Chicken price U-turn raises questions in govt's policy process: PKR MP

Putrajaya's decision to make a U-turn only three days after announcing that the ceiling price for chicken will be removed has led to an opposition lawmaker raising questions on how the government formulates its policies.

Bayan Baru MP Sim Tze Tzin said the U-turn shows the government's “weakness and inconsistency”.

"The government's policy was not formulated with a clear objective, a professional process and involving all stakeholders.

"The prime minister has 69 ministers and deputy ministers. How is it that not even one can understand in depth the reason behind the rise of chicken prices?" the PKR parliamentarian said in a statement.

Sim (above, left) questioned the role of the National Action Council on Cost of Living (Naccol) in managing the crisis.

"Naccol is chaired by the prime minister and comprises members who are ministers from BN, Perikatan Nasional, GPS and GRS. Are they not able to come up with a solution?

"The U-turn does not inspire confidence among the people and the livestock industry," he added.

Sim also wanted to know if similar flip-flop policies will affect other sectors.

Subsidy removal, supply shortage

On June 21, the government announced that it will remove subsidies for bottled cooking oil and lift the ceiling price for chicken and eggs. Cooking oil in 1kg polybags will continue to be subsidised.

However, three days later, the government made a U-turn, stating that it will not allow the free float of chicken prices but will instead set a new ceiling price.

The prices of eggs are still expected to be floated while the subsidy for bottled cooking oil was removed.

Amid the rising cost of food, the existing ceiling prices had led to a shortage in supply.

The rising cost is fueled by soaring global inflation as supply chains attempt to catch up with surging demand coming out of the Covid-19 pandemic as well as the Ukraine war which has caused a shortage in grains used as chicken feed.

Ukraine is the world's second-biggest grain exporter in the world. - Mkini