Malaysia to Flood Stores with Cooking Oil amid Panic Buying

The Malaysian government said it would flood the retail market with cooking oil starting Tuesday to overcome panic buying sparked by fears of a shortage ahead of Chinese Lunar New Year festivities. Stores in many states have been depleted of palm oil-based cooking oil in recent days, prompting authorities to impose temporary rationing.

Prime Minister Abdullah Ahmad Badawi said in a statement late Monday that a special Cabinet committee has decided to "increase the production quota of subsidized cooking oil significantly in the nearest future."

Domestic Trade Minister Shafie Apdal said manufacturers and refineries across Malaysia - a key palm oil producer - have been told to boost monthly production to 70,000 metric tons starting Tuesday, up from the usual 55,000 tons.