Friday 29 Mar 2024
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This article first appeared in The Edge Financial Daily on July 13, 2018

KUALA LUMPUR: Syarikat Faiza Sdn Bhd, a 51% subsidiary of the country’s sole rice importer PadiBeras Nasional Bhd (Bernas), is asking the government to review the issuance of permits to deliver rice products interstate and intercity, claiming the current system is slowing down its business.

“We are not talking about the approved permit (AP) as that comes under Bernas. We are talking about the permit required to deliver products among cities and states,” Syarikat Faiza managing director Faiza Bawumi Sayed Ahmad told reporters after meeting with the Council of Eminent Persons yesterday.

According to Faiza, the government introduced the permit system for food security reasons during the colonial era, as rice is considered the country’s staple food.

“Now that the communists are no longer in the country, the government should consider reviewing the issuance of this particular permit.

“Perhaps this permit is still valid to curb rice smuggling, but it is slowing down business. For our part, we are required to deliver to the outlets in time and any delay caused by issues related to this delivery permit will result in us being penalised,” she lamented.

Under the agriculture ministry, the government issues a licence to qualified persons or entities to trade and sell rice products in a retail market, starting with 10,000kg.

Faiza declined to comment on the government’s move to terminate Bernas’ monopoly in the rice industry. “I have no comment on that, as that is at Bernas’ level,” she said.

Shortly after his appointment as the agriculture and agro-based industry minister, Salahuddin Ayub announced that the Cabinet had agreed to terminate Bernas’ monopoly to protect the interests of local paddy farmers.

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