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May 29, 2007
New fee hikes at public hospitals and polyclinics
Consultation fees are up at most of them, as demand and costs rise
By Salma Khalik
A NEW round of fee hikes is underway at most public hospitals and some polyclinics. This time, it is consultation fees that are going up, as demand and operating costs continue to rise, say health-care providers.
Subsidised patients at four public hospitals will now pay $24 or $25 for every visit to a specialist clinic, up from about $21. Attendances at specialist clinics have gone up from 2.8 million in 2003 to 3.5 million in 2005.
Only Changi General Hospital and Alexandra Hospital are keeping their charges unchanged at $20.
Polyclinic patients are not spared either. All 18 polyclinics used to charge a standard consultation fee of $8 for adults. They now charge anything from $8 to $8.80.
Similarly, for the elderly and young children, the fee is now between $4 and $4.50, up from $4.
Three polyclinics - Bedok, Bukit Batok and Toa Payoh - started charging more this month. Eight had raised their rates starting more than a year ago. The remaining seven may do so soon.
The increases come just months after a similar round of fee hikes for private patients in March. At that time, the inpatient ward charges for subsidised patients also went up.
One bit of good news - hospitals will continue to absorb the Goods and Services Tax for subsidised patients, so there will no increase when the tax goes up to 7 per cent in July.
A Ministry of Health spokesman said the public hospitals are 'mindful of the impact of any fee revision to patients'.
But she added: 'Inflation, wage increases, drug pricing and others may bring about an increase in the overall cost of providing the services.'
Although the Government gives hospitals and polyclinics a subsidy of $1.7 billion a year, each hospital is left to decide what it wants to charge 'within broad parameters'.
Madam Halimah Yacob, head of the Government Parliamentary Committee for Health, said that although the fees are still affordable despite the increase, people should be told why they have to pay more, 'particularly since some hospitals have opted not to increase their fees'.
They should also alert patients if such increases are 'intended to be a regular feature so that they could better plan their finances.'
Turning to polyclinics, she said the different charges are 'confusing'. If patients start shopping for cheaper rates, it 'may not be good in terms of ensuring continuity and consistency of treatment'.
Most private general practitioners charge between $10 and $16. However, medicines - at $1.40 for a week's supply of each type - are still cheaper at polyclinics. GPs can charge from a few cents to a few dollars for each pill, depending on the medication.
SingHealth Polyclinics said the higher fees are 'due to increased operating costs such as manpower and supplies'.
The National Healthcare Group Polyclinics said it is seeing more patients each year. Polyclinic attendance went up from 3.3 million in 2003 to 3.9 million in 2005.
Patients like Mr Azman Abdullah, 66, a retiree with heart problems, are concerned about bills adding up with repeat visits.
He recounted how a doctor he saw at Jurong Polyclinic gave him three days' worth of medicine and told him to return if he still felt ill.
He said: 'I wasn't well, but I didn't go back as I would have to pay another $4.50.'
He needed an angiogram and was told it would cost $130. But when he got to the Heart Centre, he found out that the test now costs $140.
He eventually had to appeal to a medical social worker for financial aid.
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May 29, 2007
INCREASE IN PRICES OF CONDENSED MILK
Supplier-initiated hike applies to all supermarts
I REFER to the letter by Mr Goh Kian Huat, 'Price hikes: GST rise being used as excuse?' (ST, May 24).
Mr Goh noted price increases for Nestle Milkmaid high-calcium condensed milk (397g) and Nestle Milkmaid low-fat condensed milk (392g).
We would like to clarify that the price increases were a nationwide move that applies to all supermarket chains as they were initiated by the supplier of the said products.
The increases are due to heftier costs of raw materials such as skimmed milk powder, according to the supplier.
However, we are pleased to inform Mr Goh that FairPrice housebrand condensed milk (397g) continues to be retailed at an affordable 90 cents, despite the recent spate of cost increases.
We have been absorbing the cost increases and will continue to do so for as long as we can, as part of our social mission to moderate the cost of living in Singapore.
At FairPrice, we are mindful of our social role in benchmarking prices of essentials. Hence, when suppliers make recommendations to raise prices, we ensure that the price increases are justified.
