Agriculture and Food Industries Minister Ronald Kiandee said the Covid-19 pandemic has affected almost every economic activity, especially the poultry industry as the demand for eggs fell while global prices for chicken feed surged.

He said the MCO caused the food industry to limit its operations, resulting in a dip in demand by restaurants, hotels and school canteens.

“But egg production remained the same and led to egg dumping at farms to the extent that it caused the prices of eggs to dip,” he said.

Jalaluddin Alias (BN-Jelebu) had asked about the impact of the pandemic on local egg production as the industry is said to be suffering millions in losses following the increase in chicken feed prices.

Kiandee said that based on the market price for grade C eggs, there was a drop in prices by 38% to 21 sen an egg in November compared with 34 sen in April. This resulted in lower profit margins for egg producers.

He said corn prices, meanwhile, increased by 15.2% to RM1,100 a tonne in November compared with RM955 a tonne in April.

Soybeans also went up by 9.4% to RM2,100 a tonne in November compared with RM1,920 in April, with the prices determined by the global market.

Kiandee said the ministry is seeking short-term intervention measures and holding discussions with animal feed producers to find the best solution.