Budget 2023 allocations can improve income of padi farmers, says Mat Sabu

PUTRAJAYA: The increase in allocations to the Ministry of Agriculture and Food Security (KPKM) can help boost padi farmers’ income and improve their standard of living, says Minister Datuk Seri Mohamad Sabu (pic).

He said the government had allocated RM5.39 billion to the ministry this year, an increase of 12.06 per cent compared to RM4.81 billion in 2022.

This, he said, proves the government’s will to drive agro-food as a sustainable, resilient, high-tech sector.

"The ministry welcomes the Malaysia MADANI Budget 2023 announced by the Prime Minister (Datuk Seri Anwar Ibrahim), especially for the agriculture sector,” he said in a statement today.

He added that the national budget is believed to be able to address the challenges faced by the agro-food sector, including food production, supply and marketing.

In line with the food security agenda, some RM1.6 billion has been allocated for subsidies and incentives to the padi and rice industry, and RM228 million for cash contributions to farmers. At the same time, Padiberas Nasional Berhad (Bernas) has agreed to share 30 per cent of its net profit from rice imports with farmers.

"This will help increase the farmers’ income and improve their standard of living,” he said, adding that automation and digitalisation in the agriculture sector contribute to improving the quality of production and productivity of the workforce.

As such, Mohamad said the ministry had emphasised initiatives through the Agrofood Financing Scheme, Digital AgTech programme, Accelerated Capital Allowance and income tax exemption on capital expenditure to expand and empower the adoption of modern technology.

In addition, he said collaboration by all stakeholders is necessary to ensure a sustainable agro-food ecosystem.

"I welcome the food security agenda across ministries, state governments and government-linked companies (GLCs) stated in this Budget,” he said.

Among the initiatives announced were grain corn cultivation, the Rahmah Sales programme, the Cloud Kitchen platform and the Community Garden programme to reduce the people’s burden from the rising cost of living.

Mohamad further said that the government also encourages large-scale private investments in agriculture to increase food production.

"As a leader in the national food security agenda, this ministry is committed to implementing the initiatives of Budget 2023 efficiently and prudently for the people’s welfare.

"I am confident that the Malaysia MADANI Budget 2023 initiatives will be a catalyst for economic growth in line with the objectives and targets under the National Agro-Food Policy 2021-2030 (DAN 2.0),” he added. - Bernama