Image credit: East Asia Forum
KUALA LUMPUR: The contribution of retailers is very significant to the economic recovery of the country.
Domestic Trade and Consumer Affairs Deputy Minister Datuk Rosol Wahid said based on the Statistics Department's data, trade and distribution sector's performance for February recorded RM48.8 billion in total sales, or a growth of 10.2 per cent, over the year before.
"My ministry is also aware that today's technological advances lead to a rapid transition from traditional transactions to transactions online or digital.
"The global Covid-19 pandemic has helped accelerate the transition of consumer preferences to transactions online.
Based on that development, my ministry has mobilised the work structure to ensure that the digitalisation agenda became the main objective of the retail sector through the 'Digitisation Initiative Retail Sector' (Re-In).
"If previously e-wallet transactions were only popular among traders and consumers in urban areas, now those in rural areas are also not left behind to enjoy the benefits of this Re-Di initiative," he said at the 'Aeon1000: Suppliers and Partners Conference 2022' themed 'Creating a Sustainable Community' at the Kuala Lumpur Convention Centre.
Present were Aeon Company Malaysia Berhad chairman Datuk Iskandar Sarudin, its managing director-cum-chief executive officer Shafie Shamsuddin, its deputy managing director Tsutomu Motomura and Aeon Big (M) Sdn Bhd's Sheikh Farouk Sheikh Mohamed.
Rosol said that close collaboration between suppliers and retailers was very important to guarantee an efficient supply chain and an affordable price ecosystem.
"In the current global economic uncertainty, the retail sector needs to move dynamically and creatively to ensure the country's economy develops positively through a strategic approach and driven by high technology.
"Hence, this conference offers various topics for discussion and sharing knowledge presented by speakers from the economic retail and industry experts.
"I believe the conference can produce a framework of efforts to further strengthen the capabilities and competitiveness of suppliers and retailers, which brings an overflow of benefits for the industry and consumers," said Rosol.
He added that the conference attempted to discuss and fix important resolutions to ensure the sustainability of ecosystems within the supply chain.
"It also addresses the challenges of price and commodity issues which impact traders and consumers," Rosol said.
He added that Malaysia was no exception to have suffered from the challenges from the global Covid-19 pandemic.
"After two years, we are shackled by the effects of the economic recession from the Covid-19 threat.
"Now the country is briskly driving towards economic recovery, especially after the transition to the endemic phase since April 1.
"However, in this process of economic growth, we too are facing the issue of rising prices of goods driven by various factors.
"Among the most notable causes are the Russian-Ukraine crisis, the devaluation of the currency, rising global commodity prices and world climate change.
"The effect of these factors contributes to the increased Price of raw materials and imported foods.
"This in turn affects the whole food chain, consumers and small traders," Rosol said. He assured that the government was sensitive to the concerns of the people, by monitoring the latest issues on the price and supply of many necessities.
"The government is very caring and serious in addressing the volatile supply and price related issues.
"Various initiatives and efforts have been implemented by the government.
"These include providing subsidies, banning exports and the imposition of price controls on goods to ensure the interests of consumers and traders are defended in a balanced way," he said.
He pointed out that the government allocated RM729 million in subsidies to farmers, to enable the people to get a supply of standard chicken at the lowest control price of RM8.90 per kilogramme since February 5.
Rosol said chicken eggs and cooking oil prices were also controlled to avoid people being affected by the impact of price changes.
This, he said, was done by his ministry with the collaboration of the Agriculture and Food Industry Ministry to look for a solution can help stabilise prices and supply, while giving relief to traders and consumers.
"My ministry is responsible for the availability of supplies and the price stability of goods in the market, as well be proactive in enforcement duties in the field.
"If the consumers come across unethical traders who do not comply with price controls and try to take excessive profits, do not hesitate to channel the complaints to my ministry for further investigation and action.
"Such cooperation of consumers is important in the government's efforts to combat unethical traders who oppress buyers," Rosol said.
Meanwhile, Shafie said that Aeon introduced the 'Jimat Poket' 100-day initiative with its business partners, to reduce the rising cost of living.
Running from June 1 to Sept 16, the effort features two bundles comprising essential items such as rice, cooking oil, noodles, crackers, coffee, sugar and the likes for customers to choose from.
The RM60 bundle comprises 15 commodity goods while the RM100 bundle has 18 commodity goods.
"'Jimat Poket' is an endeavour to ensure that the price of essential products will not inflate drastically and to allow some space for customers to adapt to the current market landscape.
"Held in collaboration with our business partners, we want our customers to know that their concerns are heard.
"We strive to ensure the best service is delivered as their interest is always at the heart of everything that we do," said Shafie.
Iskandar said Aeon was committed to move its sustainability journey forward by partnering and growing together with the stakeholders.
"We believe that a sustainable business is one that not only prioritises financial returns but also protects the environment, nurtures its employees and uplifts its communities and the ecosystem," he said.
The conference drew approximately 1,000 participants, comprising the movers and shakers of various industries including FMCG, food manufacturing and production, logistics and supply chain and financial services.
Themed 'Creating Sustainable Communities', the conference aimed to culminate the transformational actions from stakeholders to thrive in a new retail landscape, while pursuing shared growth.
"This is to create sustainable communities given the challenges facing the Malaysian economy as the country forges ahead to a post-pandemic phase," said Iskandar.
Participants were introduced to the 'Aeon Sustainability Charter', the highest form of commitment by the hypermarket towards championing environmental, social and governance and aligned with the United Nations' Sustainable Development Goals (UN SDGs).
A total of 37 companies consisting of Aeon's merchandise, tenant and corporate partners were awarded the 'Aeon1000 Excellence Awards' in various categories.
"Aeon1000 is in line with our efforts to champion the UN SDGs 8 and 17, which focus on promoting a peaceful and inclusive society for sustainable development, providing access to justice for all and building effective responsible and inclusive institutions at all levels.
"This also includes strengthening the means of implementation and reviving global partnerships for sustainable development," said Iskandar.
Source: https://www.nst.com.my/news/nation/2022/06/801410/retailers-vital-economic-recovery-says-rosol