This is mainly important for 2 things:

For cars which then are restricted to Langkawi (with the exception of 2 weeks per year) - and for the alcohol.

A beer here - e.g. a can of Carlsberg - costs RM1.80 in the shop and a carton (24) RM 35 to 36 (a can about RM 1.50), and about RM 2.50 to 4.00 in a 'normal' restaurant in Langkawi.

In Penang, where you have no Duty Free status, you pay RM 9 and more for a can in a 'normal' restaurant. (All prices early 2009).

Otherwise most items - are not cheaper here than e.g. in Kuala Lumpur. On electronic items there is no tax anyway - and everything that is brought to this island gets a little something added, for 'transport'.

So there are many expats who will go and buy their TV, Computer etc. in Penang or in Alostar. There is a better choice and a cheaper price.

And when you are in Singapore - it's even better....

Mark

 

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