KUALA LUMPUR (July 19): GCH Retail Sdn Bhd, the operator of Giant hypermarkets in Malaysia, has warned that it will reject products from any of its suppliers, particularly manufacturers and importers, found to have raised prices unreasonably once the sales and services tax (SST) is rolled out in September.

"We will minimise the price increase if any and actually we will reject them from manufacturers if they come with unreasonable price increase," GCH managing director Pierre-Olivier Deplanck told reporters after a 30-minute meeting with the Council of Eminent Persons at Menara Ilham, here, today.

"Actually, pricing of products is not within our control. It is at the manufacturers and importers," he added. "That's where it needs to be controlled."

On Monday, Finance Minister Lim Guan Eng said the sales tax will be set at 5% and 10%, while services rendered will be charged 6% tax.

The Pakayan Harapan government's reversion to the old tax regime is part of its election promise to scrap the highly unpopular 6% goods and services tax (GST), which was implemented since April 2015 and has contributed revenue of RM44 billion to the government in 2017.