SHAH ALAM - The Cabinet agreed to subsidise 60 sen per kg of chicken and 50 sen per egg to poultry farmers.
Agriculture and Food Industry Minister Datuk Seri Dr Ronald Kiandee said this was decided after taking into consideration the price of live chickens at RM5.90 per kg and retail price of standard chickens of RM8.90 per kg.
He added that the subsidy for eggs applied to all categories.
Ronald said the subsidy period is from Feb 5 until June 4, which is during the Keluarga Malaysia Maximum Price Control Scheme period.
He said the estimated financial implications for the government to implement these subsidies nationwide for four months is RM528.52 million.
"The purpose of this subsidy is to ease the burden of farmers following the increase in costs, especially for feed, which cover 70 per cent of the production costs apart from logistics, labour, utilities and medicine.
"The ministry via the Veterinary Services Department will carry out continuous engagement sessions with industry players to ensure that the chicken and egg production on farms remains sustainable and can fully operate to ensure chicken and egg production is sufficient to meet local needs,” he said in a statement today.
Ronald expressed hope with the government’s intervention of providing subsidies, will enable farmers to stabilise the supply and allow the people to buy chicken and eggs at affordable prices.