Secondly, we try our best to hold prices for as long as we can. Wherever possible, we want to be the last to adjust prices. When we cannot avoid a price increase, we try to adjust prices gradually to cushion the impact. Hence, at times, we do not follow the selling prices recommended by suppliers. For example, we are retailing Nestle Milkmaid high-calcium condensed milk below the recommended retail price.
In addition, to help our customers cope with the impact of the GST hike, FairPrice has committed itself to absorbing the two-point GST increase for a basket of 400 essential items for a period of six months.
These are just a few examples of how FairPrice continues to try its best to bring the best value to Singaporeans, despite facing growing cost pressures.
Sheryl Sim (Ms)
Senior Manager
(Corporate Communications)
NTUC Fairprice Co-operative Ltd
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May 29, 2007
Prices of ingredients rose sharply
I WOULD like to provide the following clarification in response to Mr Goh Kian Huat's concern over the recent price increase of Nestle Milkmaid Condensed Milk 397g and Nestle Milkmaid Low-Fat Condensed Milk 392g ('Price hikes: GST rise being used as excuse?'; ST, May 24).
The price increases are inevitable following a huge increase in prices of key ingredients used in the production of condensed and evaporated milk. The price of skimmed milk powder has soared unprecedentedly, from an average of US$2,000 per metric ton last year to US$5,000 per metric ton.
In fact, we are absorbing a portion of the increased costs to ensure that no compromise is made to the quality of our products.
For further clarification on this matter, we welcome Mr Goh to call our Customer Services Hotline on 6227 1146.
Eileen Chan (Ms)
Senior Business Development Manager
Arolys Singapore Pte Ltd
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June 1, 2007
Prices of milk in S'pore goes up, sugar prices fall
A PRICE survey of 40 milk and sugar products retailing at major supermarkets in Singapore shows a hike in the prices of condensed and evaporated milk, and certain brands of fresh milk. Sugar, on the other hand, saw a slight dip in prices, or remained the same.
The survey conducted by the Consumers Association of Singapore (CASE) was in response to recent concerns of product price hikes from members of the public and milk suppliers.
CASE requested for the price information of milk from Carrefour, NTUC Fairprice, Giant, and Sheng Shiong supermarkets in March and May respectively for a basis of comparison.
Condensed milk and evaporated milk
The price increase for condensed milk ranged from $0.10 to $0.50, which means the prices for some brands of condensed milk have gone up by nearly 45 per cent.
Nestle Milkmaid High-Calcium condensed milk shows the steepest price increase from about $1.10 to $1.60, while Dutch Lady condensed milk showed the smallest increase in price with a $0.10 hike.
The price increase for evaporated milk ranged from $0.15 to $0.47, marking a percentage increase of between 18 per cent to 48 per cent. The brand for evaporated milk that saw the steepest price hike is Nestle's Carnation Full Cream milk, from $0.90- $1.40 to $1.30- $1.70.
Fresh milk
Of the seven brands of fresh milk that CASE surveyed, the prices of four brand of 1 litre milk have increased across the board.
Marigold Hi-Lo Fresh milk, Magnolia Fresh milk, Farm House Fresh milk, and Daisy Fresh milk all saw price increases ranging from $0.10 to $0.55 for their products.
CASE says price-sensitive consumers can opt for supermarket housebrands as a cheaper alternative to cope with the price hikes. For instance, a can of Carrefour's 510g Big Saver condensed milk costs $1.10, while a 397g can of Fairprice condensed milk costs $0.90.
Going by cost per unit, these alternative brands sell for almost half the price of Nestle Milkmaid High-Calcium condensed milk.
CASE noted that not all supermarket chains practise a one-price policy. This means that prices may vary across the different outlets belonging to the same supermarket chain.
However, NTUC Fairprice and Giant supermarkets have said that it practices a one-price policy across all its outlets.
CASE said it will continue to monitor the prices of common household items and carry out periodic surveys.
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June 7, 2007
Wholesale price of duck goes up
By Lin Xinyi & Andrea Ong
THE wholesale price of ducks has increased by 20 cents a kilogram since Monday, when Malaysian exporters reduced the supply of live ducks to Singapore by up to 30 per cent.
Duck slaughterhouses Kendo Trading and Heng Khwee Heng Poultry have increased duck prices, which now range from $4.60 to $4.80 per kilogram.
