KUALA LUMPUR: Thanks to scientific findings, Malaysia has succeeded in countering Western criticism of palm oil through increased exports, especially to China and India, said Prime Minister Datuk Seri Anwar Ibrahim.
He said RM63 million has been allocated to intensify the campaign against anti-palm oil and encourage sustainable certification, including by private smallholders.
Anwar, who is also Finance Minister, said that to reduce dependence on foreign workers and encourage local innovation, RM20 million has been provided to support start-up companies in producing mechanisation and automation products in partnership with the Malaysian Palm Oil Board (MPOB) and major palm oil companies.
The government is also safeguarding the fate of smallholders who toil and sweat to earn a living on the farms with an allocation of almost RM120 million, he said when tabling the Budget 2026 in the Dewan Rakyat today.
This includes supporting part of the cost of oil palm replanting for smallholders to replace ageing trees, encouraging rubber smallholders to produce rubber and redevelop abandoned private rubber plantations, and supplying cocoa smallholders with 1.1 million quality cocoa seedlings, including training assistance from industry players.
This also aims to reduce the burden on pepper smallholders due to the increasing cost of inputs such as fertilisers and pesticides, and support kenaf smallholders in increasing kenaf yields as one of the new sources of growth for agri-commodities.
Anwar also said that the Malaysian Rubber Board (MRB) will develop a centre of excellence for research to ensure the industry’s future sustainability, with an allocation of RM600 million.
The MRB will also implement a latex production incentive programme as well as the activation of abandoned rubber plantations, said the Prime Minister. - Bernama
