March 1, 2022

Chicken prices expected to increase in Malaysia following Russia's invasion into Ukraine

Datuk Jeffrey Ng, Federation of Livestock Farmers' Associations of Malaysia (FLFAM) advisor, said chicken prices are expected to increase in March due to the Russia's invasion into Ukraine, the New Straits Times Malaysia reported.

He said this was because prices for corn, soybean, and palm oil, key ingredients for chicken feed, will increase as Ukraine a key wheat and corn exporter that accounts for 70% of the global market.

He also said factories have been informed that chicken prices will go up next month, but the actual rate is unknown as it is dependent on how long the conflict will last.

Ng urged the government to increase the controlled price of chickens of farms due to the rising costs from the conflict, adding that the subsidy amounting to more than 500 million (~US$119 million; MYR 1 = US$0.24) to poultry farmers was based on previous operating costs.

He said Malaysia could be at risk of a chicken supply shortage if farmers go bankrupt or switch businesses because they cannot afford to bear losses.

Datuk Seri Alexander Nanta Linggi, Malaysia's Domestic Trade and Consumer Affairs Minister, warned traders not to use the conflict as a reason to increase prices of goods.

-      New Straits Times Malaysia