But consumers do not have to fork out more - for now.
Supermarkets Cold Storage, Shop N Save, Giant and NTUC FairPrice have not increased the prices of ducks.
Meanwhile, all of the 20 hawkers The Straits Times spoke to said that prices of duck rice remain unchanged. While they are unhappy about absorbing the additional costs, they said the situation was manageable.
Manager of Choo Chiang Roasted Meat Noodle House (Toa Payoh outlet) Thomas Tan said: 'Only if things go really bad, such as, if duck prices increase by more than $2 per kilogram, then we might consider reducing the portions or increasing the price of our duck rice.'
Mr Loke Koi Choon, who sells duck rice for $3 a plate at Ghim Moh market, said: 'Even during the previous bird flu scare when one duck cost as much as $25, we still didn't raise our prices. If I charge more, who will buy from me?'
The current hike represents a $20 loss in earnings a day for Mr Loke, who sells about 20 ducks daily.
Similarly, the six Johnson Duck Rice outlets are not charging extra yet. But franchise owner Edmund Luo hinted that prices might increase in the near future.
President of the Poultry Merchants' Association Joseph Heng said that duck slaughterhouses have sufficient contingency stock to meet the shortage of supply from Malaysia.
The fall in the number of ducks available for export in Malaysia is a direct result of the ban Kuala Lumpur imposed on duckling imports after a farm in Britain reported a bird flu outbreak in February.
Mr Sam Chong from Xoon Hup Farming, a Malaysian duck farm that exports to Singapore, said that he had been directly affected by the ban as he used to import all his ducklings from Britain.
The British ducklings are of higher quality and tend to be better egg-layers, he said.
Now that he has switched to locally-bred parent stock, 'there are fewer ducklings'. As a result, there are less adult ducks for export.
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Rising egg prices mainly due to rise in temperatures
SINGAPORE: Egg prices have risen for the second time this week, but industry players say the recent bird flu outbreak in Malaysia's Selangor state is not the main reason.
Each egg now costs one cent more, and suppliers here blame it on the weather.
Rising temperatures have affected the supply of chicken feed, they say, and hens are laying fewer eggs.
All these mean higher costs for suppliers, part of which has been passed down to the consumer.
Eggs now cost between 17 cents and 18 cents each.
Singaporeans consume 3.6 million eggs a day, of which 70 per cent are imported from Malaysia.
But eggs from Selangor take up only six to seven per cent of the local market, so the Eggs Import Association feels the impact of the ban on prices here is not severe.
A bigger worry, it says, would be an outbreak in Malacca, where Singapore gets some 60 per cent of its eggs
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June 9, 2007
Condensed milk price rise unjustified
I FOUND the recent reply from the manufacturer of Nestle Milkmaid Condensed Milk regarding skimmed milk powder price increases does not seem to justify the increase in the price of condensed milk ('Prices of ingredients rose sharply'; ST, May 29).
A rise in price of a 397g can of condensed milk from $1.10 to $1.70 (at FairPrice) and $1.60 (at Giant) is some 50 per cent. Some time ago, reliable sources told me a can of condensed milk contains 40 per cent sugar and about 10 per cent skimmed milk powder. With the recent price decrease of sugar by about 20 per cent, there is no justification for the 50 per cent increase in the selling price of condensed milk.
I think the increase is because the new owner of the brand is trying to recover the cost paid for the brand name.
Tham Siong Tuck
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June 11, 2007
StarHub raises prices for cable TV packages
By Terence Voon
CABLE television viewers in Singapore will soon have to pay more to watch their favourite programmes, and sports fans will be hit the hardest.
From July 11, StarHub will increase the subscription fees for all its pay-TV packages by $4 a month.
The company cited the increasing cost of content as the reason behind the hike.
'Most pay-TV operators around the world increase prices periodically, and StarHub has not done so despite a steady rise in costs over the years,' said StarHub's senior vice president of cable, fixed and IP services Thomas Ee.
'It is impossible to continue absorbing the costs indefinitely, so we have no choice but to implement this rate adjustment at this time.'
This will be the first time since 1995 that StarHub is increasing basic pay-TV subscription fees.
But subscribers The Straits Times contacted did not feel the price hike was justified.
Sports-lovers, especially fans of the English Premier League (EPL), will pay the most.
