PETALING JAYA: About 700,000 licensed traders under various hawker associations stand to benefit from Agrobank’s Agro Penjaja-i initiative launched to strengthen micro-entrepreneurs amid global economic uncertainties.
Agrobank Group president and chief executive officer Datuk Tengku Ahmad Badli Shah Raja Hussin said the initiative, launched yesterday, targets small traders, particularly hawkers, by offering financing, advisory services and digital financial management and savings solutions.
“Through the initiative, traders and micro-entrepreneurs will be able to enjoy various benefits and special facilities, including micro financing schemes of up to RM100,000 and a Cashline-i credit facility of up to RM5,000.
“Agrobank also offers hibah or returns on savings under the Agro Penjaja-i account, which is additionally protected by free takaful for the first 3,000 new customers for a year.
“We also provide a green lane for Ar-Rahnu processing of up to RM300,000 with special rates and returns on traders’ savings.
“Among the terms and conditions, applicants must be registered with a hawkers’ association and a local authority to carry out business activities as traders,” he said at the launch of the Agro Penjaja-i programme.
He said approvals would be based on repayment capacity and the needs of individual traders, including those receiving financing from government agencies.
Agriculture and Food Security (KPKM) Minister Datuk Seri Mohamad Sabu, who launched the programme, said it aligns with Prime Minister Datuk Seri Anwar Ibrahim’s call for banks, government-linked companies and government-linked investment companies to ease the burden of small traders.
At a press conference later, he said the government is anticipating a possible increase in the prices of goods in the second half of the year due to the escalating conflict in the Middle East.
He said early intervention measures are being intensified to safeguard the country’s food security and supply chain, including the expansion of the aquaculture sector as a backup source of protein supply.
“We are focusing on aquaculture as an alternative source of protein supply in the event of disruptions caused by the conflict,” he said.
He also said the impact of the global energy crisis has affected shipping, fertiliser and animal feed costs.
“Among current concerns is the rising cost of grain corn and soybeans, which are the main ingredients used in chicken feed.
“As such, there may be changes in prices. We will monitor the situation closely for any developments,” he said.
Mohamad said Malaysia is still dependent on imports of animal feed grains from various countries, including Brazil and Argentina, while rice supplies are imported from Pakistan, India and Bangladesh.
He also said the Federal Agricultural Marketing Authority is currently dealing with a surplus of vegetables in several areas.
“Vegetable supply has seen a glut in Cameron Highlands where farmers have had to intervene by purchasing excess produce or finding solutions,” he said, adding that the country’s rice stock remains sufficient until the end of the year.
Also present were the ministry’s Senior Undersecretary (management) Yuswan Yunus, Food and Agro-based Industry Undersecretary Datuk Dr Mohd Haniff Hassan, and the Federation of Malay Hawkers and Small Traders Associations representative Nurul Naquiyum Masirin.
