Role of BERNAS as Government Linked Company (GLC) – Supporting and Complementing National (Malaysia) Food Security Food Policies

Abstract

As the privatized foodgrain management agency, BERNAS plays its roles in
supporting and complementing the national food security policy of Malaysia.
These include: (1) promoting market stability and thereby stabilizing rice
prices, making them affordable to the consumers; (2) ensuring sufficient
supply of rice of various grades and qualities anywhere in the country,
making rice easily accessible to all; and (3) supporting the sustainability of
domestic rice production which is deemed important to the national food
security. These roles have established BERNAS as a ?rice institution? rather
than a ?rice shop? whereby its main function is not to compete with other
players in the market, but to make sure that all players in the industry would
have sufficient margin to enable them to continue with their respective
businesses. In doing so, BERNAS serves the interests of all stakeholders in
the paddy and rice industry, including farmers, industry players, consumers,
government and the nation as a whole. Due to these roles, BERNAS always
has to balance between its commercial interest, since it must make reasonable
profit in order to survive, and the interest of the nation as a whole. It is a
delicate task in ensuring the confidence of the public and various
stakeholders.