As stated in 29 September 2012 The Star in
Malaysia, the budget 2013 the government proposed to reduce sugar subsidy by 20
sen per kilo. This means that the payment that the government going to pay to
the producer will be reduced in the budget 2013. If the sugar subsidies going
to be reduced by the government, therefore the producer will decrease their
production because their cost of production is going to be more expensive.
