Retailers not consulted for GEG law: merchant association

KUALA LUMPUR – The Federation of Sundry Goods Merchants Associations of Malaysia has claimed that the government did not consult with retailers on measures proposed in the generational endgame (GEG) law in order to focus on resolving illegal tobacco products.

The association’s president Hong Chee Meng has urged the 13 members of the parliamentary special select committee (PSSC) to take the initiative to consult businesses who are unaware of the requirements imposed to the retail industry. 

“There hasn’t been any discussions with retail businesses, and we are not aware of how it will be implemented nor do we know what are the requirements we need to comply with.

“The PSSC needs to consult retail businesses before making decisions as it will impact the them and change the way the sector operates.

“We only read from the news about the Health Ministry wanting to stop (selling tobacco products) to individuals born after 2007, and that there may potentially be a digital tracking system to track and monitor transactions on tobacco and vape products.

“The proposed bill…was made without detailed research and consultation with retail businesses which are frontliners in the sector,” he said in a statement today.

He added that legitimate retailers are facing tough competition from the illegal trade of tobacco products and that the authorities should instead focus on combating this before introducing new policies.

“There are so many products in the market that do not comply with the Health Ministry’s laws and they are all sold below the minimum price of RM12.”

He said the illegal trade is causing the country to lose billions of tax revenue and impacting legitimate businesses.

Meanwhile, Hong said the GEG law will affect revenue stream in the long run, adding that the sale of tobacco products “provides a steady flow of income to help cover daily operational cost and to recover from economic setbacks due to pandemic”.

The Control of Tobacco Product and Smoking Bill 2022 which was tabled in Parliament by Health Minister Khairy Jamaluddin in July, seeks to prohibit the sale of cigarettes, tobacco and vape products to anyone born on or after January 1, 2007. – The Vibes, September 9, 2022