POULTRY farmers and chicken breeders have been warned not to raise the price of chicken unreasonably when the price control for goods ends at the end of the month. 

“We have informed them that they can raise their prices at the end of the maximum price control scheme but we are also appealing that the increase should be reasonable,” Domestic Trade and Consumer Affairs Minister Alexander Nanta Linggi said. 

“We (the government) understand their predicament – the rising cost of production and disruption to the global supply chain caused by the war in Ukraine.” 

Nanta was speaking to reporters after attending the joint opening of Parti Pesaka Bumiputera Bersatu (PBB) youth and women wings’ triennial general assembly in Kuching this morning. 

Malaysia is highly dependent on imports of feed, the prices of which have surged as a result of the war. 

“We have been informed by the farmers and breeders that they will raise their prices. We have taken note of their announcement,” he said. 

“We cannot deny that the cost of production has increased dramatically but we still appeal to them to not be unreasonable.” 

Nanta, who is PBB secretary-general, said if they do, “we will investigate them for profiteering (under the Price Control Anti-Profiteering Act 2011)”. 

The increase, he said, should be “within the acceptable margin”. 

He said on the other hand, consumers, too, could not expect the price control to remain in place forever as it will impact the industry. 

“Consumers (should also) understand the problems the farmers face and the situation they are in,” he said. 

Nanta said if the government keeps the price ceiling for too long, it could cause the closure of the chicken rearing industry. 

“(In the end) we probably will not have a supply of chicken if the industry shuts down. Even right now, the small farmers have closed down as it had become uneconomical to carry on,” he said. 

“Let’s not reach that level. The situation must be handled properly.” 

He said there must be a balance between the interests of the farmers and the consumers.

“We have reached 100% self-sufficiency level. (That means) our chicken production far exceeds local demand,” he added. – June 17, 2022.