Floating chicken, egg prices prevents subsidies from benefitting the wealthy, foreigners, says PM

KUALA LUMPUR: The government’s move to float the price of chicken and eggs in the market is to ensure that only eligible citizens, and not foreigners or super-rich groups, benefit from the subsidies provided, says Datuk Seri Anwar Ibrahim.

Prime Minister Datuk Seri Anwar Ibrahim said that since 2022, the government has allocated a total of RM3.7bil in subsidies to cover the cost of chicken and eggs.

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This has resulted in approximately 3.5 million foreigners and 10% of the wealthy in the country to also enjoy the benefit of these subsidies.

"Given the current situation where the market price is below the ceiling price, and chicken and eggs in Thailand are cheaper than in Malaysia, then it’s time for us to float the prices.

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"If there is a shortage, we will supplement from the stockpile. The Agriculture and Food Security Ministry has 30% of the chicken and egg stock, and I have instructed the minister to buy from Thailand if needed,” he said during the Prime Minister’s Question Time in the Dewan Rakyat Tuesday (Oct 17).

He was responding to a question from Datuk Rosol Wahid (PN-Hulu Terengganu) who sought the government’s assurance that the move to float the price of chicken and eggs will not burden the people who are already dealing with a high cost of living.

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When tabling Budget 2024 on Friday (Oct 13), the Prime Minister said the government is considering floating the price of both items as the supply has started to stabilise and the current market price is below the ceiling price.

In his reply Tuesday, Anwar said the decision was made after considering various factors through discussions among several ministries, such as the amount of savings in subsidies and the capacity of the Farmer’s Organisation Authority (LPP) and the Federal Agricultural Marketing Authority (Fama).

However, he said the Agriculture and Food Security Minister would announce further details soon. - Bernama