What changed with the Ang Mo Supermarket bag charge and Hao Mart plastic bags?

NEA deregistered both operators from the disposable bag charge scheme after turnover fell below S$100 million, so they are no longer required to charge per bag. Fees become optional at their stores. Larger chains still in the scheme continue to collect per-bag fees. This creates different price signals at checkout, with potential effects on footfall, brand positioning, and margins for value-focused neighborhoods.

Will prices drop if bags are free at these supermarkets?

Probably not directly. Free bags remove a small add-on at checkout, but the cost shifts back to the retailer through higher bag procurement and consumption. That may pressure margins unless stores offset it with tighter operations, private-label mix, or promotions. Any price changes typically hinge on broader factors like supplier terms, category strategy, and competition from bigger chains still charging fees.

How does NEA deregistration interact with the Resource Sustainability Act?

The Resource Sustainability Act sets the framework for mandatory bag charges on operators above a turnover threshold. NEA administers the scheme and maintains the list of registered operators. When a retailer’s turnover falls below S$100 million, NEA can deregister it, making charges optional. The law still supports waste reduction aims, while deregistration tailors obligations to business size and changing market conditions.

What should investors watch after the Ang Mo Supermarket bag charge change?

Track near-term footfall trends, unit economics on bags, and gross margin commentary if disclosed. Look for signals like reusable-bag nudges, limited free-bag issuance, and queue efficiency. Compare pricing and fresh quality versus nearby larger chains that continue charging. Also monitor NEA guidance and any Resource Sustainability Act updates, as policy tweaks could alter compliance costs, ESG optics, and competitive positioning over time.

Global Market Insights

February 02: Ang Mo, Hao Mart Exit Bag Charge Puts ESG, Margins in Focus

ByHuzaifa Zahoor February 2, 2026February 2, 2026

Ang Mo Supermarket bag charge changes took center stage after NEA deregistration moved the chain, and Hao Mart, out of the mandatory scheme. With turnover below S$100 million, they can now choose whether to charge. That puts ESG optics, shopper traffic, and margins in focus versus larger chains that still collect fees. The Ang Mo Supermarket bag charge decision could influence store choice, basket sizes, and operating costs. We outline what changed, why it matters for retail performance in Singapore, and what investors should watch next.