The government has agreed that subsidies and price controls on chicken will be discontinued from Wednesday (Nov 1), said Agriculture and Food Security Minister Datuk Seri Mohamad Sabu.
He said, however, subsidies for grade A, B and C eggs would continue according to the existing mechanism.
“The termination of subsidies for chicken is in line with the approach of retargeting subsidies in phases implemented by the government,” he told a press conference today (Oct 30).
He said the government has allocated a total of RM3.8 billion in subsidies to cover the costs of chicken and eggs until February this year.
“The rationale for ending subsidies in bulk for chicken is to reduce leakages of subsidies, which are also enjoyed by foreigners and high-income groups,” he said.
