Allegations Of Market Domination In Rice Industry Are Baseless Says Malaysian Deputy Minister

Allegations Of Market Domination In Rice Industry Are Baseless Says Malaysian Deputy Minister

Malaysian Deputy Agriculture and Food Security Minister Arthur Joseph Kurup discarded all allegations claiming that a few large companies dominate the padi (the Malay and Indonesian word that “paddy” is derived from) and rice industry. He also said that allegations of market domination in rice industry to the extent of forming a cartel-like structure is completely baseless.

The deputy minister while responding to a question from Senator said that conclusions are based on Malaysian Competition Commission (MyCC) study on the rice industry, which he reviewed at the Cabinet Committee Meeting on National Food Security Policy on Dec 17, 2024. He also further said that MyCC did not find any anti-competitive practices or any issues that contravene the provisions of the Competition Act 2010. The deputy Agriculture and Food Security Minister Arthur Joseph Kurup stressed on the efforts of his government in reducing such anti-competitive practices. The minister reportedly said that “the ministry has been implementing comprehensive reforms in the padi and rice industry in phases since October 2024.”

The minister also pointed out on the key areas that the government need to focus under the rice industry reform; he added that there is a need to review the existing legal framework to ensure it remains relevant and effective in regulating the industry. This review is important in addressing various issues that have recently plagued the sector, including ecosystem imbalances, allegations of supply manipulation through rice-mixing activities, and other related matters,” he added.

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