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Chicken prices stable in Malaysia despite end of government subsidies

In the Malaysian city of Miri, the recent cessation of governmental subsidies on poultry pricing seems to have made little difference to consumer behaviour, despite the significant uproar it initially sparked on social media and amongst the public. A cursory examination by The Borneo Post across various wet markets, supermarkets, and frozen food outlets revealed minimal fluctuation in chicken prices. Businesses appear to be adhering to their previous price structures, mirroring the period when subsidies were in effect.

In one central city establishment, the cost of fresh and frozen chicken had in fact dipped marginally post the subsidy termination. An outlet staff member revealed they had been notified about a pricing alteration for fresh chicken, but remained uncertain whether this was a permanent shift or a fleeting change, as poultry prices are no longer government-regulated.

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The investigation also discovered that at a frozen food outlet offering fresh chicken, prices remained stable, with no episodes of panic buying reported. A local housewife, Maria, shared that the subsidy cessation had not significantly impacted her, as it was anticipated. She underlined that regardless of the cost, people would continue to purchase chicken.

Maria expressed her hope for the price surge, if any, not to be extreme as chicken serves as a vital protein source for her children. However, she conceded that if the price did escalate, they would not have much choice but to comply.

A civil servant, who opted to remain unidentified, echoed Maria’s sentiments. She voiced her hope for any potential price rise not to be exorbitant to the point of burdening citizens, particularly those from lower-income brackets or with larger families. She suggested that an increase under RM1 would be acceptable, given the limited options available.

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She added that she would remain vigilant for ‘Jualan Rahmah’ or promotional offers that sell chickens at reduced rates, utilizing such opportunities to stock up on supplies. However, she stressed that if prices did increase significantly, consumers could choose to abstain from buying poultry. She also suggested the possibility of raising chickens for personal use, though this would be contingent on residential circumstances.

On October 30th, Agriculture and Food Security Minister Datuk Seri Mohamad Sabu confirmed that the government would cease controlling or subsidising chicken prices from November 1st. This decision, he said, was taken to mitigate the issue of subsidies being exploited by foreigners and high-income earners.

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