Police have foiled a drug dealer's tactic of packing syabu into Chinese tea packets and wrapping them like gifts, after arresting the man at a supermarket in Jelutong, here, Thursday.

Penang police chief Datuk Chuah Ghee Lye said acting on intelligence, the Special Task Force for Anti-Vice, Gambling and Gangsterism (STAGG) from Bukit Aman conducted surveillance at the supermarket from 4pm to 7.30pm before arresting the 44-year-old man.

"When arrested, the man was carrying a bag containing the wrapped packages resembling Chinese New Year gifts and upon checking, police found 10 packets of syabu weighing a total of 10.4 kilogrammes (kg) worth RM700,000.

"It is believed the man wrapped the drugs in such a way to fool the authorities," he told a press conference here, Tuesday.

He said the man, who is a member of a drug trafficking syndicate in the state and the Klang Valley, was believed to be trying to supply the syabu to his syndicate peers.

The suspect who had past criminal records related to drugs has been remanded until Feb 2 to assist with investigations. -- Bernama