PETALING JAYA: Malaysia is facing a conundrum. While rapid economic growth has changed eating habits and driven up fruit consumption, much of the demand is being met by imports, says agricultural economist Prof Datuk Dr Nasir Shamsudin.
Citing Agriculture Department data, he said per capita fruit consumption rose from 57.3kg in 2020 to 65.9kg in 2023, with the increase largely supplied by imported produce such as mangoes, mangosteens, pitted fruits and bananas.
“While Malaysians eat more fruits, local growers have not seen parallel gains. Food demand, including fruits, is generally price inelastic, meaning people don’t cut consumption much even when prices rise.”
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He noted that in such cases, taxes on imports only raise government revenue but fail to reduce import volumes or ease pressure on local producers.
The additional costs are simply passed on to consumers, Nasir added, leaving domestic farmers exposed to competition from imports.
Nasir stressed that meaningful reform must go beyond taxation, urging the government to treat fruit production as a public good and incentivise private investment.
“We need an ecosystem that brings together food policy, technology and entrepreneurship to ensure a steady supply of affordable, locally grown fruits.
“Incentives should make fruit cultivation as attractive as cash crops like palm oil.
“At the same time, sufficient land must be earmarked for fruit farming.”
He called for stronger investment in agricultural innovation, pointing to the potential of soil and water sensors, drones, automation, artificial intelligence and vertical farming – especially for annual fruits such as strawberries and rock melons.
“We must also nurture agro-entrepreneurs who can manage commercial-scale farms and embrace modern techniques,” said Nasir.
However, he warned that the sector continues to face deep structural problems: fragmented land ownership, outdated methods, limited research and extension services, labour shortages, market volatility and climate-related stress.
“Most farms are under two hectares, too small for mechanisation or efficient irrigation. Our farmers are ageing, fewer young people are entering the industry, and there’s a serious lack of R&D and technology adoption.
“Market instability and weak post-harvest infrastructure further discourage investment to increase productivity.”
To address these challenges, he urged integrated reforms spanning land management, soil health, youth incentives and marketing systems.
Nasir said Malaysia’s staple fruits – durian, jackfruit, papaya, guava and banana, have strong export prospects in China, South Korea and Europe.
But with many Asean countries producing similar fruits, Malaysia must differentiate itself.
He suggested targeting niche, high-value crops such as pineapple, fig, strawberry, vanilla, persimmon and underutilised Borneo fruits like Litsea garciae, which command premium prices and often have health or medicinal value.
“Figs, for example, thrive in protected environments, are pesticide-free, and have strong nutritional appeal. Strawberries and vanilla also enjoy robust global demand,” he said.
By focusing on such crops, he added, Malaysia could boost farmer incomes and strengthen its position in the global fruit industry.
