Malaysian authorities have seized some 20,000 tonnes of rice worth RM25 million ringgit (US$6.8 million) smuggled in from Thailand, Myanmar, Pakistan and Vietnam, a report said today.

The New Straits Times said that police were investigating a Malaysian politician, several companies and foreign businessmen over the haul, which was believed to be the biggest in years.

The daily said that 12 containers of the contraband rice, which was smuggled into the country in several stages from late last year, were found at the Klang port terminal, west of Kuala Lumpur.

While the rice was originally intended to be brought into Indonesia, tighter monitoring in both countries forced the smugglers to try to market it locally, it said.

Controlled prices

The scheme came to light when the culprits were detected transporting rice to other Malaysian states.

An agricultural official told the English-language newspaper that the state-linked firm Bernas was the only authorised importer of rice into Malaysia, where prices are controlled to protect domestic producers.

"Anything to do with rice, be it storage, transport, import or export requires authorisation, a wholesaler's licence and a permit issued by the padi and rice supervisory division," said rice supervisory division chief Ibrahim Muhamad.