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HDB should intervene in sales of coffee shops, food prices

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Dear The Real Singapore,

I am troubled over the parliamentary reply on the “escalating transacted prices” for Housing and Development Board (HDB) coffee shops, reported in “Coffee shop for sale, vendors hope for S$12m” (Aug 22).

As the original landlord of state-owned housing properties, the HDB should indeed find ways to “prevent speculation and excessive price increases” in the sale of coffee shops. The purpose of heartland coffee shops is to serve affordable food.

I have noticed that the price difference for a cup of coffee at coffee shops where such sales have taken place, and one at the average HDB coffee shop, can be as much as 30 cents. If this is not due to rental increase, then it is profiteering. Ordinary folk are the ultimate losers.

Also, I have noticed prices going up after HDB-owned wet markets or hawker centres are upgraded.

The HDB should have a control mechanism for food prices in its hawker centres, wet markets and for new coffee shop owners. Those who want to speculate would then do so at their own peril.

This is also one way to rein in inflation, as many people patronise these places.

 

TAN BOON KENG

 

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