The rising cost of food instantly becomes the overbearing central theme, whenever the topic of 'cost of living' crops up.
Whether at a high-level meeting among policymakers, researchers or small and medium-sized entrepreneurs, this subject of rising cost of food is inevitable.
Not just that, any regular Ali, Ravi and Ah Chongs have resigned to the fact that their plates of noodles and kopi O' have become so costly, these days.
In a nutshell, 'mamak' or 'nasi kandar' restaurants have become the benchmark of how consumers measure the hike in food price.
With the recent revelation by Khazanah Research Institute (KRI) on the ever-decreasing value of consumers' purchasing power -- propelled by stagnant wage growth and inflation -- it would be inappropriate not to seek a proper explanation for this upward trend.
According to the Head of Agriculture and Food Policy Laboratory at Universiti Putra Malaysia, Dr Mohd Yusof Saari, the real 'culprit' lies in the form of structural inconsistency and weakness in the market.
Market structure, he said has created monopoly among big firms, for some their daily dosage of teh tarik, is a thing of the past.
"To be exact, the real problem with our market structure is monopoly. For instance, when it comes to food, small and medium-sized food enterprises depend on a small number of big firms for their fresh produce and ingredients.
"And these big firms are controlling the retail trade, including wholesale, which is a big component in the industry's value chain. There is definitely no synergy in there.
"When these few big firms determine the price of goods, they also have control over the amount of supply in the market, which explains why Malaysia sometimes experience shortage of particular food items," he added.
He also said that the government can intervene, if it wants to, through a market-based approach.
"There is actually no need for the government to subsidise food items anymore. All they have to do is liberalise the market. For instance, if there are four main companies who import flour into the country, the government should allow liberalisation of the market for SMEs have the chance to import, too.
"When the market is liberalised, it becomes competitive and the price of goods will go down automatically without the government having to spend anything. What's happening in the market now is the direct impact of monopoly and it is constantly pushing the SMEs into a corner," he explained.
When it come to the discussion on food price increase, Yusof said that any average Joes are caught in a web of misconception that puts the blame on the implementation of the Goods and Services Tax (GST).
"When it was calculated on paper, the implementation of GST was supposed to cause a slight decrease in the price of goods but instead the price went up and at some instances, ridiculously so.
"That is the effect of a weak and problematic market structure. Aside from the fact that it is hampering good policies from doing its job to help the people, it allows for abuse and misinterpretation," he said.
On the economical side, the cost of production and import capabilities was maimed by the devaluation of the Malaysian Ringgit caused by the plummeting price of crude oil globally.
Yusof said other inflationary factors, including the implementation of GST and minimum wage in April, 2015 that shook domestic economy to the extent that producers were forced to turn to consumers to absorb the added costs.
He opined that the establishment of Malaysian Competition Commission (MCC) (2011) and the Competition Act in 2010, further aggravated the effects brought about by the weakening market structure.
"We seemed to aspire towards market liberalisation by decreasing certain subsidies. But, we still have exceptions for certain industries (electricity, communication and F&B) that are controlled by monopoly. This policy mismatch is further distressing the SMEs industry.
"Even though the increase of price is comparatively normal at 3.4 per cent per year, consumers still feel the pinch because wage is not growing at the speed of inflation, especially in the urban area.
"What's truly intriguing is that the International Monetary Fund (IMF) estimated a decrease in the price of food for 2016 because of the crude oil prices but this trend was not observed in Malaysia. The cost of energy was supposed to be cheaper because the cost of production is much lesser but it didn't happen," he said.
He concluded that the outlook for 2016 look gloomy with the price of food expected to experience an increase 'higher than normal'.
Nuradilla Noorazam
Fri Sep 23 2016
Mamak or 'nasi kandar' restaurants have become the benchmark of how consumers measure rising food prices. - File Photo
Who is Prabowo Subianto, incoming president of Indonesia?
A wealthy ex-general with ties to Indonesia's popular outgoing president and its dictatorial past, looks set to be its next leader.
Iran's supreme leader says Hamas leader's death will not halt 'Axis of Resistance'
The "Axis of Resistance", built up with years of Iranian support, includes Hamas, the Lebanese Hezbollah group, the Houthi movement in Yemen, and various Shi'ite groups in Iraq and Syria.
Putin says Russia willing to seek compromises between Iran and Israel
Russia is ready to help seek compromises between arch-foes Israel and Iran, President Vladimir Putin said on Friday, saying these would be difficult but possible.
What proposals will Russia push at the BRICS summit?
The proposal is also to establish a BRICS reinsurance company to allow uninterrupted shipment of goods and key commodities between members.
Indonesia's free meals plan in the spotlight as Prabowo readies for office
Prabowo calls the programme one of the main drivers of economic growth, eventually set to add an estimated 2.5 million jobs.
Astro AWANI's revamped English news website, AWANI International, launches on Oct 21
Astro AWANI's revamped English platform delivers in-depth global news and expert analysis to keep you informed on key developments.
Israeli strikes kill 33 people in Jabalia refugee camp in Gaza, medics say
Residents of Jabalia said Israeli tanks had reached the heart of the camp after pushing through suburbs and residential districts.
Liam Payne's ex-partner calls for media restraint after 'painful' death
Cheryl Tweedy used her statement to urge the media to remember they had a seven-year-old son, Bear, who could read the reports.
Analysts: Indonesia's strong MoF leadership team to boost investor confidence
Sri Mulyani Indrawati as head of Indonesia's Ministry of Finance is expected to instil confidence among investors.
Biden offers both a carrot and a stick to Israel as his term nears an end
Israel has frequently resisted US advice and has caused political difficulties for the Biden administration.
Putin says BRICS will generate most of global economic growth
Russian President Vladimir Putin will host a summit of the group in the city of Kazan on Oct. 22-24.
ISIS Malaysia's perspective of Budget 2025
An excellent rakyat-centric budget under the overarching principle of a caring and humane economy.
Budget 2025: Record increase in STR, SARA aid initiatives
The government will provide a significant boost to the Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) initiatives next year.
Budget 2025: EPF contributions to be made mandatory for foreign workers – PM Anwar
The government plans to make it compulsory for all non-citizen workers to contribute to the Employees Provident Fund (EPF).
What policies to expect from Indonesia's new President Prabowo
Prabowo will be open to foreign investment, his aide has said, such as by offering investors management of airports and sea ports.
Budget 2025: Govt allocates RM470 mil to empower women's participation in PMKS
The Women's Leadership Apprenticeship Program will be intensified as an effort to produce more female corporate personalities.
Israel sends more troops into north Gaza, deepens raid
Residents of Jabalia in northern Gaza said Israeli tanks had reached the heart of the camp, using heavy air and ground fire.
Indonesia ramps up security ahead of Prabowo's inauguration
Prabowo Subianto will be sworn in as Indonesia's president on Sunday with Vice President-elect, Gibran Rakabuming Raka, also taking office.
Immediate allocation of RM150 mil for local authorities, DID to tackle flash floods
Datuk Seri Anwar Ibrahim said this allocation is intended to address the recent flash floods that hit the capital and several major towns.
Budget 2025: Sabah, Sarawak to continue receiving among highest allocations - PM
Sabah and Sarawak continues to be prioritised under Budget 2025, with allocations of RM6.7 billion and RM5.9 billion respectively.