Amid concerns over escalating rice prices and supply shortages, Malaysia’s government is set to engage in discussions with the Indian government to explore the “best solution” regarding India’s rice export restrictions. This move comes as countries across Asia, including Malaysia, grapple with dwindling rice supplies and the impact of soaring prices.
Malaysia’s state run rice importer, Bernas, is also taking proactive steps by entering negotiations with alternative suppliers such as Vietnam, Thailand and Cambodia. The aim is to diversify sources and ensure a stable rice supply in the face of export restrictions imposed by India ; top exporter of rice globally.
Hot weather conditions have posed a significant threat to rice harvests in recent weeks, contributing to the challenges faced by rice-importing nations like Malaysia. In response to these difficulties, India and other exporting countries have implemented measures to curtail rice shipments, primarily to address inflation concerns and guarantee food security.
Malaysia’s Agriculture Minister, Mohamad Sabu has announced measures to bolster domestic rice production. He has called upon rice millers within the country to increase their monthly output by 20% for a duration of one year. This initiative aims to alleviate current rice shortages within Malaysia with expectations that the situation will significantly improve within a month.
To fortify its food security, Malaysia has maintained a substantial rice stockpile of 900,000 metric tonnes which is sufficient to meet the nation’s needs for four to five months. This strategic reserve provides a crucial buffer as Malaysia navigates the challenges posed by global rice market fluctuations.