KUALA LUMPUR: The government cannot unilaterally cancel any contract to import rice into the country because it needs to consider the social obligations which Padiberas Nasional Berhad (Bernas) has agreed to implement, the Dewan Rakyat was told on Wednesday (March 15).
Agriculture and Food Security Deputy Minister Chan Foong Hin said as the country’s main rice importer, Bernas needed to fulfil 10 social obligations without getting any grants from the government.
Apart from this, Bernas also had to allocate funds for supply of machinery and padi mechanisation, development of large-scale padi farms and providing allocations for several programmes, including development of padi seed buffer stock, padi cultivation disaster fund aid and an information system on padi and rice.
"Furthermore, Bernas now also gives a cash contribution of RM60mil and shares 30% of its net profit from rice imports with farmers this year," he said when winding up the debate on the Supply Bill 2023 at the committee stage on behalf of the ministry.
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