Malaysia

Govt urged to reconsider imposing new beer licensing from Jan 1

Approximately 35k association members in predicament as they earn pittance from selling beer

Updated 4 years ago · Published on 06 Dec 2021 3:49PM

Govt urged to reconsider imposing new beer licensing from Jan 1
Customers seldom patronise our shops to drink beer, especially in rural areas, and the outlets earn very little profit – so, it is unfair for the government to impose a licence fee to sell beer in coffee shops, Malaysia Singapore Coffee Shop Proprietors’ General Association president Wong Tee Hong says. – Pixabay pic, December 6, 2021

by Arulldas Sinnappan

GEORGE TOWN – Restaurant owners associations have appealed to the government to reconsider its new policy requiring coffee shops selling beers to apply for a new licence starting January 1.

Malaysian Restaurant Owners Association and Malaysia Singapore Coffee Shop Proprietors’ General Association president Wong Tee Hong said the government’s ruling is going to put their members in a difficult situation as coffee shops do not earn much from beer sales.

“The licence fee for coffee shops is unreasonable as this is extra expenditure that is uncalled for.

“Customers seldom patronise our shops to drink beer, especially in rural areas, and the outlets earn very little profit. So, it is unfair for the government to impose a licence fee to sell beer in coffee shops,” he told The Vibes.

Wong said the Malaysian Restaurant Owners Association has 20,000 members, while Malaysia Singapore Coffee Shop Proprietors’ General Association has 15,000 members who would be in a predicament when the ruling is imposed next year.

The Customs Department had issued two circulars in June and August to all its division heads, state-level directors, and various local authorities – including Kuala Lumpur City Hall – to enforce liquor licences in all restaurants and coffee shops.

The Vibes noted the two documents stated that the department had revoked its directive dated August 24, 1993, which instructed the postponement of the enforcement of licensing on sales of liquor besides beer and stout in coffee shops and restaurants.

“Therefore, retail sale of liquor, whether in restaurants or coffee shops – including Malaysia-themed coffee shops – needs to be licensed,” the circular read.

Wong said he had discussed the issue with MCA president Datuk Seri Wee Ka Siong and Deputy International Trade and Industry Minister Lim Ban Hong to help resolve the matter in October.

Consumers Association of Penang (CAP) president Mohideen Abdul Kader said a survey conducted by the association found that practically all outlets in Penang selling and serving beer did not have a beer house licence, which is a clear violation of Section 35 of the Excise Act 1976.

CAP research has shown that there is a direct link between alcohol availability in the market, and the extent of alcohol-related problems in a society.

“In Malaysia, alcohol – and beer, particularly – is widely and easily sold in bars, clubs, supermarkets, sundry shops, coffee shops, restaurants, and street stalls. 

“Beer is commonly sold and served as soft drinks, whereas it shouldn’t be – as under the 1975 Food Regulations, it is classified as an alcoholic beverage.

“The outlets need a licence to sell and serve beer,” he said.

He said the Excise Act deals with the types of licences for retail sale and wholesale of intoxicating liquors, beer, and toddy. Under the act, the finance minister is empowered to set up licensing boards that issue licences for the sale of alcoholic drinks.

Mohideen said stricter controls are also needed for the sale of alcohol to underaged youth – as it is an offence to sell liquor to those aged below 18 – since there is a lack of enforcement over the matter. – The Vibes, December 6, 2021

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