He said if the government did not do so, the retail price of chicken at this time would exceed RM10 per kg following the increase in the cost of poultry farming by 70%.

“The National Action Council on Cost of Living (Naccol) special meeting on the food production industry on Jan 31 was briefed on the chicken and egg production industry, which has been badly impacted by the sharp increase in feed costs (corn and soybean).

“Following the increase in production cost, the industry had asked the government to increase the ceiling price,” he said in a statement here today.

On Monday, Prime Minister Ismail Sabri Yaakob announced that the maximum retail price for standard chicken was being reduced by 20% to RM8.90 per kg from the fixed ceiling price of RM9.10 per kg.

Nanta said the retail ceiling price of chicken for Labuan, Sabah and Sarawak would be determined based on location.

He added that this was the third time the price of chicken had been reduced after it was fixed at RM9.50 per kg during the Deepavali celebration; RM9.30 per kg during the Malaysian Family Maximum Price Scheme (SHMKM) (Dec 7 to 31, 2021); and RM9.10 per kg during the SHMKM (Feb 1 to 4).

“The new retail price of chicken is covered through a government subsidy until chicken production costs become stable,” he said.

Nanta said the ministry supported the government’s proactive measures to ensure there was enough supply in the market and to avoid price hikes that burdened the people.

Nanta said the next Naccol meeting would be briefed on a long-term action plan by the agriculture and food industries ministry on food security and supply.