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Friday March 31, 2006

Modern farming

THE Government has allocated RM11.4bil under the 9MP to transform the agriculture sector into a modern, dynamic and competitive sector.

This represents a 70% increase, or an additional RM4.7bil, over the allocation under the 8MP.

The sector is expected to grow by 5% annually during the 9MP period, up from 3% previously. With the inclusion of the agro-based industry, the growth rate is expected to be 5.2%.

The focus will be on developing New Agriculture to revitalise the agriculture sector to become the third engine of growth after the services and manufacturing sectors. It will involve large-scale commercial farming, the wider application of modern technology, production of high quality and value-added products, unlocking the potential in biotechnology, increased convergence of information and communications technology (ICT), and the participation of entrepreneurial farmers and skilled workforce.

A total of RM4.4bil will be allocated for the modernisation of agriculture, mainly for projects in the regional development areas, as well as replanting and land consolidation and rehabilitation programmes, while RM2.6bil will be for support services and RM1.5bil for agricultural irrigation programmes.

Strategies will be geared towards expanding agricultural production; expanding agro-based processing activities and products diversification; strengthening marketing and global networking; enhancing incomes of smallholders, farmers and fishermen; and improving the service delivery systems.

The productivity, efficiency, and the income and wealth generating potential of the sector will be enhanced through the wider application of modern farming methods and ICT, strengthening research and development (R&D) and innovation, improving marketing capability, and promoting increased participation of the private sector, including entrepreneurial farmers and skilled workers.

The functions of agriculture agencies will also be streamlined to enhance service delivery and efficiency. The transformation of the agriculture sector into a modern, viable and dynamic venture will be led by the Ministry of Agriculture (MOA), the Ministry of Plantation Industries and Commodities (MPIC), and the Ministry of Rural and Regional Development (KKLW).

The MOA will be responsible for the modernisation of the food sub-sector focusing on programmes such as training, marketing, credit, skills development and dissemination of knowledge on modern agriculture to farmers, fishermen and livestock rearers as well as programmes to develop entrepreneur farmers in the agro-based industries.

The MPIC will facilitate the development of agricultural industrial commodities through transfer of new technologies to smallholders and R&D on product diversification.

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