial untuk memperbodohkan rakyat!
Apa2 pun, diharap kerajaan sudah kaji betul2 perkara ini kerana ia bukan eksperimen bila melibatkan wang berbillion-billion.
ReplyDeleteAre these all for the sake of 1Malaysia branding? I think there are a lot more crucial things should be focused on, which suppose to bring benefit to the rakyat as a whole.
ReplyDeleteapa yang dirisaukan ialah awal2 operasi KRM1 mungkin berjalan dengan baik tapi tidak lama kemudian mungkin muncul lagi pula masalah lain.
ReplyDeletebukankah kerajaan mahu rakyat tidak begitu bergantung pada subsidi?
ReplyDeletetakut pula KR1M ni nasibnya seperti projek e-mel 1 Malaysia.
ReplyDeletekedai 1Malaysia harus diperbanyakkan lagi...terutama di sabah dan sarawak.
ReplyDeletependidikan, keselamatan dan sebagainya ada peruntukkan masing2...KR1M juga ada peruntukan tersendiri..bahkan, KR1M ini memberi manfaat kepada pengguna berpendapatan rendah di bandar.
ReplyDeletenamun, pengurusan KR1M harus dipastikan mantap dan tidak bermasalah..
ReplyDeletekerajaan juga perlu pertimbangkan untuk menurunkan harga minyak dan juga memansuhkan kabotaj polisi yang mana membebankan rakyat di sabah dan sarawak.
ReplyDeleteselain itu, gaji minimum harus dikuatkuasakan secepat mungkin..
ReplyDeleteBaik memansuhkan subsidi sajalah.
ReplyDeleteKerajaan perlulah mengurus kewangan negara dengan lebih berkesan dan pastikan ia boleh membawa manfaat kepada rakyat ataupun negara.
ReplyDeletesetiap pekara itu pasti ada pro dan kontranya..
ReplyDeleteapa pun, kedai rakyat 1Malaysia dapat memberikan manfaat kepada mereka yang berpendapatan rendah untuk mendapatkan barangan dengan harga yang lebih murah.
ReplyDeleteKenapa RAKYAT Sabah yang kasih subsidi minyak sama parti import dari malaya UMNO walaupun harga pasan minyak jatuh mendadak?
ReplyDeleteJangan kamurang anjing2 umno ambil duit subsidi rakyat dari minyak untuk pura2 subsidi kedai 1 malaysia.
INI SEMUA ADALAH DUIT KITA SENDIRI!!!
Kamu fikir rakyat Sabah sebodoh macam anjing2 umno kah?
Ini dikira bertujuan untuk membantu rakyat. Sekurangnya murah sedikit dari yang terdapat dipasaraya lain.
ReplyDeleteKerajaan perlulah lagi membuka kedai 1 Malaysia ini di seluruh negeri di Malaysia. Ini supaya menampakan kesungguhan kerajaan untuk membantu rakyat. Harap Sabah dan Sarawak juga akan menikmati kedai ini.
ReplyDeleteMengenai gaji minimum ini harap akan terlaksana bukan saja untuk kerajaan malahan swasta juga akan menikmatinya.
ReplyDeleteKenapa harga minyak parasan tidak diturunkah? Rakyat yang kasih subsidi sama kerajaan UMNO.
ReplyDeleteJangan kamu pura2 tidak tahu. UMNO jahanam!
I don't see how this can help the people, there's no point.
ReplyDelete