THE Penang government has urged the Federal Agricultural Marketing Authority (Fama) to take more decisive and effective action in addressing concerns over pricing disparities between low farm-gate vegetable prices and significantly higher retail prices in the market.
State Rural, Agrotechnology & Food Security and Entrepreneurship Development Committee chairman Datuk Rashidi Zinol said the issue is believed to stem from opportunistic practices by certain parties 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.
“We have heard repeated concerns that while farm-gate prices remain low, consumers are paying much higher prices in the market.
“As such, I have called on Fama to act more effectively and engage in discussions on how best to support farmers whether by securing slightly higher purchase prices from producers or ensuring more reasonable retail pricing, depending on market conditions.
“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,” he told reporters when met today.
Rashidi was speaking after attending an appreciation programme with agencies under his portfolio at the Crowne Plaza Penang Straits City in Butterworth today.
Also present during the programme were Penang Trade and National Unity Committee chairman Goh Choon Aik and Bayan Lepas assemblyman Datuk Azrul Mahathir Aziz.
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.
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.
Story by Riadz Akmal
Pix by Adleena Rahayu Ahmad Radzi