Not so long ago, these breakfast stuff were so [...]]]>

I just came back from the coffeeshop in the next block of flats. For breakfast this morning, I had bought some fried dough fritters for S$0.70 each. I had also bought a packet of fried beehoon with some longbeans and a piece of luncheon meat for S$2.10.

Not so long ago, these breakfast stuff were so much cheaper. But, then this is 2008 — the year when food stuff prices shoot up, not only in Singapore but also in countries around the world.

Here in Singapore, the price of rice has gone up. Perhaps, because of this, nowadays I do not get the usual generously heaped bowl of rice that I get from my favourite food stall in the foodcourt at Hougang Mall.

I just opened a letter from the government which tells me the total amount of money that I will be receiving this year from the GST Offset Package and Growth Dividends. These will be paid to me on 30 April, 1 July and 1 October 2008. The money is good news to everyone of us grappling with the spiralling cost of living.

Should I expect more from the government? I should not. I should take things in my stride and tighten my belt. Already I have not been taking taxi rides for the past four or five years. I also do not smoke or drink. Nor have I been visiting restaurants in recent memory. Therefore, I am at an advantage compared with many others. What more can I do to help myself cut costs? I can do without the morning visits to the coffeeshop. I can cook instant oats for breakfast instead. It’s good for health and so much cheaper.

Yesterday, on the frontpage of the New York Times, I read about the slump in consumer spending in America which has resulted in some large retail stores filing for bankruptcy protection and some others downsizing.

The NYT report said that ‘Even retailers that can avoid bankruptcy are shutting down stores to preserve cash through what could be a long economic downturn.’ Yes, that’s a good measure — preserving cash. And the advice does not only apply to retail stores and companies. It also rings true for us individuals. I say, keep the cash that you have in your hands and resist splurting on unnecessary things. We really do not need to upgrade our handphone again.

While what is happening in America is far beyond our shores, it may not be long before we and the rest of the world feel the after-effects of a drop in American demand for goods. We Singaporeans have been fortunate to have the best that life can offer. We live in far better conditions than do our neighbours. But, let us not be complacent. Let us tighten our belts and help the government help us ride out this storm which may last quite a while.

You see, I was down at the coffeeshop behind my HDB block buying breakfast for mywife and myself. As I stood waiting for my turn for a packet [...]]]>

The increase in GST from 5% to 7% takes place from today, 1 July 2007. It’s early morning and already I have had a run-in with a market effect of the increase.

You see, I was down at the coffeeshop behind my HDB block buying breakfast for mywife and myself. As I stood waiting for my turn for a packet of mee-kia tah (dry fishball mee) and koey-teow tng (rice noodle fishball soup), the stallowner turned to me and, with a sheepish grin, announced to me that the price of a bowl of fish-ball mee had increased from S$2.00 to S$2.50.

What could I do but smile back at her and say, “It’s Okay.” It’s a typical Singaporean response — giving an outwardly polite answer but resenting the whole thing inside. Why, that must be the reason why I am now rambling on about this episode on the blog though the incident happened barely an hour ago. I must be trying to let out steam on the blog.

One thing’s for sure — it’s going to be more expensive living a resident’s life in Singapore. With some hawkers already moving in to take advantage of the GST increase so that they can increase their daily earnings by a whopping 25%, we residents certainly have to dig harder into our pockets to come out with more money for daily living.

And there’s no turning back — the Government certainly won’t bring the GST back to 5%. GST increases need to take place so that corporate taxes can be reduced. Corporate taxes need to come down so that foreign companies will continue to find it meaningful to remain sited in Singapore. Don’t forget, we have no natural resources to speak of. The only thing natural that we have are our people. But, people need jobs in order to feed their families and these foreign companies bring in much needed jobs.

Hawker food price increases are no stranger to older Singaporeans like me. I was a teenager in the 1970′s when the economy was steaming ahead. Every Chinese New Year would see a price increase of about 50 cents per bowl of fishball noodle soup. You see, it is a local tradition for prices of hawker food to go up just before Chinese New Year and to come down to the original levels when the Chinese New Year celebrations come to a close. But, in those years — from 1970 to 1974 — hawker food prices kept going upwards and remaining there even after the celebrations had drawn to a close. That was how a bowl of fishball mee went from 20 cents to S$2.00 in the space of just five years.

If I remember correctly, when the price hit past S$2.00 to S$2.50, there was market pressure and further price increases could not be sustained. The price has since then hovered around S$2.00.

Come to think of it, the price has remained largely the same since the late 1970′s — more than 25 years ago. If this is the case, then I shouldn’t be getting mad over this 50 cent increase — after all, there hasn’t been any increase the last 25 years!

I guess I will just have to take things in my stride — grind my teeth, bear with the pain and move along with daily living here in Singapore.