Is the current egg ceiling price fair to Sarawak farmers?

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The Current Egg Ceiling Price May Not Be Fair to Sarawak Farmers

The current government-imposed ceiling price for eggs is a point of contention for Sarawak's livestock farmers, who argue that it does not adequately reflect their production costs and market realities. The Sibu Livestock Farmers Association has expressed a desire for the government to remove the ceiling price altogether, allowing for a free-floating market. This request stems from the belief that the current pricing structure, which they perceive as being aligned with peninsula Malaysia's prices, is disadvantageous to farmers in Sarawak.
Discrepancies in Production Costs and Pricing

Farmers in Sarawak face higher operational costs compared to their counterparts in peninsula Malaysia, which impacts the feasibility of adhering to a uniform ceiling price. The average ceiling price in Sarawak is set at RM12.90 per tray, a figure that the Sibu Livestock Farmers Association believes does not sufficiently cover their expenses. This situation is exacerbated by the fact that the ceiling price in Sarawak is set only a few sen lower than in Sabah, suggesting a broader regional pricing issue that may not account for specific local economic factors unique to Sarawak.
Impact on Production and Supply

The pressure of the ceiling price has reportedly led some egg producers in Sarawak to limit their output to minimise potential losses. This reduction in production, driven by the economic constraints of the fixed price, has contributed to shortages of eggs in the local market. Farmers are suggesting that a free-floating price mechanism would enable them to compete more effectively, even with imported egg supplies, and would better reflect the true cost of production and market demand.
Call for Market Liberalisation

The Sibu Livestock Farmers Association, through Sibu MP Oscar Ling, has formally requested the government to reconsider the current pricing policy. Their primary objective is to transition to a market where egg prices are determined by supply and demand, rather than a fixed ceiling. This liberalisation, they argue, would not only ensure the economic viability of local farmers but also potentially lead to a more stable and responsive egg supply chain within Sarawak.

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Is the current egg ceiling price fair to Sarawak farmers?

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