Positive signs of competition after end of chicken subsidies, price controls

Friday 22 Nov 2024

KUALA LUMPUR (Nov 2): Since Putrajaya ended subsidies and price controls on chicken on Nov 1, the Malaysia Competition Commission (MyCC) has reported that it sees positive signs of competition in the market.

The competition watchdog said it has observed no disruption on chicken supply, with prices of chicken ranging from RM6.49 to RM11 per kg during the first two days of the transitionary period.

“We also would like to state that so far, we have not received any complaints by anyone until [Thursday] (Nov 2),” it said in a statement.

Nonetheless, MyCC said it will continue to closely monitor the situation for any signs of anti-competitive behaviour, as it notes that the lifting of subsidies and ceiling prices should not be taken advantage of.

“Much like the investigation conducted by MyCC last year involving the chicken feed millers, we will act without fear or favour should the market show any indication of distortion of competition by any player in any level of the supply chain,” it added.

MyCC noted that it is working closely with the Ministry of Domestic Trade and Cost of Living as well as the Ministry of Agriculture and Food Security, which are providing the commission with access to data that will enable it to detect and respond to signs of market distortion, in particular cartel activities.

“MyCC understands the importance of chicken serving as one of the main sources of protein for consumers in Malaysia. We remain dedicated to ensure the existence of competition in the market for the best interests of consumers,” MyCC said.

“MyCC welcomes any complaints or sharing of any information in relation to relevant issues from the consumers and enterprises and they may do so via our website at www.mycc.gov.my or any other ways that are convenient to them,” it added.

Edited ByLam Jian Wyn

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