September 10, 2004

Malaysia Seeks Poultry Exports Deal With Singapore

Malaysian officials are negotiating an agreement with Singapore to allow exports of poultry and eggs to resume from farms not affected by the bird flu outbreak.

Agriculture Minister Muhyiddin Yassin said Thursday that the talks showed "very positive developments" and hoped the first shipment of chicken could be sent "before the end of the month."

Singapore is Malaysia's largest market for poultry and eggs. Eggs and frozen poultry prices have risen in the city-state, and the government has announced a relief package for egg sellers and slaughterhouses affected by the ban on Malaysian poultry products.

Malaysian authorities have pledged to crack down on smugglers bringing poultry from Thailand, saying they were wrecking the country's economy.

Malaysian farmers have suffered massive losses because of import bans imposed by the European Union, Hong Kong, Japan, the Philippines and Singapore.

The deadly H5N1 strain is believed to have entered Malaysia from Thailand last month, when fighting cocks in a village near the border were discovered dead from the disease.

Thousands of chickens, ducks and pet birds were gassed in a 10-kilometer quarantine area thrown around the village. But a second outbreak flared this week within the zone, prompting a new cull of nearly 2,000 birds to be followed by a 21-day quarantine.