The Ministry of Plantation and Commodities (KPK) and the Ministry of Domestic Trade and Cost of Living (KPDN) will collaborate to improve the agribusiness sector’s logistics chain in response to the impact of the global supply crisis.
The Minister of Economy, Akmal Nasrullah Mohd Nasir, said that the KPDN and KPK will facilitate the registration of individual traders as companies to enable them to also receive incentives under the Subsidised Diesel Control System (SKDS Diesel), subject to eligibility, to address the impact of the global supply crisis on the sector.
He said that the matter, which has been agreed upon by the National Economic Action Council (MTEN), is also in line with the importance of the sector, which contributes to the country’s exports, as well as with the income of smallholders, plantation activities, processing, logistics, and downstream industries.
He said forecasts for 2026 anticipate a 13.48 per cent decline in agricommodity exports to RM170.2 billion, while imports are expected to decrease by 3.28 per cent to RM72.47 billion.
“This trend needs to be given attention because logistical disruptions, rising input costs, and operational pressures can directly impact export competitiveness and the income of smallholders,” he said during the virtual Global Supply Crisis Briefing held on the ministry’s Facebook page today.
Akmal Nasrullah said that the KPK will continue examining other mitigation measures, specifically for the medium- and long-term, including strengthening price controls and anti-hoarding measures for agricultural inputs.
He said the ministry was also advised to explore the potential to export palm oil products to other countries to protect overall production, smallholders, supply stability, and the country’s export competitiveness.
“Any policy intervention will be implemented cautiously, targeted, and data-driven.
“Assistance must reach those affected, at the right time and in the most effective form,” he said.
In another development, Akmal Nasrullah reported that port activities remain resilient, with daily cargo handling surging by 8.3 per cent to 848.9 thousand freight-weight tons (FWT) and container volumes rising by 8.3 per cent to 93.1 thousand twenty-foot equivalent units (TEUs) as of April 2026.
He said Malaysia’s maritime trade and supply chain activities are still running smoothly, despite increases in shipping costs, insurance premiums, and the risk of global route disruptions.
The minister added that the aviation sector is facing greater pressure, with daily aircraft movements in April 2026 declining by 31.5 per cent to 2,464 following the cancellation of West Asia routes.
Meanwhile, international air cargo handling also fell by 14.3 per cent to 1,784 kilograms (kg) in April.
“Similarly, domestic air cargo decreased by 18 per cent to 420 kg due to the surge in fuel costs and adjustments in airline operations,” he said.
Regarding electricity, Akmal Nasrullah said the maximum demand in the week of May 18 to 23, 2026, increased by 3.62 per cent to 21,319 megawatts (MW), but remained at a controlled level below the system’s maximum limit of 21,469 MW.
He said there has been no sudden increase in electricity demand, and the existing reserve capacity is still sufficient to meet the current increase.
