Due to the movement restrictions, most of us can't go out and have to resort to food delivery services, and the food store owners also have to use platforms like these to survive during these difficult times. However, we have noticed that the app-based food delivery services in Singapore are jacking up prices. We would like to seek clarity on the price increase - how are the increase being utilised? Are they going to the drivers who are braving the danger of the pandemic to deliver food to us?

Otherwise it would appear that the delivery platforms are taking advantage of a national emergency to make extra profits off of both consumers and food stall owners—by charging substantially more for an essential service. In some countries, this is known as price-gouging. 

Some observations that have happened recently include:

- Removing their unlimited monthly food delivery services

- Charging food stall owners hefty commissions, therefore we see an increase on the menu prices as the merchants are trying to compensate for the increase that the platforms are charging them

- Introducing small order fees

- Increasing delivery fees

Here are some of my investigations- I order the same things quite often pre-Covid so I remember the prices by heart:

Paya Lebar KL Ban Mee - fishball noodles:
$5 at the store
$5.74 on Grabfood before circuit breaker
$7 on FoodPanda during circuit breaker, $3.49 delivery = total $10.49
$7 on Grabfood during circuit breaker, $3 small order fee, $3.60 “service fee” = total $13.60

Popeyes - 3 piece tenders meal:
$7.80 at the store
$8.70 on Foodpanda before circuit breaker
$9.10 on Foodpanda during circuit breaker
$9.10 on Grabfood during circuit breaker, $0.90 small order fee, $4.60 “service fee”, total $14.60 —— note that this is not the same as the meal offered at the store, doesn’t come with biscuit and free Cajun fries upgrade. If we want to have exactly the same meal as the store, it will be additional $0.50 fries upgrade and $1.80 for biscuit, total $9.10 + $0.50 + $1.80 + $4.60 = $16 ---> This is almost double the price as compared to eating at the store!

Subway - garlic chicken sub + avocado:
$8.70 at the store
$9.40 on Grabfood, $0.60 small order fee and $4.60 “service fee” = total $14.60

We need to sign a petition and do something about these price increases. We need more transparency regarding the price increase - is the price increase is going to the merchant, going to the deliverer, or going to the Food delivery app? If it’s really about paying drivers, can we add a transparency measure to show the added costs, and ensure drivers are receiving that compensation?

Whilst you can say that we can cook at home, to reduce the prices, but not everyone can cook or have the necessary equipment to cook at home. We can also travel to hawker centres and get the food there, but we should also try to reduce going out of our homes, as recommended by our MPs. Especially right now, food delivery to our homes is no longer just a luxury, but a necessity.

Once this petition reaches 1000 signings, I will do the following:
- Write to the reps of delivery apps and ask for an official explanation regarding the price increase
- Write to the Singapore Food Agency to ask for more regulatory measures regarding food delivery costs
- Bring up this issue at the Meet-the-People session with the MP from my GRC