The SIBU Rice Wholesalers Association has urged the Federal Government to designate more land for agricultural development in order to decrease reliance on imported food. This appeal comes in response to the rising price of imported white rice. Datuk Wong Kie Sing, the chairman of the association, emphasized that rice is a fundamental staple in the people’s diet. He expressed concern over potential price increases and supply shortages, citing the country’s insufficient production of white rice and the need to depend on imports.
During a press conference, Wong disclosed a significant increase in the price of white rice starting from September 1. Padiberas Nasional Bhd (Bernas), the national rice company, announced that the price of imported white rice would rise from RM2,350 to RM3,200 per tonne. Specifically, the cost of imported white rice (5% broken) has escalated from RM27 to RM37. In contrast, there has been no change in the price of locally grown white rice. Wong explained that the wholesale price for one tonne of white rice starts at RM850, which translates to an expected increase in retail prices for a 10kg bag of imported rice to RM36-RM40, up from the previous range of RM25-RM35.
Wong attributed the price surge to a decrease in rice exports by Vietnam and India, the second and third largest rice exporters in the world. This reduction in supply has resulted in a one-third decline in global rice availability. Furthermore, the quotation prices for Thai rice, which serves as a global benchmark, have surged by over 30%, reaching a 20-year high. Wong regarded Thailand’s steep price increase as a significant blow to global food prices. He emphasized that external factors such as climate change, weak exchange rates, rising operational costs, regional conflicts, and India’s ban on non-basmati white rice exports have disrupted transactions in the global market.
Wong acknowledged the necessity for Padiberas Nasional Bhd (Bernas) to adjust the price of imported white rice in order to maintain operational stability. On September 1, Bernas declared a 36% increase in the price of imported white rice. In light of this change, the Ministry of Agriculture and Food Security confirmed their intention to convene a meeting with Bernas and padi farmers on September 7 to discuss the country’s local rice supply.
Credit: The Star : Metro Feed
