KUALA LUMPUR, Aug 1 — The Special Task Force on Jihad Against Inflation today announced a new system in which the maximum price for pure palm cooking oil will be announced on the first of every month, with enforcement to follow seven days later, said its chairman Tan Sri Annuar Musa.

The maximum price for pure palm cooking oil, which is not covered by subsidies, is set based on the average prices of the previous month, with this month’s price for a five-kilogramme bottle being RM34.70, said the communications and multimedia minister during a press conference in Parliament.

"The price is set monthly based on the price of crude palm oil (CPO) which will be announced by the Malaysian Palm Oil Board (MPOB) on the first of every month,” he said.

Enforcement of the maximum price set on the first of every month will follow on the eighth of the month, with retailers being given a week of grace to adjust prices, he explained.

The prices for other weights of pure palm cooking oil will follow the announcement in a schedule, he said.

He also said the reason for this system is so that the price of pure palm cooking oil will not rise too quickly when prices go up, but also so prices will not go down too slowly when prices decrease.

Punishment for not following the maximum price set for the month will be according to existing laws, he said.