SUPERMARKET owners and small traders have welcomed the government’s decision to raise the ceiling price of chicken as a good move in the interest of suppliers and sellers..

They told The Malaysian Insight the increase means slightly better profits for them.

Sayang Fresh Mart owner, who wished to be known as Fahdzil, said the new ceiling price would give him a marginal profit of RM0.40 per kg.

“Back when the price of chicken was RM8.90 per kg, I could only make around RM0.20 but now with the increase, we can get about RM0.40 per kg.

“It is not much but it is better than before,” said Fahdzil, whose shop is in Seremban.

Starting July 1, the price of chicken is capped at RM9.40 per kg, 50 sen more than the previous price cap of RM8.90 per kg.

Fahdzil said as a small player, he cannot compete with supermarkets on prices.

“We cannot compete with the big supermarkets because they can sell the chicken slightly cheaper.  But people come to us for convenience. People visit fresh marts because we are in the neighbourhood. They can get things quickly and they don’t have to queue or pay for parking.

“Rather than travel to the big supermarkets to save a few sen, they opt to buy at the neighbourhood stores, where the items are also fresh,” he said.

Hazwan Halim, who runs Pasar Segar Pintu Rezeki in Nilai, said convenience is a key reason people shop at the small supermarkets.

Hazwan said traders can earn a little extra by delivering, which he has done since the Covid-19 lockdowns.

“We get our chicken from suppliers for RM8.90 or RM9 and we sell them at the ceiling price.

“We don’t charge more to cut them but we charge RM2 or RM3 for delivery, depending on the distance. This is a service we offer to make some extra income,” he said.

No profit in cut chicken

Hazwan said he could make more by selling cut chicken but unsold pieces often go to waste.

“We have to chop up the whole bird and then put them in a separate container with ice.  Also, we can’t keep the unsold pieces. They have to be fresh. So at the end of the day, the unsold pieces go into the waste bin.

“That is why I don’t sell cut chicken,” he said.

Rashid, 44, who runs Pasar Mini Alijisan in Kuala Lumpur, said traders can make more by selling live chickens but the process is tedious and takes up a lot of space.

“I can get live chickens at RM7.20 per kg but I have to do everything: remove the feathers, clean and cut them into pieces.

“Also, we need to keep the live chicken in cages. It will be dirty, there will be a smell and residents will complain.

“So there is profit to be made but it’s a lot of work,” he said.

Rashid said he used to sell live chickens but stopped after residents complained to the authorities.

He said there is still demand for chicken despite the increase in price.

“Over the weekend, I sold nearly 40 chickens. So we cannot say people are not buying. The demand is still there.” – July 5, 2022.