KUALA LUMPUR: The government has given its assurances neither India's decision to suspend its wheat exports nor the ongoing Russia-Ukraine crisis will have an impact on Malaysia's wheat flour supply.
The Domestic Trade and Consumer Affairs Ministry said Malaysia does not source wheat supply from India, but instead imports 80 per cent from Australia, while obtaining the rest from the United States, Canada and Ukraine.
"Therefore, India's ban on wheat exports, due to heat waves triggered by extreme heat, will not impact our flour supply," the ministry said in a tweet today.
The ministry said it has mobilised 2,200 staff to monitor and ensure that both subsidised and non-subsidised flour remain stable in the market.
The ministry had previously raided several business premises in several states after reports emerged that some traders were deliberately hoarding cooking oil and subsidised wheat flour.
India, on Saturday, had instated an immediate ban on wheat exports, following heat waves triggered by extreme weather that affected crops, sending local prices soaring to a record high.
Following the ban, the global wheat price rose drastically, with the benchmark price for the commodity climbing up 5.9 per cent in Chicago, with a similar hike seen in many other countries.
Based on a survey with traders previously, wheat flour supply in Malaysia remained stable. However, the price for the staple food item, especially non-subsidised flour, saw a sharp hike, particularly during the recent festive season.
Consequently, the prices of other food items that use wheat flour as its primary ingredient also saw a price hike.
Earlier, the government said the price hike involving imported food items, especially wheat flour, is difficult to control since the prices are determined by the source country, and not Malaysia.
Besides India's import ban, the Russia-Ukraine war has also disrupted the global wheat supply since Russia and Ukraine are among the world's major wheat producers.