KUALA LUMPUR, 4 February- Prime Minister Datuk Seri Anwar Ibrahim assured that the increase in paddy floor price to be announced next week is reasonable and takes into account the well-being of paddy farmers and consumers.

The government will also provide an additional subsidy of at least RM150 million for a period of six months to offset the price of rice in the market and lessen the burden on the people.

According to him, the move aims to ensure balance in the rice industry ecosystem without marginalising any party.

"The Minister (Minister of Agriculture and Food Security Datuk Seri Mohamad Sabu) will give an explanation next week because we want a good price for consumers without affecting the paddy farmers. The small increase in 2024 is not enough, so we need to add RM150 million as a minimum step for a period of six months so that the cost to the consumers does not increase.

"We can't just defend one side, whether it's the consumers or the paddy farmers,  without considering the impact on the entire ecosystem," he said in response to a question from Larut's Member of Parliament Datuk Seri Hamzah Zainudin in the Dewan Rakyat today.

In a related development, the government also approved an allocation of RM1 billion to increase the productivity of paddy crops and ensure the continuity of the country's agro-food policy.

The fund will be channeled through the Muda Agricultural Development Authority (MADA) and is expected to be launched at the end of this month.