New enforcement powers for the Malaysia Competition Commission (MyCC) must come with safe reporting channels, as small businesses fear repercussions for complaining against major suppliers, the SME Association of Malaysia said.
Association president Dr Chin Chee Seong said the group could consolidate anonymous feedback and raise common issues with MyCC on behalf of members, NST reported.
“We urge MyCC to investigate cases involving essential supplies swiftly and monitor unusual price movements rather than wait for formal complaints,” he said. “Strong laws without timely enforcement will not bring results.”
Chin said educating small businesses is essential to effective enforcement. SMEs face higher prices and unfair terms from cartels and dominant suppliers because of their weaker bargaining power. Price-fixing and market-sharing raise costs for small firms, which are then passed on to consumers.
“Stronger powers for MyCC are important, but that is only the first step. The most important issue is enforcement,” he said, adding that many SMEs are afraid to lodge complaints against major suppliers they depend on.
Chin said SMEs want competition based on price, quality and service. He noted that many micro and small businesses risk breaching the Competition Act because they do not fully understand it. While normal trade group discussions on costs or labour are fine, agreeing on prices, discounts or market allocation is illegal.
“Enforcement must go together with education, so businesses do not unknowingly cross the line,” he said.
Economist Geoffrey Williams said empowering MyCC to confront monopolies and cartels would improve competition, improve customer service and lower consumer prices, the report stated. He said stronger regulatory oversight would force companies to become more agile, creative and productive to protect their market share from new competitors.
However, Williams said direct intervention against cartels must be paired with policy reform, as some cartels exist because of government licensing. “Removing those licences is essential to addressing cartels and monopolies directly,” he said.
He added that tougher competition rules would also attract foreign investors, provided regulations are enforced fairly and do not discriminate against foreign suppliers.
The Competition (Amendment) Bill 2026 was passed by the Dewan Rakyat on 6 July, with 34 amendments aimed at strengthening MyCC’s enforcement toolkit. The bill introduces whistleblower protections and financial rewards under new Sections 64A and 64B, along with a Settlement Offer mechanism allowing enterprises that admit liability early to receive up to 40 per cent reduction in penalties, Malay Mail reported.
