What’s on the menu tomorrow?

The next challenge for the government: Managing price fluctuations for fresh produce and meat so that food operators can continue offering RM5 Menu Rahmah meals.

ON a recent call-in at a local radio station, a listener claimed that a fellow student had resorted to rummaging through garbage to get left-overs to eat.

Now, this appears to be an extreme case, but the reality is that the cost of living has gone up and food prices have continued to soar, making the situation dire for many people living below the poverty line.

The Department of Statistics says that the country’s Consumer Price Index reached a high of 129.5 points in January. All sub-groups in its food and non-alcoholic beverage categories recorded price increases of between 0.7 and 9.1%. Meat (8.3%), milk, cheese and eggs (7%) and, rice and bread (6.7%) all showed increases compared to equivalent prices in January 2022.

Statistics aside, all you need to do is take a trip to your local grocer or supermarket to know that the price of almost every food item is up.

It’s the same at restaurants and kopitiams, where operators have raised prices, ostensibly because of “higher costs of raw food material”.

The result of all these price increases is that B40 – and to a certain extent M40 – households are struggling to put food on the table.

What can the Government do to alleviate this situation? In early February, the Domestic Trade and Cost of Living Ministry launched the Menu Rahmah, a lunch or dinner menu that includes rice, a choice of protein such as chicken or fish and vegetables on the side, offered at RM5 per plate.

By all accounts, this initiative has been a resounding success. A month after its launch, some 15,000 restaurants nationwide are offering Menu Rahmah. Some 700 food operators have participated. And these numbers are set to double in March, according to the Domestic Trade and Cost of Living Minister.

Fast food chains are also expected to jump on the bandwagon by offering these wallet-friendly meals.

Mydin, the local supermarket chain, was the first to offer Menu Rahmah in its stores. The company said daily sales of the meals are on the rise even though it wasn’t making a profit.

Currently, their cost for a meal with chicken is RM4 and RM3.50 for a meal with fish. Both are sold at RM4.90 per plate. This indicates at least a 90sen profit per meal, but when you factor in the overheads, the company would barely cover the costs.

Its managing director Datuk Ameer Ali Mydin said they were willing to commit to the current prices for the next three months, but the company would then have to review the cost structure.

That is the next challenge for the government – ensuring that the food manufacturing sector keeps material prices under control so that food operators can continue offering RM5 meals into the foreseeable future.

If we are really interested in ensuring that food prices are more manageable, we must look at the pain points. Namely, the middlemen. It’s no secret that wholesalers make a killing, especially when it comes to fresh foods.

It is because of this that farmers, fishermen and others in the food value chain suffer.

This was highlighted by the Prime Minister in the recent Budget 2023 where he got Padiberas Nasional Bhd (Bernas) to agree to share 30% of its net profits with padi farmers.

The entire middleman formula needs to be rethought, as this logically will bring down prices. Enforcement from the ministry is key because Menu Rahmah cannot be the end all and be all to bring down food prices.

A whole plethora of middlemen need to play ball, especially for basic food items.

Tomorrow, the Petaling Jaya City Council launches its “PJ City Food Valley” at the Pelangi Damansara low cost flats. Notwithstanding its grand sounding name, this is a concept that, if introduced nationwide, could work to eliminate the middlemen and keep food prices down.

Essentially, the council plans to introduce urban farming in selected locations in the city. For now, a number of hectares of TNB reserve land in four different locations have been identified for this purpose.

Residents of low-cost flats will be encouraged and assisted in the planting of fruits and vegetables in these plots.

The bulk of the produce will be for their own consumption, but some will also be channelled to food banks at selected locations that will be accessible to the poor for free.

What next then for Menu Rahmah?

Ramadan is around the corner, and Kuala Lumpur City Hall (DBKL) is already looking at “Rahmah bazaars” that will offer buka puasa meals for RM5.

But this doesn’t mean opening more bazaars in the city. It just means introducing Menu Rahmah at Ramadan bazaars.

And coming back to the student who was forced to look for leftovers in garbage bins, Menu Rahmah could soon be introduced in public colleges and universities.