Ceiling price control for chicken, chicken eggs, and subsidies for palm cooking oil in bottles of two, three, and five kilogrammes will not be continued from July 1, said Domestic Trade and Consumer Affairs (KPDNHEP) Minister Datuk Seri Alexander Nanta Linggi today.
In a press conference after chairing an engagement session with stakeholders in the poultry industry, Nanta said the move was implemented to ensure that the supply of food in the market was more stable and prices were stabilised in the long run.
“Chicken prices will be floated and will depend on market forces. The needy group will be assisted later with targeted financial aid, ” he said adding that details on the financial aid would be announced by the Ministry of Finance.
Currently, the government sets the maximum retail price of chicken and eggs for Peninsular Malaysia at RM8.90 per kg for standard chicken and RM9.90 per kg for super whole chicken (slaughtered and cleaned without legs, head, liver, and gizzard).
Earlier Prime Minister Datuk Seri Ismail Sabri Yaakob said effective July 1, Putrajaya would stop giving subsidies to poultry farmers. Following this, the farmers reportedly hoped that the government would float the price of chicken.
Nanta informed that the subsidy for cooking oil in one kg polybag packages which are offered to consumers at RM2.50 per packet would continue.
On the abolition of the palm cooking oil subsidy in bottled packaging, he said the subsidy for the goods has reached RM20 million a month.
“This was a temporary programme and should have been implemented for three months but it went on until today.
“The government feels it is time to abolish it and focus more on helping the needy,” he said.
Many Malaysians have expressed their frustrations over this decision.
They are worried that fewer citizens will be able to afford chicken, eggs, and cooking oil especially the ones from the lower-income group.
What do you think? Is the timing right for the subsidy removal?
