New rice distribution model set to benefit farmers, consumers

KUALA LUMPUR: A new model for the distribution and export of rice that will replace the Padiberas Nasional Bhd (Bernas) model will be beneficial to small farmers, said industry observers.

Institute of Strategic and International Studies economic director Firdaos Rosli said this could also ensure the segment’s growth.

“The government should study the benefits of the new model to ensure that the industry is sustainable over the long term.”

He said the move to end Bernas’ monopoly over the country’s rice supply would benefit small farmers and consumers as prices would be more competitive.

However, it is important for the new mechanism to allow small farmers to produce rice at the optimum level.

It was reported that Agriculture and Agro-based Industries Minister Salahuddin Ayub had said the proposal would be discussed by the cabinet in the middle of next month.

Once approved, the new model will see the creation of a task force.

PADI Rescue coordinator Nurfitri Amir Muhammad said the move to end Bernas’ monopoly was good for small farmers.

He also said any agency created to oversee the industry should not be made private as this would create conflict of interest.

“This is to ensure that there is ample rice supply in the event of a food crisis.”