Published on September 4th, 2013 | by Muhd Erfan
Petrol and Diesel Price Increase, Goods and Services Price Increase too
Just recently we got a minor heart ache when we are told that the price of Ron95 and Diesel increased by RM0.20, well, what if we told you this will affect the prices of goods and services too?
This information here is based on major players in the transport industry whereby according to them, this is a chain effect. One of the example given was the Pan Malaysian Bus Operators Association, whom expect for prices of bus fares to increase between 5 – 30 percent in the near future due to the diesel price increase. Similar case for the Selangor and Kuala Lumpur Lorry Operators Association and due to the price hike, it has increased their operation cost by 5-8 percent.
So, do you get how the chain effect works? When operation costs increase, customers will definitely need to pay more because producers will increase their price tag and it goes on to distributors and re-sellers. The companies that will undergo this process first would be all this transporting companies like courier services and any similar businesses. And it goes on and on.
According to President of Association of Malaysian Hauliers, Datuk Che Azizuddin Che Ismail, it is natural for customers to pay more and its up to operators on how much they want to charge their customers.
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About the Author
Muhd Erfan The Founder of FM (FunnyMalaysia.Net), one of the leading media company in Malaysia for the social age, intensely focused on delivering high quality original reporting, insights and viral contents.