KUALA LUMPUR, Oct 17 — The government’s move to float the price of chicken and eggs in the market ensures only eligible citizens, and not foreigners or super-rich groups, benefit from the subsidies provided.
Prime Minister Datuk Seri Anwar Ibrahim said since 2022, the government has allocated RM3.7 billion in subsidies to cover the cost of chicken and eggs.
This has resulted in approximately 3.5 million foreigners and 10 per cent of the wealthy in the country also enjoying the benefit of these subsidies.
“Given the current situation where the market price is below the ceiling price, and chicken and eggs in Thailand are cheaper than in Malaysia, then it is time for us to float the prices.
“If there is a shortage, we will supplement from the stockpile. The Agriculture and Food Security Ministry has 30 per cent of the chicken and egg stock, and I have instructed the minister to buy from Thailand if needed,” he said during the Minister’s Question Time in the Dewan Rakyat today.
Responding to Hulu Terengganu MP Datuk Rosol Wahid’s supplementary question regarding the impact of this measure on the Consumer Price Index, Anwar said the current market prices for chicken and eggs, including wholesale, are still considered low.
To a supplementary question from Pasir Mas MP Ahmad Fadhli Shaari, he said the government’s interference in regulating the price of chicken and eggs is one of the reasons why both local and foreign firms, including those from Thailand, were hesitant to invest in Malaysia’s poultry industry.
“Government intervention in terms of pricing leaves them unwilling. So now, if we leave it to the market (floating prices) and people face difficulties, we will provide external support, which I think will encourage companies to invest.
“Investors say they cannot invest because they do not know to what extent the government can intervene, so we are adjusting our approach,” Anwar said.
Regarding concerns about the rising chicken and egg prices, the issue can be addressed through various means, including the provision of the Rahmah Cash Aid (STR).
“That is why we increased the allocation for STR from RM8 billion to RM10 billion (in Budget 2024), considering the people’s hardship.
“So it is not true that the government does not care (about the people’s struggle). In the current financial constraints, the government has reduced expenses to increase allocations for the people,” he said.
— Bernama
