The Selangor Wholesale Market in Seri Kembangan has not achieved the objectives of reducing the involvement of middlemen and being a one-stop centre specifically for farmers, planters and fishermen as most of the trading lots at the complex are rented by retailers, distributors and wholesalers.

According to the Auditor-General's Report 2010, of the 229 business lots rented out, 124 lots or 54.1 per cent were run by foreign workers from Burma, Bangladesh and Indonesia, 61 lots (26.7 per cent) by locals while 44 lots (19.2 per cent) were closed or not in operation.

The RM25.28 million market complex was completed in March 2001 and started operating in May that year. Managing this wholesale market is the main activity of PKPS Agro Industries Sdn Bhd (PAISB), a wholly-owned subsidiary of the Selangor Agriculture Development Corporation (SADC).

The report said that initially, there was poor response to the wholesale market from farmers and fishermen due to the lack of patrons and still-undeveloped surrounding area. As a result, PAISB rented out the shoplots to anyone interested to set up business there, so as to finance the operational cost.

However, the change in purpose from being a one-stop centre for farmers and fishermen to a general wholesale market was not tabled for approval to the SADC board of directors. As a result, its activities are not in line with the development objectives set.

The audit on the SADC between October 2010 and February 2011 also showed the overall financial management of PAISB to be unsatisfactory, whereby in 2010, PAISB's losses before tax amounted to RM0.09 million.

The Auditor-General's Report 2010, therefore, proposed that PAISB and the SADC take measures to improve their corporate management, management of activities, and financial management and performance.

Among the suggestions given were for PAISB to increase promotion drives on the wholesale market, improve the basic facilities, cleanliness aand security at the complex, control the hiring of foreign workers and undertake upgrading works

to attract visitors.

PAISB was also advised to form an audit and inspection committee in order to improve its financial management and to operate the wholesale market complex according to the original objectives.

- Bernama

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