KUALA LUMPUR: The government is reviewing several proposals to help padi farmers affected by rising agricultural costs following the global surge in fuel prices, says Agriculture and Food Security Minister Datuk Seri Mohamad Sabu (pic).
In a Facebook post yesterday, he said the proposals under consideration include the use of fleet cards for agricultural machinery, as well as higher incentives for ploughing and rice harvesting.
He said the global rise in fuel prices has directly impacted agricultural production costs, including the price of fertilisers, pesticides and machinery services.
He highlighted that within a single month, fuel subsidies rose from around RM700mil to RM6bil, placing immense pressure on the country’s fiscal position.
He said the government must balance the needs of various sectors, as padi farmers are not the only ones affected. Other sectors are facing similar cost pressures.
He stressed that the current priority is to safeguard national food security, including the supply of rice, chicken, eggs and vegetables.
Mohamad added that under Budget 2026, the padi and rice sub-sector received an allocation of RM2.62bil, covering rice price subsidies, fertiliser subsidies and various production incentives.
More than 50% of the ministry’s management budget is channelled to this sub-sector, he said, reflecting the government’s ongoing commitment to the welfare of padi farmers and national food security.
However, he explained that the main challenges facing the rice industry are not merely about the level of assistance, but also structural issues that demand comprehensive reform, including the adoption of modern technology, large-scale management and improvements to irrigation systems and supply chains.
