Wednesday, November 09, 2011

NFC viewed as breeding Protons

It is scary to think of National Feedlot Centre as our national cattle breeding centre which requires protection from market competition, and needing funds in the future to keep it going. The already high cost of breeding is a clear indication of another likely flop, because of political involvement and because projects did not go to those with experience and capability. It happened in our car industry, and just about any industry or field we can think of.

There are cattle breeders crying out for suitable land, and have to resort to encroaching on oil palm estates. Would it not be better if such projects were given to those with the necessary experience and interest than those with political connections?

Selling cattle to own restaurants at a discount seems a bigger version of using cattle meant for breeding, for occasional kenduris instead. The objective was to breed more cattle, not fulfill the needs of own restaurant or family occasions.

I am also wary of 1Malaysia Shops which seem to go against market forces, with unfair competition propped up by public funds. I am just guessing, but I cannot imagine shops could just come on with cheap prices, especially without track record, if not for government sponsorship. Unless well managed like Tesco, the initial setup costs and high overheads will likely to kill them off, unless propped up later.

Just what I guessed! : Rm40 million subsidy and yet prices higher at 1Malaysia shop
http://www.malaysia-chronicle.com/index.php?option=com_k2&view=item&id=22636:rm40mil-subsidy-and-yet-prices-higher-at-1malaysia-shop&Itemid=2
Link

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