According to Malaysian media "Malaysia Insights" reported on April 24, the Malaysia Federation of Grocery Merchants Associations (FSGMAM) stated today that the government's new policy to crack down on smoking, which bans the display of cigarettes and e-cigarette products in convenience stores, will bring significant financial pressure to operators.
The Malaysian Grocers Association understands the government's intentions in cracking down on smoking, but such smoking bans may further strain merchants' operations. The association's statement was in response to the Ministry of Health's proposal in the "Public Health Act 2024 (Act 852)" to ban the display of cigarette and e-cigarette plain packaging in stores. The merchant alliance is urging the government to consult the public on these measures.
The president of the association, Hong Chee Meng, stated in a declaration, "The ban on displays will result in retailers needing to increase in-store adjustment costs to comply with these regulations, which will bring us a significant additional financial burden that we cannot afford." He believes, "This also adds to the operational complexity of retail stores. Retailers need to adjust to cover products and place them out of sight of customers, which means that every time a customer comes to purchase these products, retailers need to locate the products for transaction."
He further added that the requirements for flat packaging will make every product appear the same in color and shape, making it more difficult to differentiate specific brands or products.
The government must address the issue of rising smoking rates in Malaysia caused by illegal cigarettes. When proposing to ban the display of products and introduce plain packaging requirements, the Ministry of Health should also take strict measures against illegal cigarette operators to reduce smoking rates. The real reason smoking is still prevalent is the availability of cheap and easily accessible illegal cigarettes," said Hong Chiming.
Hong Zhiming also stated that the association has written two letters to the Ministry of Health, requesting a meeting to discuss and obtain information related to their proposed measures.
However, up to this point, we have not received any notification from the Ministry of Health regarding any meetings to discuss this matter. This is unfair to retailers who are on the front lines and stand to be most affected by these proposed measures, as they have not been provided any detailed information about the implementation of this proposal.
He said that such regulations have brought serious challenges to retailers who are already facing unprecedented economic pressures.
"We would like to make it clear that retailers are not opposed to the Ministry of Health implementing regulations to prevent smoking or e-cigarette use. However, these regulations must be sensible, effective, and balanced in order to be implemented without significantly impacting retail businesses," he added.
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