RTS Link set to boost Johor Bahru food markets, but locals warned of possible price rises as Singaporean grocery shoppers arrive

JOHOR BAHRU: Retail food markets in Johor Bahru are bracing for a significant uptick in business when the Johor Bahru-Singapore RTS Link begins operations in January 2027, with Singaporean grocery shoppers expected to drive increased footfall across hypermarkets, supermarkets, wet markets, and farmers’ markets, though the windfall may come with a price for local consumers.

Johor Bumiputera Consumer Association chairman Syed Abdullah Syed Mohamed said the influx of Singaporean shoppers would have a positive impact across the retail food sector, with malls and retail outlets also set to attract larger crowds. “When demand goes up, that means more jobs, better stores and more variety,” he said, as quoted by The Star.

A double-edged boost

The expected surge in cross-border shoppers could, however, push up prices for local consumers, a concern Syed Abdullah flagged directly. He suggested that the Domestic Trade and Cost of Living Ministry and the Federal Agricultural Marketing Authority jointly promote Made-in-Malaysia food products to Singaporean grocery shoppers, including through booths at malls or JB Sentral Station.

Rather than competing on price to attract Singapore shoppers, he said Johor Bahru businesses would do better by offering unique experiences through authentic food and cultural offerings, which was a differentiation strategy that protects local pricing while creating a sustainable draw for cross-border visitors.

Academic perspective

According to The Star, National University of Singapore Southeast Asian Studies Department lecturer Dr Serina Rahman said that when shops cater to foreign buyers, local consumers can also benefit from a broader range of goods.

On the price rise concern, she believed the situation would remain manageable since most Singaporean grocery shoppers do not buy from small shops in Johor Bahru.

However, she noted that food and beverage outlets in downtown Johor Bahru and those near the Causeway that already target Singaporean customers are charging higher prices.

A July 2026 study by the Singapore Business Federation on the RTS Link’s impact on Singapore’s retail and F&B sector forecasts that Singaporeans would spend an additional S$1.05 billion annually in Johor, with groceries identified as the single largest spending category.

That figure shows both the opportunity and the pressure. A billion-dollar annual injection into Johor Bahru’s retail economy is a significant structural shift.