Food prices rise in Indonesia and Malaysia amid weather disruptions

Food prices for chili and eggs are rising across Southeast Asia due to weather disruptions and supply constraints. In Indonesia, Minister of Trade Budi Santoso attributed the increase in chili prices to seasonal factors and adverse weather conditions affecting production. National average prices for bird's eye chili have reached approximately Rp70,000 per kilogram, significantly higher than the normal range of Rp57,000. Specific varieties, such as red bird's eye chili, have seen daily increases exceeding 2%. The Ministry of Trade is communicating with farmer associations to optimize production.

In Malaysia, egg prices are projected to continue rising for the next three to six months. Analysts from Hong Leong Investment Bank Bhd cite supply shortages, weather disruptions, and the closure of several farms, particularly in Perak, as primary drivers. Additionally, rising costs for animal feed, such as corn and soybean, have pressured the market. QL Resources Bhd also anticipates this upward trend in egg prices will persist as producers monitor feed cost pressures and the impact of El Nino on laying hen productivity.