Introduction
 The livestock sector is the largest food industry in Malaysia in terms of output value. Its activities, however, represents less than 2 percent in terms of land use. This scenario reflects the degree of intensity of the livestock production system especially in the poultry and pig sub-sectors.
The major proportion of livestock production takes place without subsidies. However incentives are offered in the form of tax write-offs on profits in specific instances such as promoted locations or in situ modernisation of farming operations that make them more efficient and environment friendly.
Government support is more related to livestock based rural development and poverty eradication programmes and is not oriented towards commodity production as such. The major proportion of the livestock industry therefore operates in a free market and in a highly competitive environment. This has served to make the industry particularly the poultry and pig industries to continuously modernize and remain at par with the best in the world.
The broiler industry which used to be subjected to a ceiling price regime since 1998 now (since 2008) only has a ceiling price imposed during the festive seasons.
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