Govt probing claims of cartels controlling chicken prices, investigation to complete in June

SHAH ALAM - The government is aware of claims that there are “cartels” in the country that control food prices and chicken production, especially among bigger companies and investigation is underway.

Prime Minister Datuk Seri Ismail Sabri Yaakob added Putrajaya would take legal action against those involved if they were found to be agreement among the “cartels” relating to chicken prices and supply.

“The Malaysian Competition Commission (MyCC) is investigating this matter and the investigation is expected to be completed this June, "he said.

“If there were deals with the cartels, the government would take legal action against them,” he said.

Ismail Sabri added the roles and involvements of middlemen that manipulated the supply and price would be reduced.

“The government would reintroduce the fight against middlemen that I had introduced in 2014 and National Farmers Organisation would lead the cause,” he said.

Ismail Sabri said government-linked companies (GLCs), government agencies, Farmers Association and cooperatives were urged to take part in poultry farming.

“The government would study the assistance needed for those involved,” he said.

He said that the move was a part of the medium and long-term plans to be drawn up by the Agriculture and Food Industries Ministry and Domestic Trade and Consumer Affairs Ministry.

“The Attorney-General Tan Sri Idrus Harun was also called for today’s meeting and had advised the cabinet to use the Control of Supplies Act 1961 (Act 122) if there were any activities relating to hoarding, storing or elements of sabotage to the supply of chickens.

“Actions could be taken under the Act and their licenses would also be revoked,” he said.

For years, consumer watchdogs have been claiming that there are hidden hands controlling food prices and production.