KUALA LUMPUR: The government today rejected claims that it had failed to address the continuous rise in chicken prices.
Domestic Trade and Consumer Affairs Ministry Datuk Alexander Nanta Linggi said efforts to stabilise chicken prices had not failed, only that it has yet to reach a satisfactory level due to breeders' operating costs, which have not been resolved yet.
"We have forwarded the issue on operating costs to the Finance Ministry and Agriculture and Food Industry Ministry so that soft loans could be offered to poultry breeders.
"According to these breeders, subsidising imported chicken feed will not solve the problem. This is because their operating costs are also increasing, along with the decline in foreign worker thus affecting their operations and also due to Covid-19.
"As such, a soft loan will best reduce their operating costs. (And) it is hoped that it will also be the basis for the reduction in prices at the wholesaler and retail levels," he said in the Dewan Rakyat today.
Nanta was responding to a supplementary question by Hassan Abdul Karim (PKR-Pasir Gudang), who asked if the government can be considered as having failed for not being able to lower the retail prices of chicken.
Earlier, responding to the initial question, Nanta said chicken prices are influenced by several factors, including the cost of livestock inputs, especially imported animal feed such as soybeans and corns, which are also determined by foreign exchange rates.
"The ministry has been proactively conducting discussions with the Agriculture and Food Industry Ministry to ensure the stability of chicken prices so that it will not be a burden to operators and consumers.
"As economic and business activities have now reopened, the price of chicken is also influenced by demand and supply.
"As demand from the market increases, the supply, however, is still in the phase of adapting to the demand.
"This causes an imbalance in the market," he said in his response to Rusnah Aluai (PKR-Tangga Batu).
Rusnah had asked about the ministry's efforts and plans to reduce the price of chicken since the current price is unreasonable and that people may find it too burdensome.
