PENANG wants the Federal Agricultural Marketing Authority (FAMA) to probe complaints from consumers here over pricing disparities between low farm vegetables and significantly higher prices at retailers.
State executive councillor Datuk Rashidi Zinol, who oversees the rural, agrotechnology, food security and entrepreneurship development portfolios, said that certain middlemen are exploiting the gaps in the supply chain to profit.
Hence, FAMA, as the main marketing authority, needs to check on such malpractices, which border on profiteering at a time the world is reeling from a heightened rising living costs due to the Middle East conflict, said Rashidi.
Rashidi, who is a state Umno committee member, said the cost issue is believed to stem from opportunistic practices by certain middlemen within the supply chain.
“I have received numerous complaints from farmers who feel increasingly pressured by this situation. For instance, chillies are sold at around RM3.50 per kilogram at the farm level, but retail prices can go as high as RM15 per kilogram," Rashidi told a press conference.
“We have constant concerns that while farm-gate prices remain low, consumers are paying much higher prices in the market."
Rashidi said that he will liaise with FAMA on this matter.
“I call on FAMA to act effectively and to engage in discussions on how best to support farmers, whether by securing slightly higher purchase prices from producers or ensuring more reasonable retail pricing."
Consumers and the farmers, who are an integral part of the supply chain, must not be victimised by the greed of certain quarters, said Rashidi.
“It appears there may be vested interests taking advantage of the situation by buying cheaply from farms and selling at inflated prices in the market,” said the Sungai Acheh assemblyman.
He added that the state government will continue to prioritise entrepreneurship, rural development, agrotechnology, and food security through close collaboration with both state and federal agencies.
With more players in the supply chain, Rashidi said that the competition may drive down consumer prices and derail attempts to corner the market via monopolies.
According to him, nearly RM1 million has been allocated for rural development programmes across all districts, alongside an additional RM6 million earmarked for agricultural initiatives statewide.
“Part of the state’s allocation is also used to bridge gaps in federal programmes. We are planning to roll out even more initiatives this year in coordination with various agencies and stakeholders,” he said. - April 28, 2026.
