Correct commodity prices and flows: Meeting on boosting production of basic foodstuff

A meeting on boosting production of basic foodstuff was held at the State Administration Council Chairman office in Nay Pyi Taw on Monday afternoon.

Chairman of the State Administration Council Prime Minister Senior General Min Aung Hlaing addressed the meeting.

In his opening address, the Prime Minister said that this coordination meeting is related to the matters to be carried out by the region and state governments to increase the production of meat and fish sectors and boosting agricultural production.

On the other hand, it is to reduce the price of goods. After assuming the state responsibilities by the State Administration Council according to the needs of the state, the organizations that are in disunity in local have been carrying out to affect the economic sector as well as economic sanctions from abroad for various reasons, suspension of subsidies and cooperation activities.

Moreover, in trading, there have been restrictions on the use of foreign currencies due to limitations on the received money and it also acted to affect banking activities.

Since 2021, it has affected the country's economy and until 2022, it has been able to stabilize the currency circulation and maintain to a certain extent.

However, the global economy has declined as the fuel problems has occurred by the global economic downturn caused by the COVID-19 and the events in Eastern Europe.

High commodity prices around the world, high transportation costs due to high fuel prices and increasing manufacturing costs and imbalance between demand and supply have happened and the increase of commodity prices had an impact on the country.

Domestic production costs are rising due to the high prices of inputs according to agriculture, breeding and manufacturing activities. It is assumed that the prices of commodities are higher than they should be because of manipulation of greedy people and political profits.

He stressed on using natural fertilizers in implementing agricultural tasks to reduce production cost and bio-fertilizers with waste products from animals.

It is prioritized on river water pumping projects in regard with the agricultural tasks, generating of solar energy in the places where electricity is not available and sufficient feedstuff and water for agriculture and livestock breeding tasks.

He continued to say that although there are ways to reduce manufacturing costs, it has not been able to carry out cent per cent. Costs are higher due to high fuel prices and the difficulty of traveling in terms of security. The rail transportation greatly reduces the transportation cost.

In regard with public transportation, there is still need to carry out effectively and the officials from respective regions and states need to emphasize.

The price of goods is high due to meat and fish demands in the local and it is necessary to produce sufficient food and ensure a balance between supply and demand in the respective regions and states.

He also stressed the needs on utilizing the land fully and effectively for agriculture and livestock breeding, boosting productivity in carrying out for reducing commodity price and he called for respective ministries, regions and states to discuss on production of goods.

Later, Deputy Minister for Commerce U Nyunt Aung reported plans for correct commodity prices and commodity flows. Chairman of Nay Pyi Taw Council and the Region and State Chief Ministers reported on arrangements for food sufficiency in the region, production, increasing agricultural and livestock products with the State economic promotion fund, price fluctuations of basic foodstuff, fuel and consumer goods and future plans.

And, members of the Council, union ministers and many other officials reported on matters including goods transport, the need to take strict measures to ensure that the prices of domestically produced agricultural products are at reasonable prices and imported products are also at reasonable prices as well as to identify and take effective action against unscrupulous and greedy people who are working to raise prices higher than they deserve for their own benefit.

In his response, the Senior General stressed that regarding the transportation of goods, the officials need to take strict actions to ensure that there are no unnecessary costs at the gates, rail and sea transportation should be used for non-essential goods, the high prices of input raw materials caused the high prices of goods between 2021 and 2022, the high prices of meat, fish and eggs will be reduced if they can be produced enough domestically, region/state chief ministers need to coordinate with the Union to find a way to prevent floor auction prices from increasing, in terms of manufacturing, success will be achieved if it is carried out through a collective cooperative system and it is necessary to focus on using domestically produced raw materials in manufacturing and to improve the production and control the current price.