PETALING JAYA: The agriculture and food industries ministry has refuted claims by an independent researcher about the state of food production in Malaysia, particularly those pertaining to chicken supply and price control.
In a letter to FMT on Feb 28, Murray Hunter had said the chicken industry was “almost destroyed” by the government’s price manipulation, adding that it was a far cry from when it was one of the country’s best managed and most self-sufficient industries.
In a statement today, the ministry said Hunter’s article was “not supported by accurate facts” and could create a negative perception of the government’s efforts to overcome issues in the chicken supply chain.
“(The ministry refutes) the statement in FMT’s article that the local chicken supply chain is now in a state of turmoil, as it is an unfounded allegation,” it said.
It also denied Hunter’s claim that approved permits (APs) to import whole chickens – which the government had issued to 36 companies to allow shortages to be mitigated – were given out slowly, unfairly and subject to curious fees and conditions.
“Application for APs can be made by any company and will be approved if it meets the requirements that have been set. This application also needs to go through several committees and approval is within one to two months depending on the complete documents.
“There is no fee to apply for this AP,” it said.
The ministry said the government had undertaken various efforts to ensure the competitiveness of the poultry industry and shore up the nation’s food security.
This includes providing subsidies to farmers affected by rising production costs and offering low-interest financing schemes to stakeholders.
It also said the price caps on chicken and eggs had not caused farmers to reduce their output, as alleged by Hunter.
It attributed the shortages to an increase in public consumption after the easing of the Covid-19 restrictions, which had forced many farmers to scale down their operations to remain viable.
On Hunter’s comments that Putrajaya had historically chosen to let GLCs lead agriculture development, which had led to wastage and corruption, the ministry said it was actually the private sector that the government was hoping to empower as part of the latest National Agro-Food Policy 2021-2030.
The policy aimed to increase the share of food that was produced locally, with targets of 50% of beef and buffalo, 30% of mutton and 100% of dairy products to be locally farmed by 2025, it said. - FMT
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