Diesel Subsidy Expansion For Agriculture Sector To Be Tabled At Cabinet Tomorrow - Mohamad

PUTRAJAYA, March 31 (Bernama) -- A proposal to increase and expand diesel subsidies for those in the agriculture sector, including padi farmers, crop farmers and fishermen, will be brought to the Cabinet meeting tomorrow for further consideration and a decision.

Agriculture and Food Security Minister Datuk Seri Mohamad Sabu said the proposal was discussed at the National Economic Action Council (MTEN) meeting this morning as an immediate measure to ease operational cost pressures in the country’s food production sector.

He said among the proposed measures were to expand diesel subsidies through the fleet card system to more players in the agriculture sector, as well as to review the possibility of increasing the existing subsidy rate.

“This proposal will be brought to the Cabinet meeting tomorrow for a decision,” he said at a press conference after the launch of the National Ruminant Industry Empowerment Programme under the 13th Malaysia Plan (13MP) with industry players, here today.

In addition, Mohamad said the government was also studying immediate measures to address the potential increase in fertiliser prices, which was a key input across all agricultural sectors and could significantly affect padi farmers and vegetable growers if prices rise.

Mohamad said the move was crucial as the agriculture and fisheries sectors were facing rising input costs, including fuel, fertiliser and logistics costs, following global developments.

He also said the government was exploring alternative sources for fertiliser imports following export restrictions by China, with several other countries, including Russia, offering supply, and further discussions would be held by ministry officials to determine suitable pricing and terms.

Meanwhile, Agriculture and Food Security Ministry secretary-general Datuk Seri Isham Ishak said Malaysia had a sufficient livestock feed supply, as imports were secured before the West Asia conflict erupted, but supplies were expected to decline within about a month and would need to be replenished through new imports.

He said livestock feed was largely imported from countries such as Argentina and Brazil, and while supply remained adequate for now, the main factor that could affect prices was transportation costs.

He added that grain corn pilot projects in Cuping, Perlis and Kota Belud, Sabah had shown positive results, and Mohamad was expected to launch a large-scale national grain corn planting programme in Cuping this June.

“We are planning that within the next four years, we will achieve a self-sufficiency ratio (SSR) of 30 per cent for grain corn to support the country’s livestock feed needs,” he said.

-- BERNAMA