india’s export ban on rice: holistic food security solutions and alternatives to white rice explored by malaysia
Published on: December 1, 2023.
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Supply Shortages and Price Hikes of Rice Cause Concerns in Malaysia
Malaysians are facing distressing issues when it comes to their staple food, rice. Supply shortages and high prices have become increasingly problematic for the country.
In 2021, Malaysia recorded a local production figure of 1.68 million tonnes, which decreased slightly to 1.57 million tonnes in 2022. Despite being a rice-producing country, Malaysia has been importing approximately 30% of its yearly rice consumption for the past 30 years.
The situation worsened in July when the Indian government announced a ban on the global export of non-basmati white rice. This decision was made to cater to India’s own domestic demands, which caused anxiety and concern in Malaysia.
While Malaysia also imports rice from Pakistan, Thailand, and Vietnam, the global prices of imported rice skyrocketed after India’s announcement. Consequently, locally-produced white rice quickly disappeared from store shelves due to panic-buying.
Rice stocks are depleting rapidly, and suppliers are struggling to meet the high demand. Factors such as unpredictable weather patterns have also affected rice production.
Addressing the Issue
The Malaysian government has taken proactive steps in response to the rice crisis. Several measures have been implemented to ensure a continuous rice supply after the Indian ban.
These initiatives include facilitating white rice suppliers contracted by the government to access imported rice at wholesale prices, increasing rice distribution to rural areas through the Federal Agricultural Marketing Authority (FAMA), launching a cross-ministerial task force to address smuggling issues of subsidised imported white rice to neighboring countries, and providing agricultural subsidies and incentives amounting to RM2.6 billion.
In a friendly gesture, India later permitted the export of 170,000 tonnes of non-basmati white rice to Malaysia. However, there is a belief that Malaysia has been vulnerable to food security risks for years. This crisis was long overdue.
Experts suggest that the government should focus on developing Malaysia’s agricultural capacity to meet the country’s own needs. They emphasize the need to tap into smallholder farms and urban farming, which have the potential to contribute significantly to Malaysia’s resilience against systemic shocks.
Holistic solutions should be explored, aiming to maximize existing spaces and promote edible landscapes. Increasing biodiversity and rediscovering local heritage foods are also essential steps to consider.
Exploring Alternatives
Efforts to develop and cultivate other varieties of rice, such as heirloom rice, should be considered. Heirloom rice is an indigenous rice with over 300 unique varieties, known for its chewy texture and nutritional value. It is currently being cultivated in Sabah and Sarawak.
Anni Mitin, vice-president of the Malaysian Agroecology Society for Sustainable Resource Intensification (SRI-Mas), advises that appropriate plans must be made to ensure that prices of heirloom rice remain affordable. Otherwise, prices may increase if the rice enters the futures market, potentially leaving local rice farmers unable to compete with larger players.
For now, it may be more practical to focus on improving the local supply of white rice to achieve self-sufficiency. The government aims to reach 75% rice self-sufficiency by 2025 under the 11th Malaysia Plan and 80% self-sufficiency under the National Agrofood Policy 2021-2030. The ultimate goal should be complete self-reliance, although the timeline for achieving this remains uncertain.
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Source: Yahoo Malaysia
