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Malaysia to amend padi act to combat rice cartels and price manipulation

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Amendments to the Control of Padi and Rice Act aim to strengthen monitoring, set controlled prices, and enforce new grading specifications to protect consumers.

KUALA LUMPUR: Amendments to the Control of Padi and Rice Act 1994 are expected to be tabled at the next Dewan Rakyat sitting.

Minister of Agriculture and Food Security Datuk Seri Mohamad Sabu said the amendments aim to strengthen monitoring and tackle price manipulation as well as combat rice cartels.

He said the amendments would create new regulations to enforce rice grading specifications and set control prices for selected rice grades.

“The main objective of setting controlled prices for selected rice grades is to guarantee the stability of rice supply in the market and protect consumers, especially the low-income group,” he said in the Dewan Rakyat.

Mohamad was responding to a question from Datuk Seri Dr Shahidan Kasim regarding issues plaguing the country’s staple food ecosystem.

The new regulation would also obligate rice producers to clearly state product information, including price and broken rice content.

“Violation of any provision under the new regulation is an offence under Act 522,” he added.

Mohamad said the formulation would strengthen the role of research agencies like MARDI in providing scientific evidence for court cases.

He stated the restructuring is based on principles of national food security to ensure sufficient supply and stable prices.

The ministry will implement interventions under Act 522 if there is disruption in the padi and rice production chain.

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