Greens Go Bullish!

Prices of vegetables are performing better than stocks on the Bursa KL these days. It has been a bull market ever since the government banned the intake of Bangladeshi foreign workers.

Since April this year vegetables prices for all categories and types have jumped from 50% to 100%.
The reason given by the  Cameron Highlands Vegetable Farmers Association is that is it mostly due to lack of labour.

Whatever labour they have at hand have to slogged through long hours just to get the produce out to market.
Labour costs has led to a spike in the cost of greens,so to say.

 

Citing examples, The Association said English cabbage had gone up by 40 sen to RM1.60 per kilo, leafy mustard (sawi) price doubled to RM4, French beans (from RM2.50 to RM4), dwarf white mustard or siew pak choy (from RM1.50 to RM4), and tomato (from RM1 to RM1.50).

Vegetable farmers here are appealing to the Government to review a regulation on reducing the number of foreign workers from 2.5 million to 1.8 million.

They also want the Government to lift the ban on workers from Bangladesh.

Apparently, the high vegetable prices are also attributable to a reduction of imported vegetables due to natural disasters in countries like China.

Cameron Highlands produces 550 tonnes of vegetables daily, of which 80% is for the local market and the rest exported to Singapore.

Chay said many farmers were forced to operate with a skeleton crew and also work additional hours to meet demand because they had difficulties in hiring foreign workers.

”We hope the Government will approve the entry of 5,000 foreign workers, especially Bangladeshis, for farms here,” the Association appealed.

The freeze on hiring Bangladeshi workers was re-introduced by the Home Ministry in October 2007 in view of the “scandals” surrounding their intake.

Chay said farmers preferred Bangladeshi workers because they were reliable, hard working and were prepared to work for more than five years.

He said only 10% of workers in Cameron Highlands were locals, comprising mainly orang asli.

A Brinchang farmer, Chong Sek Chuang, 47, said it took farmers about a year or two to train a new foreign worker.

By not extending their permits, he said Malaysia would become a training ground for workers.

“They can easily seek higher pay as skilled workers elsewhere,” he said.

”We will lose whatever competitive advantage we have.”

How true!

Is the government listening in?