Malaysia Builds Up Chicken Reserves to Stabilize Prices

Datuk Noh Omar, the Malaysian Minister for Agriculture, Agribusiness, Domestic Trade and Consumer Affairs, recently proposed that the Government build up chicken reserves to stabilize prices on domestic markets. According to the New Sabah Times that published the news, Malaysia barely produces enough chickens to meet the daily demand of 1.5 million consumers. However, demand sometimes exceeds supply, leading to excessive results on prices.

In the increasingly uncertain situation of international agricultural markets, the agriculture and agribusiness minister’s initiative proves that governments cannot steer clear of policies to stabilize agricultural markets because of the vital nature of food products. A fact that is best illustrated by the food crisis of the 2007-2008 harvest and the hunger riots it generated in many developing countries.

Indeed, it would be relevant that the international community strives to implement a global policy to regulate international agricultural markets, rather than let each country develop its own policy. Because we then always face the risk that such policies be misconstrued or discriminatory against countries that cannot afford to implement them.