The Malaysian government provided reassurances on Monday of the ample rice supply within its market, urging citizens against hoarding local rice after recent panic-buying cleared shelves in grocery stores and supermarkets nationwide.
Mohamad Sabu, the Minister for Agriculture and Food Security, confirmed plans for the increased distribution of the commodity to rural regions. The move is aimed at mitigating a supply issue triggered by a price hike in imported rice. Like several other countries, Malaysia is dealing with escalating rice prices and dwindling supplies following India’s restrictions on rice sales that has thereby cut global supplies by one-fifth.
In Malaysia, the price of locally produced rice is capped at 2.60 ringgit ($0.55) per kilogram, making it the cheapest among neighboring countries. The leap in the price of imported white rice by 36% on September 1, by the country’s sole importer Padiberas Nasional Berhad, resulted in many Malaysians gravitating towards the more affordable local rice.
Sabu explained that the price surge of imported rice was inevitable following restrictions on rice exports by 19 countries, including India, who were prioritizing their domestic needs. Approximately a third of Malaysia’s rice supply is imported.
“There’s no shortage of rice within our borders, it’s simply the rising prices of imported variants that is causing the worry,” Sabu clarified, “There has been a shift towards buying local rice due to its affordability,”. He further revealed that corrective measures have been instigated by the government in response to this.
Concerns around panic-buying were addressed with a plea to the public. Sabu urged, “It is important to remain calm and only make necessary purchases. Do not indulge in panic-buying.”
Alongside increasing the distribution of local rice to more rural regions, the Malaysian government also plans to subsidize imported rice prices for two of the poorer states located on Borneo island. Beginning Tuesday, Sabu says, measures will be taken to intensify monitoring of rice wholesalers and shops to prevent hoarding of local rice.
Furthermore, checks will be performed to catch sellers who might be repackaging local rice as imported or mixing the grains for higher profit margins. Stern action, he warned, will be taken against anyone found guilty of such actions.
This public briefing was held by Sabu in the lead up to this week’s conference involving Southeast Asian ministers of agriculture and forestry, which commences Wednesday. He also noted that the current rice crisis and associated food security problems will top the discussion list. Members of the Association of Southeast Asian Nations, a bloc of 10 countries, are to meet their counterparts from China, Japan, and South Korea.
