IPOH, June 4 — Ipoh’s famous citrus fruit, the pomelo, may see its price drop by 10 per cent following the Pakatan Harapan government’s removal of the unpopular goods and services tax (GST) this month.
While most businessmen would usually frown if their produce sells for less on the market, pomelo farmers and traders here see the dismantling of the 6 per cent tax as a boon because the price of fertilisers and pesticides will be cheaper too.
These items, which are crucial to any large-scale farmer, were previously impacted by the GST and the weakening ringgit.
Trader Law Voon Hing noted however, that the prices were only expected to drop in the next five to six months.
“We’ll have to wait for the next season. Generally, the biggest factors affecting pomelo prices are the yield and the weather, but cheaper fertiliser and pesticides will help reduce our burden as well,” Law told Malay Mail today.
“The economy has also been stronger of late. The imported fertilisers and pesticides we buy won’t be so expensive either.”
Renowned for their juiciness and sweetness, Tambun pomelos are one of Ipoh’s most well-known exports, drawing buyers from all over the country.
Like many fruits, their price ranges depends on the seasonal yield and their size. A larger fruit can be sold for between RM20 to RM22, a medium fruit will go for around RM15, and a small pomelo will cost around RM10.
Tambun Pomelo Growers Association president Chin Too Kam agreed that the lack of GST would drop prices over time, but said prices won’t fluctuate this season.
According to Chin, there has been a surge in sales in this “new Malaysia” under the Pakatan Harapan government, which he believes is because people feel their purchasing power has increased.
“Recently we have seen buses of people coming to buy pomelos. They seem to feel more comfortable spending money because the GST is no more,” Chin said.
“They are confident that prices will go down, so they feel more happy using their money,” added Law.
Both traders said they also expected a spike in sales ahead of Hari Raya.
“People assume that only the Chinese enjoy pomelos but that isn’t true. All cultures enjoy the Tambun pomelos,” Law said.
