KUALA LUMPUR, Oct 14 — The government’s proposal to lift the temporary price controls on chicken and eggs is to allow the market to move freely in ensuring there is uninterrupted supply of these two commodities in the market.
Deputy Agriculture and Food Security Minister Chan Foong Hin said as supply has stabilised and the retail prices now are below the set ceiling prices, price control is no longer relevant.
“It is important to know that poultry and egg production in Malaysia had long since reached the level of self-sufficiency but there were some disruptions in the supply chain at the end of last year.
“Through several steps of government intervention, the chicken and egg farming sector is now back to normal,” he said in a statement today.
The announcement (on lifting of temporary price controls) by Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2024 yesterday in Parliament came two years after the price controls on chicken and eggs were implemented.
Chan said since February 2022, the government had borne RM3.8 billion just for egg and chicken subsidies.
He believes the agricultural sector is commercial in nature and needs to be continuously developed and to function according to market forces.
He is confident that with the lifting of the temporary price controls, the chicken and egg farming sector will grow and develop by not only supplying a healthy and sufficient source of protein to the country, but also to overseas markets.
“KPKM will also continue to engage with industry players, especially the Federation of Livestock Farmers Associations of Malaysia (FLFAM) to discuss soft-landing steps before chicken and egg prices are floated. More details on this will be announced later,” he said.
He also said the allocation of subsidies especially in the agro-food sector really needs to be rationalised so that apart from allowing farmers, padi farmers, breeders, and fishermen to benefit from the potential development of the commercial agricultural economy, the allocation could also be channeled to the target groups efficiently.
“The highest appreciation goes to the Prime Minister, who is also the Finance Minister. Budget 2024 proves the Unity Government’s determination to strengthen the local food ecosystem and in turn improve market relations for producers such as farmers, breeders and fishermen,” he added. — Bernama
