According to Singapore’s The Straits Times, eight exporters, farmers, and suppliers in Malaysia said Putrajaya’s decision to ban the export of chicken from June 1 came as a shock.
They said they had since been rushing to export as much chicken to Singapore as possible, with some farms working day and night to arrange for additional deliveries.
This comes amid a surge in demand for fresh chicken in Singapore following the announcement of the Malaysian ban, with supermarket shelves wiped clean.
To stem a shortage of supply in Malaysia, Prime Minister Ismail Sabri Yaakob had announced that the country would ban all exports of chicken until domestic prices and production stabilised.
But those in the industry said a lack of manpower, rising costs, disease and bad weather were behind the shortage.
“Even if several farms decide to raise prices together, there are many others who will keep selling at the lower prices, and then everyone will buy the cheaper ones instead,” an anonymous exporter told the Singapore daily.
“After maybe a week, those who increase their prices soon realise they are losing business and quickly bring their prices back down.”
He noted that because chicken was a fast-moving commodity with multiple players in the market, any attempt to manipulate the market would ultimately fail.
Chicken sold in Malaysia is supposed to be capped at RM8.90 per kg, but much of it is said to be sold at around RM11.90 per kg.
The exporter said this was due to added costs from rising feed prices, not a mark-up meant for further profit.
The Singapore Food Agency (SFA) said it was working closely with the industry to manage chicken supply in the city-state, while the republic’s Animal and Veterinary Service said it had extended operating hours for inspection of incoming live poultry at the Tuas checkpoint from May 25 to May 31.
According to the SFA, Singapore imported about 73,000 tonnes of chicken from Malaysia last year. This is about 34% of its annual consumption of chicken.
Only 115 farms in Peninsular Malaysia are approved for import by the SFA. Of these, 91 are in Johor.