The agriculture and food security ministry previously denied the existence of a cartel that controlled the prices of rice, padi and padi seedlings.

Agriculture and food security minister Mohamad Sabu says the investigation will take time as MyCC needs to understand the overall structure of the rice industry.

PETALING JAYA: The agriculture and food security ministry’s padi and rice regulatory division is working with the Malaysia Competition Commission (MyCC) to investigate allegations of syndicates in the rice industry.

Agriculture and food security minister Mohamad Sabu said the investigation will take time as MyCC needs to understand the overall structure of the industry first.

In a Bernama report, Mohamad also said the rice sector’s food chain involved multiple stages, necessitating a detailed and comprehensive investigation.

“Allegations are one thing and investigations another,” he told a press conference in Pekan, Pahang, today.

“Investigations are ongoing, and we’ll discuss action (to be taken) once the investigations are complete.”

On Jan 4, the ministry denied the existence of a cartel that controlled the prices of rice, padi and padi seedlings.

Utusan Malaysia reported then that the padi and rice regulatory division was to hold a meeting with MyCC on Jan 19 to look into allegations of a cartel affecting rice farmers.

The daily quoted the division’s director-general, Azman Mahmood, as saying that legal action would be taken if it was found that padi, rice or padi seed licence holders had failed to comply with the stipulated conditions or if they had violated regulations.

Published Date: January 22, 2024