cut the red tape

The recent announcement to extend the deadline from 15 June to 1st July and waive the RM10 licence fee for an estimated 70,000 retailers nationwide to apply for a licence to sell sugar, cooking oil and flour was made in response to growing disenchantment among small retailers against the government's decision to impose a licence for selling these basic necessities. This is despite the above concessions and the promise by the government that they will issue the licence within a day. Fast and cheap, it seems, doesn't put a dent to small retailers' beef that yet another licence would add to their growing list of licences to apply for to do business. They have a legitimate grouse. The main problem here is the hoarding and smuggling of sugar. Now why is our sugar being hoarded locally and smuggled abroad to neighbouring countries? Because it is a price-controlled item and subsidised by the government hence making it relatively cheaper compared with the sugar in our neighbouring countries. I reckon the solution to this problem is to cut sugar (and other) subsidies gradually - not by introducing more red tape and more bureaucracy to our already considerable mass of red tape and obese-to-the-hilt bureaucracy. What is the point of having the Performance and Delivery Unit (Pemandu) and talents like Dato' Sri Idris Jala on board to advise the government on how to streamline the bureaucracy and cut red tape if we are going to increase bureaucracy and red tape at the end of the day? This isn't about issuing licences within a day or cutting the RM10 fee. It's about the hassle of having to apply for licences for everything from setting up your business to advertising your signboard and now to selling basic essentials like sugar, cooking oil and flour. Just cut out government subsidies. Cut it out gradually, for example, 20 sen this year, another 20 sen next year, etc. Whatever. When prices of our gasoline, sugar, cooking oil, flour and other items rise to their true free market prices, the smuggling and hoarding will cease automatically. It will save the government heaps of dough, and people will over time (crying shouting screaming and gnashing of teeth notwithstanding) get used to paying market prices for essential goods. Just don't add more regulations and choke out business. We do want to streamline the business of government, right? We want more efficiency and less cost, right? Ok, then stop imposing new licences/regulations, improve on the existing regulatory/enforcement framework, cut the subsidies. I suggest that on the latter point the government show more backbone/moral courage and go ahead with what was recommended by Dato' Sri Idris Jala. Go ahead and cut the damned subsidies. Stop spoiling the children.