RM2.50 Subsidised Cooking Oil: How to Buy Using eCOSS & Who Is Eligible
•By Pengkaji Dasar
Artikel ini juga tersedia dalam Bahasa Melayu
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Starting 1 March 2026, foreigners are officially banned from purchasing subsidised cooking oil packets under the Control of Supplies Act (CSA) 1961. This move reinforces the government's efforts to ensure that cooking oil subsidies worth nearly RM2 billion annually reach the Malaysians who need them most.
This article explains everything about subsidised cooking oil packets - from pricing, how to buy using the eCOSS app, who is eligible, and the latest developments.
Subsidised cooking oil refers to pure palm cooking oil in 1-kilogram polybag packets sold at the controlled price of RM2.50 per unit. The programme is administered by the Ministry of Domestic Trade and Cost of Living (KPDN) under the Cooking Oil Stabilisation Scheme (COSS).
Here is a price comparison showing how significant the subsidy is:
| Type of Cooking Oil | Price (1 kg) | Savings |
|---|---|---|
| Subsidised packet (polybag) | RM2.50 | - |
| Bottled (non-subsidised) | RM6.90+ | RM4.40 (64%) |
The cooking oil subsidy programme has been running since 2007 and aims to help Malaysian households access basic cooking ingredients at affordable prices. The government allocates a quota of 60,000 metric tonnes per month for nationwide distribution.
Eligibility to purchase subsidised cooking oil packets is clear:
eCOSS (Electronic Cooking Oil Subsidy System) is an electronic subsidy management system developed by KPDN. It was launched in April 2025 and replaced the old method which was vulnerable to abuse.
As of November 2025, the eCOSS app has been downloaded by more than 900,000 users with 1.66 million registered users.
Registration is free and only needs to be done once.
Download the "eCOSS" app from:
Open the app and tap "Register". Enter the following details:
Receive an OTP verification code via SMS.
Login details are sent via email. The account is ready to use immediately after activation. Senior citizens or those without smartphones can be assisted by shop staff manually.
After registering for eCOSS, the buying process is straightforward:
Every transaction is recorded digitally in the system. Not all shops sell subsidised cooking oil - only outlets registered in the eCOSS system do.
The eCOSS system brings major improvements compared to the previous distribution method:
| Aspect | Old System | eCOSS (2025+) |
|---|---|---|
| Buyer verification | None - anyone could buy | MyKad + e-KYC required |
| Transaction records | Manual or none | Digital from refinery to consumer |
| Purchase limits | Difficult to enforce | Automatic quota per household |
| Foreigner eligibility | No controls | Blocked via MyKad verification |
| Supply chain monitoring | Limited | Full and real-time |
| Transparency | Low | High - real-time data for KPDN |
The cooking oil subsidy represents a significant financial commitment:
| Year | Allocation |
|---|---|
| 2020 | RM500 million |
| 2021 | RM2.2 billion |
| 2022 | RM4 billion (highest) |
| 2023 | ~RM1.6 billion |
| 2024 | RM1.945 billion |
Subsidy costs depend on global CPO (crude palm oil) prices. When CPO prices were high in 2022, subsidy costs surged to RM4 billion.
Despite the importance of this subsidy, several issues have been identified:
Malaysia's subsidised cooking oil has been reported to be found in abundance in Golok, Thailand - sold at double the price with no purchase limits. Smuggling also occurs through the eastern border into Indonesia and the Philippines.
Before eCOSS, there was no identity verification, allowing foreigners and commercial entities to buy subsidised oil. The Auditor General's Report (July 2025) revealed weak enforcement and a lack of clear eligibility criteria.
Traders and middlemen hoard stock to sell at higher prices, causing ordinary citizens to struggle finding supply on supermarket shelves.
The eCOSS system was developed specifically to address all three issues through digital verification and comprehensive supply chain monitoring.
| Date | Event |
|---|---|
| April 2025 | eCOSS launched |
| May 2025 | Piloted in Putrajaya and Johor - 25.36 million transactions recorded |
| July 2025 | Auditor General's Report exposes weaknesses - KPDN strengthens enforcement |
| November 2025 | 1.66 million registered eCOSS users |
| December 2025 | eCOSS successfully curbs subsidy leakage |
| January 2026 | KPDN gazettes foreigner ban |
| 1 March 2026 | Official ban takes effect |
| June 2026 (expected) | New generation MyKad with QR code |
The National Registration Department (JPN) is expected to launch a new generation MyKad with enhanced security features including a QR code in June 2026. This feature will further simplify identity verification when purchasing subsidised cooking oil and for various other uses.
The purchase limit is between 2-5 packets per month per household, depending on household size. The eCOSS system automatically controls this quota and it resets at the beginning of each month.
Yes, you can still buy subsidised cooking oil packets at registered outlets. For those without smartphones, shop staff can assist with manual verification using your MyKad.
The national quota of 60,000 metric tonnes per month is actually sufficient. Local shortages are usually caused by stock hoarding, uneven distribution, or purchases by ineligible parties. The eCOSS system aims to resolve these issues.
No. Only cooking oil in 1-kilogram polybag packets is subsidised at RM2.50. Bottled cooking oil is sold at market price (RM6.90+).
No. Starting 1 March 2026, the official ban is in effect under the Control of Supplies Act 1961. Foreigners are not allowed to purchase subsidised cooking oil packets.
Use the map function in the eCOSS app to find registered retail outlets near you. Only shops with an eCOSS QR code sell subsidised cooking oil.
If you use 3 kg of cooking oil per month, the savings amount to RM13.20 (3 x RM4.40). Over a year, savings can reach RM158.
Malaysia is the world's second-largest palm oil producer. Palm cooking oil is a staple cooking ingredient for the population. The subsidy protects the B40 group from global commodity price fluctuations and ensures national food security.
Subsidised cooking oil packets at RM2.50 are an important form of assistance that saves Malaysian households up to 64% on cooking oil costs. With the implementation of the eCOSS system and the recent ban on foreigners, the government is working to ensure that subsidies worth nearly RM2 billion annually reach the citizens who need them.
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