The Domestic Trade Ministry is Investigating KFC & McDonald’s Over Recent Price Increases

Following the events of the 14th general election, the Pakatan Harapan (PH) government reintroduced the Sales and Services Tax (SST) in September 2018 after zero-rating the Goods and Services Tax (GST) earlier this year.

While it was assured by the government that items would become more affordable following the reintroduction of SST, recent news of changing food prices at popular fast food chains has become a cause for concern among consumers.

For illustration purposes | source: lowyat forum

Recently, KFC and McDonald’s both had reportedly adjusted their prices starting December 2018 to include the 6% SST. According to Malaysiakini, an excerpt from KFC’s statement reads,

“We wish to clarify that starting from December 2018, our listed prices are inclusive of six per cent SST.”

“There are some marginal adjustments to the prices of our products to ensure we are able to continue providing our customers the same quality finger lickin’ good chicken, without compromise.”

“To this end, we hope our customers understand our menu has been specially put together to offer value for money options that cater to the different needs of customers.”

The fast food chain also addressed a recent photo of their menu that went viral on social media.

“On another note, a post recently circulating on social media comparing Snack and Dinner Plate prices is in relation to our prices from a few years ago. Additionally, our Super Jimat Box was never priced at RM12.50 since we launched this Box in 2015.”

KFC harga baru ?. Jadi korang nak pergi makan tu bawak duit lebih sikit ye ?? Nak buat sendiri boleh check thread ??

• Snack Plate (NH) Sblm ni RM12.30 NOW RM15.30
• Dinner Plate (NH) sblm ni RM15.60 NOW RM19.60
• Super Jimat Box D sblum ni RM12.50 NOW RM15.50 pic.twitter.com/MwIwaCYEgY

— Food Viral Malaysia ?? (@FoodViralMY) December 26, 2018

KFC then released another statement yesterday (27th December), clarifying their previous statement, saying,

“The marginal price adjustment has no relation to the SST, as previously the rate of six per cent goods and services tax (GST) was similarly charged to our customers.”

“To this end, we hope our customers understand our menu has been specially put together to offer value for money options that cater to the different needs of customers.”

Meanwhile, McDonald’s has also reportedly faced the same issue based on public complaints. According to the New Straits Times, the Ministry of Domestic Trade and Consumer Affairs (KPDNKK) is currently investigating both fast food chains. 

Source: nikkei asian review

The ministry’s deputy enforcement chief Datuk Iskandar Halim Sulaiman told the daily that investigations have already begun as of 27th December, saying,

“We have done several checks this morning and my officers have sought explanation from KFC over the price increase. Yes, we will look at price of food items at McDonald’s as well. Currently, the issue is on KFC but we will also find more information from McDonald’s on the price increase.”

Whatever it is, we hope the authorities thoroughly investigate this issue. What are your thoughts on this? Let us know in the comments below!

Also read: M’sians Can Now Make SST-Related Complaints to KPDNKK via WhatsApp