Floating chicken price: Govt confident there will be no sudden hike

Balancing act: In his Budget 2024 speech, Anwar announced that the temporary price controls for eggs and chickens would be lifted.

KUALA LUMPUR: The government is confident that the move to float the price of chicken will not lead to a sudden increase in prices.

Agriculture and Food Security Minister Datuk Seri Mohamad Sabu said this is because the production of chicken in the country is still sufficient.

"The ceiling price of chicken is RM9.40; the price of chicken in the market now is below the ceiling price. So we hope that with this float, the price of chicken does not exceed the ceiling price.

"This is also (based on) our survey in the market and the producers have also given an assurance to fully cooperate so that the supply of chicken remains sufficient when the price is floated later," he said.

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He said this in the 'Naratif Khas' programme on RTM on the topic "Post-Budget 2024: End of chicken subsidy, what guarantees do the people have?" on Friday (Oct 27) night. Also participating in the programme was the deputy secretary-general (Development) of the Agriculture and Food Security Ministry Datuk Badrul Hisham Mohd.

Mohamad said any party that tried to take advantage by raising the price of chicken after the implementation of the price float would face action.

"I am confident that the Domestic Trade and Cost of Living Ministry will monitor well so that there is no price manipulation.

"If there is a deliberate price increase the government can act, unless there is a shortage of supply in the market. We'll see how the government can intervene to help, especially the B40 group," he said.

When presenting Budget 2024 on Oct 13, Prime Minister Datuk Seri Anwar Ibrahim said the government would consider floating the price of chicken and eggs as the supply of both items was now stable.

Meanwhile, Badrul said the government, especially the Agriculture and Food Security Ministry was very careful when making any decision as it will have a direct impact on the people and the industry.

He said the decision to implement the price float took time as the government adopted the approach of consulting with all stakeholders to review its impact on the community and to provide balance at all levels.

"We expect that in the short term, people may be concerned. However, we have prepared various strategies and approaches that we will implement if the impact and concerns last for an unexpected period.

"In the long term, we are confident that this decision will provide an economic balance to all parties," he said.

The implementation of the chicken and egg price float will be announced on Oct 30.- Bernama