The Malaysian Insight

A MISCALCULATION in gross production is causing the current vegetable glut in peninsular markets, farmers have said.

The result is vendors at wholesale markets have been forced to dump up to 80% of their stock.

Federation of Vegetable Farmers Associations president Lim Ser Kwee told The Malaysian Insight the farmers did not take into account an early Ramadan this year, prolonged good weather and, critically, the 20-30% drop in demand when calculating how much they should grow.

Lim said the farmers also did not take into account they were now working with a full workforce.

“They were not hampered by a shortage of workers and as a result of this, there is now a 50% surplus of vegetables on the market,” Lim said.

“During Ramadan, 60-70% of Muslims only break their fast with meat.

“Vegetable surpluses happen all the time but this year it’s more serious.”

He said in the past couple of years as a result of the Covid-19 pandemic, the farmers cut back on production because they did not have the labour to work the fields. That, he said, created demand.

Lim said the farmers are now suffering huge losses due to their failure to cut back.

“Some farmers deliberately would not cut back arguing they needed to make the money to meet their overheads, so they choose to plant, then pray and hope prices would stabilise quickly.”

Lim said the glut is a boon for charity groups as they get vegetables that otherwise would be discarded.

Cameron Highlands Chinese Farmers Association deputy president Cheng Nan Hong said a glut usually happens after Chinese New Year.

He said the losses suffered by the farmers are considerable, even smallholders.

Giving a small-time farmer who produces 300kg of vegetables a day as an example to illustrate his point, Cheng said if the price is RM2/kg, the farmer would lose RM600 a day.

“Now the price has halved and his losses have doubled.”

Cheng said for the big farmers, their losses are even higher because their vegetables are paid for by the tonne.

To avoid further losses, he said some farmers have begun destroying yet-to-mature crops, before replanting when the time is right.

“They can’t keep up with this cheap sale.”

Kuala Lumpur Vegetable Wholesalers Association president Wong Keng Fatt said they are in a bind because of an understanding they have with the farmers.

“The wholesalers cannot refuse to take delivery or cut back when there is a glut. We can only try to help sell them and if it really doesn’t work, we will donate the surplus to charities.

“If there are still no takers, these vegetables will end up in the rubbish bins.”

Wong said he expected the glut to be over in the later part of this month or in early May.

Cameron Highlands Chinese Farmers Association’s Cheng said demand for cabbage, tomatoes, peppers, green onions and celery will go up soon as Muslims start preparing for Hari Raya. – April 5, 2023.