GST: Consumers devise self-made money-saving formula

Understandably so as many feel that they would be burdened by the hike in prices for several daily goods items. The fact that some items would be GST-exempted including processed food, canned food, beauty products such as shampoo and toothpaste and kitchen equipments are necessities that they must have in their shopping carts.

On Saturday, Astro AWANI made a quick round to a hypermarket in the city to take a closer look at how city folks are cashing in on the last-minute deals offered by supermarkets.

For some consumers, devising a strategy to control expenditures come April 1 is the way to go.

Bank officer, Noor Mohamed said that he had formulated his own accounting system by a six per cent reduction.

Typically, the 39-year-old Noor Mohamed spends more than RM1,500 a month for groceries.

"From that, I would put aside RM750 for items that are subjected to the GST such as on snacks as well as sining out. So, I will cut my spending to make up for the six per cent GST.

"Snacks are not important at all. I educate my children about it and informed them that they are not a necessity. We can make do without snacks or dine out,” he said, adding that consumers should spend wisely.

“Previously, we might just spend on anything, but we need to be a smart shopper now.

“Instead of making noise about the GST, it is better if we manage our finances wisely,” said Noor Mohamed.

Retailer Siti Yahya, 49, is singing a different tune. She urged supermarkets and brands to offer more promotions.

"With more promotions, people will buy and they are able to save up. It will also benefit the supermarkets and brands because it will attract more buyers interested in the promotions,” she said.

She also said it all boils down to a great financial management.

“It’s all in the mind. We need to be smart consumers and should be aware which retailers offer the better price. Sometimes as a mother, we already know which brand is having a promotion and which outlet to go.

"For example, there’s a promotion for diapers at a shopping mall in the Klang Valley. I urge all parents to be aware of the different promotions,” she said.

A broker, Len Mee Keong, 55, said consumers will continue to buy but they need to be able to locate which retailers offer the cheapest prices on goods.

"These are all necessities and we still have to buy them, right? So we have to know where is the best place to make our purchases.

Mee Keong, however admitted that he is still in the dark over the implementation of the GST.

"I am still confused with the GST as to which items will be charged GST and which items are exempted,” he said.

Siti Norhaya Yahya, 50, also shared similar sentiment.

“We still have to buy shampoo or toothpaste. But we need to do our survey. For example, I came from a different supermarket to this one because the prices here are cheaper,” she said.

Art enthusiast Anna Har, 44, admitted that she will be halving the items on her groceries list.

"I love canned food like sardines but after this I have to reduce my purchases. The GST will impact and burden those from the middle class," said Anna, who later admitted she is too, trying to grasp the mechanics of the GST in order to ease her spending once it is introduced.