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New Straits Times
03-07-2025
- Business
- New Straits Times
Malaysia now net chicken importer again as supply fails to meet demand
KUALA LUMPUR: Malaysia has once again become a net importer of chicken, with domestic production no longer able to meet local demand, a concerning shift after achieving full self-sufficiency in 2021. The development was revealed by the Agro-Food Productivity Nexus (AFPN), which expressed concern over the nation's food supply security, despite Malaysia's overall improvement in global competitiveness rankings. According to highlighted data, the Self-Sufficiency Level (SSL) for chicken dropped to 90.2 per cent in 2023, a significant decline from the 100.2 per cent recorded in 2021, indicating that the country is now reliant on external sources to meet domestic demand. While Malaysia has made gains in the World Competitiveness Ranking, key indicators for the agro-food sector, such as price competitiveness, productivity and innovation, remain sluggish and underwhelming. AFPN said that the issue goes beyond the number of chickens farmed and involves the entire supply chain. Although chickens are reared locally, the sector remains heavily dependent on imported animal feed. This dependence leaves the country's poultry industry highly vulnerable to global shocks such as wars, pandemics, and currency exchange fluctuations that could suddenly inflate production costs. Commenting on the issue, Malaysian Productivity Corporation (MPC) director-general Datuk Zahid Ismail said food security is not solely about supply, but also about long-term resilience and competitiveness. "We must remove systemic barriers, open pathways for innovation, and create an ecosystem that enables farmers to thrive and contribute meaningfully to national productivity," he said. In response, AFPN called for more targeted and responsive policies to strengthen food security. Among the proposed measures are easing entry for new farmers, supporting the expansion of existing operations through better land access, restructuring of approval processes, and reducing bureaucratic red tape. It also emphasised the urgent need to accelerate the adoption of digital technology in agriculture. However, Zahid cautioned that efforts are being hindered by inadequate internet connectivity in rural areas. "Digital adoption is a key driver of agro-food productivity, but connectivity must come first. Immediate, targeted investment in rural digital infrastructure is vital so that no farmer is left behind as the nation moves towards smart agriculture," he added. As such, AFPN is urging the government to fast-track the sector's modernisation through investments in smart farming, empowering young agropreneurs, and fostering strong public-private partnerships to build a more secure and resilient national food system.


The Star
01-07-2025
- Business
- The Star
More targeted policies needed to beef up national food security, says AFPN
Dependence on imports is for some foods including vegetables and fruits. Malaysia still needs to import food commodities such as vegetables and fruits from temperate climates, This is because these commodities are not economical to produce in Malaysia because the price will be higher than imports in addition to the country's unfavorable weather factors and it is affected by the demand of the local market. . — MUHAMAD SHAHRIL ROSLI/The Star KUALA LUMPUR: Policies that are more focused and responsive need to be formulated to strengthen national food security, in light of concerns over rising food prices and the country's high dependence on global supply chains. Malaysia Productivity Corporation (MPC) through the Agro-Food Productivity Nexus (AFPN) said currently, Malaysia still relied heavily on food imports, including in the poultry farming industry. "For example, the Self-Sufficiency Level (SSL) for chicken dropped to 90.2 per cent in 2023 compared to 100.2 per cent in 2021, indicating growing reliance on external sources. "Although chickens are farmed locally, the import dependency for animal feed remains high, making the sector vulnerable to global shocks and exchange rate fluctuations,' AFPN said in a statement issued by MPC on Tuesday (July 1). AFPN also said that although Malaysia recorded an improvement in the World Competitiveness Ranking (WCR) 2025, the agro-food sector's performance indicators, such as price competitiveness, productivity and innovation, remain slow and lacklustre. AFPN stressed the need for proactive and contextual policy reforms. These include facilitating the entry of new farmers, supporting the expansion of existing farmers through easier land access, restructuring approval processes, reducing bureaucratic red tape and accelerating digital technology adoption in the agro-food sector. MPC director-general Datuk Zahid Ismail was quoted in the statement as saying that Malaysia must remove systemic barriers, open up space for innovation and create an ecosystem that enables farmers to grow and contribute meaningfully to national productivity. "Food security is not just about supply; it is closely tied to resilience and long-term competitiveness. Digital adoption is a key driver of agro-food productivity, but connectivity must be prioritised first,' he said. On June 17, the Investment, Trade and Industry Ministry (Miti) announced that Malaysia has risen 11 places in the WCR 2025, moving to 23rd place out of 69 economies, its best ranking since 2020.- Bernama