Winding down: egg subsidy halved from May 1, ends August

PETALING JAYA: The government will halve the subsidy chicken eggs starting tomorrow (May 1), as part of a phased withdrawal set to end by Aug 1.

The move follows extensive consultation with stakeholders and aims to gradually ease consumers into market prices without triggering panic.

Instead of an abrupt cut, a ‘soft landing’ approach will be taken.

“Since its rollout on Feb 5, 2022, the government has spent RM2.5 billion on egg and chicken subsidies up to Dec 31, 2024,“ said the Agriculture and Food Security Ministry in a statement today.

The 10-sen-per-egg subsidy was introduced in 2022 during a nationwide shortage to stabilise prices and protect consumers.

The ministry said the decision to withdraw was made due to several reasons including stabilised supply of eggs which could be seen during the Hari Raya Aidilfitri celebration.

To cushion the impact on lower-income households, it said egg producers had had agreed to introduce special grades eggs at reasonable prices.

“The people can also get egg supply with competitive prices at under the Jualan Agro Madani and Jualan Rahmah initiatives nationwide as well at Fama and Lembaga Pertubuhan Peladang outlets.”

Meanwhile, the Domestic Trade and Cost of Living Ministry will deploy enforcement teams to monitor the supply chain and ensure compliance.

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