PUTRAJAYA: Datuk Seri Anwar Ibrahim wants an investigation to be carried out into reports suggesting there is an increase in food prices despite the drop in the prices of rice and poultry.
In his speech at the Finance Ministry's monthly assembly here today, the Prime Minister also highlighted the need for the authorities overseeing the supply of local white rice to improve enforcement and monitoring efforts.
"I do not want to deny that there are cases of increase in food prices.
"I was told that food prices have increased although the price of rice is going down.
"The price of sugar is under control. The prices of chicken are going down as well in comparison to two or three years ago," said Anwar, who is also finance minister.
He nevertheless stressed that the prices of sugar in Malaysia is the lowest compared to other countries in Southeast Asia.
"(When the prices of controlled items are cheap) there are still problems since smuggling cases will increase," he said.
Anwar cited a case in Pulau Sebatik as an example in which one third of the population at the island is Malaysian, while two thirds of the population are Indonesian citizens.
"However, the supply of raw oil, rice and sugar amongst others are for the (population in) entire island.
"That is why targeted subsidies is important and a new taxation approach that does not burden ( the people in the middle and low income groups) is needed.
"This is to ensure fairness in which those who are super rich will not get the benefit from the subsidies (by the government)," he said.
Without singling out any ministry, government department or agency , Anwar said there was a need for new approaches to enforcement and monitoring to ensure there is sufficient supply of local white rice.
He added that he is aware of the predicament faced by the people where rice was concerned.
"During the Jualan Rahmah programme in Permatang Pauh, I asked a trader why she is still selling beras campuran (mixed rice) at RM30 since there is local white rice priced at RM26.
"The woman proceeded to answer that although she learned that the stock (of local white rice) is available, she could not find it in shops."
Anwar said he received information there were some 150,000 metric tonnes of local white rice distributed to the market.
The amount, said Anwar, however is not enough to meet the demand from consumers.
He added that he has instructed the Federal Agriculture Marketing Authority (Fama) and Farmers' Organisation Authority (LPP) to focus on rural areas on the supply of local white rice.
This, he said, was to ensure that people in low income groups could buy the food items since rice is a staple food in the country.