Heineken-Carlsberg ops under MCO - Not the time to succumb to partisan politics

Malaysiakini:

Why Heineken/Carlsberg should be given some MCO exemptions

by P Gunasegaram

Well, Covid-19 has not changed one bit the often misplaced religious polemics in Malaysia with a lot of froth being stirred in the beer glass for nothing. The point to note is that Heineken and Carlsberg are a food and beverage business.

To repeat, the last word of the previous sentence – a business. A business that needs to satisfy the requirements of its customers, which may not be approved by some, but an F&B business all the same. So let it operate like how a lot of other businesses are allowed to.

What is disturbing is that the end result is that the government submits to these ridiculous, irrational, thoughtless demands by those intending to score political points during such difficult times and orders that the permission to work – not full time, but to maintain operations with minimal staff – is revoked.

That is exactly what seems to have happened although the announcement strangely comes from Federal Territories Minister Annuar Musa who tweeted yesterday that the exemption order granted to Heineken to operate during the movement control order (MCO) had been rescinded.

Presumably the same applies to Heineken’s only major competitor in Malaysia, Carlsberg. Between the two of them, they produce almost 100% of the local beer market, producing a variety of brands in their respective stables.

Why Annuar makes the announcement, which is unrelated to his ministry, is in itself surprising and reflects a clear confusion of this government over who should be making announcements on behalf of whom. This had caused confusion over the MCO itself previously.

Malay pollies like Annuar Musa wants to seen as a local Islamic warrior 

According to Free Malaysia Today (FMT), the decision to allow the beer factory to remain open was “premature,” with a source saying the secretary-general of the Domestic Trade and Consumer Affairs had issued the letter without the approval of his minister or the International Trade and Industry Ministry (Miti).

The letter to Heineken dated March 31 approving “limited operations” was signed by Domestic Trade and Consumer Affairs secretary-general Hasnol Zam Zam Ahmad, who said the brewery had met the criteria of a food supplier and could remain in operation during the MCO period.

sacrificial scapegoat for Minister - posted out for "mistake" in okaying Heineken ops under MCO 

The move to exempt Heineken was criticised by PAS, one of the partners in the current Perikatan Nasional coalition government.

“PAS respects the rights of non-Muslims to consume alcohol, as has been the policy in Kelantan and Terengganu, but this is not a necessity as we face a critical situation fighting the Covid-19 pandemic,” FMT quoted PAS as saying.

Another criticism came from a Bersatu Youth leader who said that thousands of halal businesses as well as small- and medium-sized enterprises had been asked to remain closed during the MCO.

Heineken had said 10% of its total workforce was essential staff and would be involved in its operations during the MCO period.

“We have an obligation to ensure continuous supply of our products, maintain the employment of our people and to contribute positively to the economic recovery of our nation,” it added.

Partisan politics

This is the crux of the argument – the continuous supply of a beverage which a huge sector of the population has been used to drinking during normal times. By artificially constricting this product, this government, which can’t see beyond its hands, is going to spark a rush to the supermarkets to stock up on beer and similar beverages.

This is similar to the situation when a senior minister pre-empted the prime minister by hinting very strongly that the MCO will be extended, sparking a rush to supermarkets, resulting in the government giving assurances that there will be enough supplies for all.

The same mistake is being made with beer and related products. In this case, it is going to be much more serious because of an actual supply disruption.
Supply is going to become scarce and prices are going to rise. All of this is needless. All three – PAS, Umno and Bersatu – seem totally ignorant of the fact that the government has approved industries to work with minimal staff where they manufacture products for important sectors of the economy.

Food and beverage is one important component of this as well as the electronics sector and others important for the overall functioning of the economy.

They are not necessarily essential in the normal meaning of the word which can be widely interpreted. Are electronic goods essential? What about soft drinks? Or chocolates? Cigarettes?

The point to remember is that the beer industry in Malaysia is large – worth RM5 billion a year in terms of revenue. It employs nearly twice as many people as in the airline industry with over 60,000 employees and paying over RM800 million in direct and indirect salaries.

Bottomline: It’s an important industry and a significant contributor to the overall economy and deserves to be given support to continue to produce so that a section of the populace can receive supplies of beverages they are used to having.

In this time of doubt, need and reassurance, this government needs to show that it will remain rock steady in support of the economy and all legitimate activity.

Now is not the time to succumb to partisan politics by practitioners who have neither the interests of the country or its people at heart but are opportunistically trying to show themselves as champions of their race and religion by pandering to people’s baser instincts.

Some things don’t change, even in times as dire as these.

P GUNASEGARAM is editor of Focus Malaysia

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OK for Heineken's ops under MCO could only be given by MITI & 'Sembu ... nyi' Minister.