KUALA LUMPUR, Dec 16 — The recent spike in fish prices across the country is not just due to the monsoon season but is also being driven by “market manipulation” from wholesalers who are stockpiling supplies to artificially inflate prices, the chairman of the Malaysian Fisheries Development Authority (LKIM) has alleged.
Muhammad Faiz Fadzil claimed that some wholesalers are buying up large quantities of fish during peak seasons, storing them in cold rooms, and then releasing them slowly when market supply is tight to exploit the situation, Berita Harian reported.
He alleged that wholesalers would buy up supplies and then release these when supply is tight, taking the opportunity to raise prices.
“In reality, the supply already exists, but it is released gradually to exploit market sentiment.”
He acknowledged, however, that the Northeast Monsoon, which runs from November to March, is a genuine factor that disrupts fishing activities and reduces supply, particularly from the East Coast, which contributes about 35 per cent of the total market supply.
This seasonal disruption typically leads to price increases of 30 per cent to 45 per cent. For example, the price of large Indian mackerel has recently jumped from around RM18 per kg to as high as RM25 per kg in the capital.
To mitigate these effects, Muhammad Faiz said LKIM is implementing several strategies. These include moving fish supplies from the less-affected West Coast to the East Coast, balancing supply with imported fish, and relying on frozen stocks of key species that were sourced before the monsoon season.
He also noted that consumers’ freedom to switch to other protein sources helps to balance demand and prevent prices from rising too sharply.
However, he stressed that fish prices cannot be fixed by the government as they are not controlled items.
