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(New Sabah Times) - Sabah Progressive Party (SAPP) has called for the abolishment of the rice monopoly by Bernas as it has failed in its obligations to the government and the people.
In a statement yesterday, SAPP President Datuk Seri Yong Teck Lee noted that for a decade the agency has made substantial profits of more than RM100 million per annum as a monopoly over rice, which is a basic necessity of the people. “Yet, when it is time for Bernas to fulfil its obligations, we find that there are shortages of affordable rice in the market. Those brands and types of rice that are available have shot up in prices, hence adding to the profits of Bernas,” he pointed out. He further noted that although Bernas is a public listed company, its main shareholders are known to be limited to a ‘privileged few’. “Hence, it is time for the government to dismantle such a monopoly which has not served the interests of the people or else, to revert this monopoly to the government. In the case of Sabah, we should consider the revival of the Padi Board so that the State’s interests are protected in the long term,” he stressed. He continued that although the prices of rice at the international level are currently at a worrying trend, it is incumbent upon the government to foresee future trends and take pre-emptive actions so that basic commodities such as rice are made available to the people at an affordable price. “It is for this reason that many other countries have invested heavily in food production. Recent news reports in Sabah say that the State Government is providing 20,000 acres for padi planting. “Considering that our padi yield is lower coupled with less suitable land, a study in 1997 has considered a much bigger acreage of 100,000 acres to be necessary for Sabah to achieve self-sufficiency in padi production. “I am sure the Agriculture Ministry has not forgotten the still-effective 3rd National Agricultural Policy 1998-2010 which had highlighted the dangers of relying on external sources of food due to international uncertainty,” he said. The former Chief Minister went on to say that our padi planting strategies should include giving farmers access to improved, high-yield seeds, fertilizers, low scale irrigation and policy support such as low tariffs on import of farm machinery and equipment. He also highlighted that all this while Sabah and Sarawak have been paying RM400 million more per year for the rice that they consumed. He disclosed that he has pointed this out in his letter to the Prime Minister dated April 7 when the latter met Sabah BN leaders on Sabah issues. “I pointed out that Sabah has to pay more for many things compared to Peninsula Malaysia. The Bernas monopoly was mentioned. I am astounded that we have been paying RM200 million more per year for the Super Special Tempatan (SST) 5, SST 10 and SST 15,” he said. He noted that the RM400 million for the two states of Sabah and Sarawak was confirmed by the Prime Minister’s announcement that the Federal government now has to foot RM400 million Sabah and Sarawak as a result of the uniformity of the prices of SST5, 10, 15 in Sabah, Sarawak and Peninsula Malaysia. “Before this, the two states had been quietly made to pay RM 200 million per year. Although we are thankful for no longer having to pay this extra RM 200 million per year, we have to voice our dismay because our consumers in Sabah have been made to pay so much before. This should be a lesson for us to push for a more equitable balance in our economic structure and trade system,” he stressed. In 1996, Bernas was given the monopoly to import rice until 2010, with an option to renew for another five years. The duties of Bernas include conserving, maintaining and managing the National Paddy/Rice Stockpile, purchasing padi from farmers at guaranteed minimum price and acting a buyer of last resort. Basically, Bernas took over the social and commercial obligations of the Lembaga Padi dan Bersa Negara (LPN) (National Paddy and Rice Board) which was formed in 1971.
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