KUALA LUMPUR: The Mydin hypermarket will be selling chicken for RM 7.99 per kilogramme on Nov 1.
Mydin Mohamed Holdings Berhad (Mydin) managing director Datuk Dr Ameer Ali Mydin told the New Straits Times that the hypermarket is ready to adapt to the new measure effective next month where the ceiling price for chicken would be removed.
"Mydin has decided that we will sell chicken at RM 7.99 per kilogramme on Nov 1—the current price is RM 8.79 per kilogramme.
"Mydin, as one of the leading hypermarkets, wants to sell chicken at a reasonable price for our customers, and I hope the industry will follow through.
"I believe my other comrades in the hypermarket line will not take the opportunity to raise prices. I think they will follow our price," he said.
Ameer lauded Agriculture and Food Security Minister Datuk Seri Mohamad Sabu's earlier announcement to discontinue subsidies and price controls for chicken.
"I want to thank the government for listening to the private sector who have been asking for the prices of chicken and eggs not to be controlled anymore.
"I guess the government is taking a one-step-at-a-time approach whereby they want to see how the private sector or society behaves, giving the trust to them to make a reasonable profit and not to take this opportunity to increase prices arbitrarily.
"Lifting the ceiling price for chicken is a soft landing for removing the price control of eggs. The chicken supply is very stable at the moment, so I do not see a problem with that," he said.
Commenting further, Ameer called for the removal of the eggs ceiling price.
"There is a shortage of eggs for grades A, B and C. The government has been unable to increase the supply; the price control does not help in this case.
"My understanding is the industry is losing money on current pricing, so obviously, they will not produce eggs," he said.
While acknowledging that prices of eggs would go up once the ceiling price is removed, Ameer said, "At least we have availability compared to non-availability."
Mat Sabu today said the termination of chicken subsidies is to reduce subsidy leakage.
"We are maintaining the subsidies for eggs because if we were to discontinue them at this point, the price of each egg is expected to increase by RM0.10, and typically, people purchase eggs not individually but in trays," said Mat Sabu.
The retail ceiling price for grade A eggs is 45 sen each, grade B (43 sen) and grade C (41 sen).