BAGAN DATUK: The Rubber Industry Smallholders Development Authority (RISDA) should step up and diversify downstream rubber products as a long-term strategy to stabilise local market prices, says Datuk Seri Dr Ahmad Zahid Hamidi.
The Deputy Prime Minister said this is crucial to ensure smallholders are not solely dependent on government interventions to regulate prices, but instead help create sustained demand for rubber-based products.
"Rubber scrap, for instance, can be used to produce biofuels. These products have been certified by standard-setting bodies and hold significant potential for development.
"Successful commercialisation could lead to higher demand for these biofuels and drive up the price of rubber scrap," he told reporters after the Risda Madani (Karrisma) Northern Zone Carnival 2025 at Dewan Dato' Mohamed Jamrah in Sungai Sumun Saturday (April 26).
Also present at the event were Rural and Regional Development Ministry secretary-general Datuk Muhd Khair Razman Mohamed Annuar; Risda chairman Manndzri Nasib and director-general Zainal Azni Zulkifli.
Ahmad Zahid, who is also the Rural and Regional Development Minister, said there is strong potential for quality furniture manufacturing with mature rubberwood.
"I have instructed for 40,000 hectares of rubber replanting to be carried out annually. However, the rubberwood must be properly treated to fetch higher prices and ensure greater durability, to align with overseas furniture market demands.
"Muar is home to a furniture industry zone, and reports show that exports exceed RM85bil, with over 70% of raw material sourced from rubberwood. We are asking Risda to source rubber seeds that can produce suitable timber," he said.
He expressed confidence that this initiative would boost Risda's income and enable dividend payouts to smallholders from the sale of treated rubberwood, thereby reducing reliance on the government.
The Karrisma Carnival is a Risda initiative under the Madani Rural Aspirations framework introduced by Ahmad Zahid, aimed at strengthening the development ecosystem for smallholder communities nationwide.
The carnival showcased products by Risda-supported entrepreneurs, as well as the launch of the RisSMart Grocer concept store, a strategic marketing platform for a variety of products, including those from RisSMart 24 and RisSMart Butchery. — Bernama
