Eateries in Johor Baru are taking a cautious approach and observing the situation until the end of the year to assess the impact of the removal of price controls on chicken and eggs. The Johor Indian Muslim Entrepreneurs Association (Perusim) is closely monitoring the government’s decision. According to the association’s secretary, Hussein Ibrahim, it is too early to make any decisions as it is still soon after the Budget 2024 was announced. The association has several options to deal with the implications.
Hussein Ibrahim stated that chicken and eggs are essential ingredients in nearly every dish served in mamak restaurants across the country. Mamak restaurants offer a range of chicken dishes, such as ayam masak merah, ayam briyani, ayam kurma, ayam rendang, ayam masak bawang, and ayam masak rose. Additionally, chicken and eggs are used in mamak mee goreng, fried rice, briyani, and roti canai telur. If the decision is made to maintain prices, the amount of chicken pieces and rice served would need to be reduced,” Hussein explained.
Hussein: The association has two options – either to increase the prices of dishes or maintain them but reduce the servings.
Currently, in Johor Baru, a plate of white rice with a piece of chicken and one vegetable costs RM6.50, while a serving of chicken briyani ranges from RM12 to RM13. The price of fried noodles with chicken and egg is between RM6.50 and RM7, roti canai telur is around RM2.50, and roti canai telur bawang costs RM2.70. Hussein mentioned that if prices were to be increased, it would likely be implemented in January of next year, with a hike of approximately 15%.
Hussein also urged the Domestic Trade and Cost of Living Ministry to continuously monitor chicken and egg prices to prevent suppliers and distributors from taking advantage of the removal of price controls. Rozita Ramli, the owner of Dapur Bonda Rozita, expressed her concern about the rising prices of raw ingredients earlier this year. She stated that many food operators in Johor Baru are struggling to maintain their prices due to high overheads and thin profit margins. She added that poultry sellers and egg traders in the wholesale market have been hinting at future price increases.
Rozita mentioned that a tray of 30 regular Grade A eggs is currently sold for RM13.50, Grade B for RM12.90, and Grade C for RM12. However, her regular egg sellers have indicated that the prices may rise to RM22 for Grade A, RM21 for Grade B, and RM20 for Grade C. In response to increased egg prices, Rozita will have no choice but to pass on the costs to her customers. She expects to sell a fried egg for RM2 instead of the current RM1.50. The difficulty of obtaining local rice has also forced her to use imported rice, resulting in an increase in the price of plain rice from RM2 to RM2.50 per plate.