StarHub is raising the price of its popular sports package by $14, including the $4 increase.
This means that subscribers will have to pay $29 a month to get their weekly EPL fix.
The increase for the sports package is expected to take effect from October.
The move was not unexpected. StarHub was said to have paid a whopping $250 million last November to buy the exclusive rights to screen EPL matches in Singapore for three years.
Reactions from sports fans ranged from resignation to outrage.
'I'm not happy, but I have to carry on subscribing because I have no choice. They are the only ones showing EPL,' said junior college lecturer and long-time subscriber Jeffrey Lim.
'The increase is not enough for me to feel the pinch yet, and I don't like watching at pubs,' he added.
Others like 29-year-old businessman Ong Boon Teck vowed to cancel their subscriptions.
'It's not about the money, it's about the principle,' he said.
'How can it be ethical for StarHub to increase the price when their some of their customers are already under contract?'
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June 12, 2007
Allow StarHub cable tv subscribers to opt out
By Ng Kai Ling
THE Consumers' Association of Singapore (Case) has called for StarHub to allow subscribers to their cable television service to be able to opt out without any penalities following news of the subscription fee hike.
'If the consumers are not happy with the fee hike, I suppose they have every right to terminate the contract. The only thing we ask is that StarHub will not impose any penalty on them if they decide to do so,' said Case's executive director Seah Seng Choon.
Since news of the fee hike was released on Monday, readers have posted their comments online on The Straits Times discussion board.
Some have called for their contracts to be rescinded.
Case has received two complaints from consumers and will be writing to StarHub by tomorrow, urging them to not penalise subscribers who decide to terminate their subscriptions.
It is also hopes that the Media Development Authority can 'enlighten' the public on why they approved the fee hike.
And as a matter of good business practice, Case said StarHub should provide consumers with some differentiation in their products to justify the fee increase.
From July 11, StarHub will increase the subscription fees for all its pay-TV packages by $4 a month.
But those who subscribe to the sports package will have to pay an additional $10. The monthly fee now is $15.
The new $25 sports subscription fee is likely to take effect from October.
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Electricity tariffs to be raised by almost 9% from July
15 June 2007 1615 hrs
SINGAPORE: Electricity tariffs for the next three months (Jul-Sep) will go up by almost nine per cent (8.83%).
This is an increase of about 1.6 cents per kilowatt per hour of electricity.
SP Services attributes the hike to higher fuel oil prices, which had gone up by about 20 per cent compared to the current quarter.
The latest tariff increase comes after two downward revisions since the start of this year.
The next revision, which is done quarterly, will be for the months of October to December. - CNA/yy
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$200 GST offset, but so much more to pay ad infinitum
I REFER to StarHub's announcement that it will increase cable TV subscriptions by between $4 for basic groups and $10 for sports content.
This is an increase of 17 to 67 per cent. The reason given was that 'the price hike is a natural result of ongoing increases in prices of pay-TV content", without any mention of the GST increase.
When I received my GST offset letter informing me that I will receive $200, I began to recall the things that I have had to pay more for in recent months.
Over the last 12 months or so, there have been media reports about increases or announced increases in electricity, taxi fares, development charge for non-landed residential sites, refuse collection fees, food courts upgrading and food prices, bus and MRT fares, one- and two-room HDB rental, university fees, Goods and Services Tax (GST), postage, property tax, registration fees for medicines, polyclinic fees, hospital fees, car park charges, Electronic Road Pricing (ERP), Nets charges, ElderShield premiums, removal of medical fees guidelines, plastic bags, hospitals means-testing, electronic share application fee, a second postage rates increase, and now cable TV, et cetera, in chronological order.
All these increases or announced increases are not even related to the impending GST increase, except for SingPost's postage rates increase which is 'specifically to offset the GST hike'.
With the economy booming, resulting in increased revenue, profits, surpluses, possibly lower costs due to economies of scale, et cetera, why is it that prices can only go up but never lowered, or at least kept level?
With the assurance that government fees will be frozen for one year after the GST hike, I hope that particularly those fees for essential goods and services that are not in the 'frozen list", like electricity, taxi fares, ERP, bus and MRT fares, university fees, health-care costs, et cetera, will not continue to rise again soon.
Leong Sze Hian
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