May 15, 2009

 

Malaysian consumer groups oppose bid to increase chicken imports

 
 

Two consumer bodies in Malaysia are opposing the government's proposal to approve more import permits for chicken.

 

Federation of Malaysian Consumers Associations secretary-general Muhammad Sha'ani Abdullah said the proposal will create a dilemma whereby they could either choose to support the local industry or give middlemen the opportunity to exploit producers.

 

Importing poultry will not necessarily help consumers, he said, noting that while the local production is efficient, the distribution mechanism is a problem.

 

Muhammad Sha'ani said the proposal is misguided and it would make more sense to educate and empower consumers to dictate the price of goods.

 

Only consumers could have an effective impact on distribution and product pricing, and that would not cost the government any money, he said.

 

Consumers must be told to play their part - don't buy if the price is too high or unreasonable, as boycotts are a proven technique, he said.

 

Liberalising the local poultry market was a short-term solution that could eventually damage the domestic industry, said Consumers Association of Subang and Shah Alam chairman Jacob George.

 

He said the main reason for rising chicken prices was middlemen hiking prices before the chicken reached retailers, and that the problem is caused by some greedy middlemen.

 

There should have open discussions between stakeholders, including the Domestic Trade and Consumer Affairs Ministry, the Agriculture and Agro-based Industry Ministry, producers and consumer bodies, George said.

 

A new distribution mechanism is needed to address the problems, he concluded.

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