THOUGHTS

ISSUES, CHALLENGES AND FOCUSED STRATEGIES TO INCREASE BEEF PRODUCTION IN MALAYSIA

18/10/2024 10:05 AM
Opinions on topical issues from thought leaders, columnists and editors.
By :
Prof Datuk Dr Quaza Nizamuddin Hassan Nizam

Beef and buffalo meat are important protein sources that support the essential amino acid and micronutrient needs for human nutrition and health.

In 2005, the consumption of beef and buffalo meat in Malaysia amounted to 138,980 metric tons, compared to 244,801 metric tons in 2022, marking a 76% increase. This reflects an average annual growth rate of 4.47%. The total beef consumption in a country generally correlates with population growth and income levels.

However, domestic supply for both types of meat has declined. As a result, the self-sufficiency rate has decreased from 23.6% in 2015 to 14.7% in 2022. This means that 85.3% of the beef and buffalo meat supply in Malaysia had to be imported.

Specifically, the cattle and buffalo population trend declined from 914,548 in 2005 to 801,614 in 2022. This indicates a contraction in livestock by 12.35% between 2005 and 2022. The declining livestock population can also be attributed to high slaughter rates of local livestock. In 2015, of the 149,174 cattle and buffaloes slaughtered, 45.6% came from local sources. But by 2022, of the 125,313 animals slaughtered, 90.1% were sourced locally. The increased percentage of locally slaughtered livestock therefore threatens the stability of the herd population.

Ministry implemented various programmes and initiatives to Increase and expand domestic production

Studies have shown that if the annual number of slaughters, culls, and deaths exceeds the number of replacements through births and new imports, the livestock population declines. The Department of Veterinary Services, under the Ministry of Agriculture and Food Security, has implemented various programmes and initiatives to increase and expand domestic cattle and buffalo production, but these efforts have been less effective to date.

It is time to consider more effective, focused strategies to build the livestock population, in other words, increasing the number of breeding cattle. When there is a significant increase in the breeding stock, more calves can be produced, leading to livestock population growth.

Expansive land is needed to expand breeding activities and increase livestock numbers. Malaysia lacks vast grazing areas like Australia but has extensive oil palm plantations, covering 5.85 million hectares, with 12.6% already used for cattle farming. Several companies and private operators are successfully practicing cattle integration in oil palm plantations.

If we could allocate an additional 750,000 hectares (an estimated 13% increase) for cattle farming in oil palm plantations, we could increase livestock numbers by 187,500 heads (based on a ratio of 1 head per 4 hectares). This has the potential to increase meat production by 10,416 metric tons (assuming 18 cows can produce 1 metric ton of meat based on a birth rate of 56% and an additional slaughter of 20% from the culled cows and 20% from female calves).

Participation of major companies to invest for production

This, of course, requires the participation of major companies to invest in this industry, as private and public listed oil palm plantation companies own more than 50% of the total oil palm plantation area in the country.

Typically, these companies argue that they lack the expertise to venture into this field and that the returns are low. To attract these companies, three approaches can be suggested.

  1. Form joint ventures with successful companies to integrate cattle farming with oil palm plantations.
  2. Appoint successful operators to manage or run the integrated cattle-oil palm business.
  3. Lease the land to local cattle farming cooperatives, following guidelines provided by the Department of Veterinary Services and under its supervision.

Additionally, the government could offer extra tax incentives to companies involved in this investment. Most importantly, a policy should be established requiring each oil palm plantation company to identify and allocate 20%-25% of their plantation area for cattle farming. This is to ensure that local beef supply can be increased.

Cattle integration with oil palm plantations can also reduce the use of herbicides (by 15%-40%) as cattle graze on part of the weeds. Not only that, but reduced herbicide use can also minimise negative environmental impacts, and companies can highlight this effort to meet the requirements under Environmental, Social and Governance (ESG), Roundtable on Sustainable Palm Oil (RSPO) and Malaysian Sustainable Palm Oil (MSPO), which are now in focus.

Efforts must be made to prevent slaughter of productive female cattle

Furthermore, efforts must be made to prevent the slaughter of productive female cattle. One reason for the slaughter of productive cows is to increase income or due to the limited grazing area that cannot support a larger herd. There is already a legal provision under the Animal Act 1953 (Act 647) prohibiting the slaughter of productive cattle to reduce the loss of breeding stock.

This Act can be used alongside a system that allows the repurchase of productive cows intended for slaughter, which can then be resold or distributed to farmers capable of increasing the cattle population.

These strategies can succeed if the government and private sector take an integrated approach, along with other strategies currently being, or needing to be, implemented by the Department of Veterinary Services and the Ministry of Agriculture and Food Security, as outlined in the National Beef Industry Development Strategic Plan (BIF Plan) 2021-2025. With these focused efforts, we can improve the self-sufficiency rate for beef and buffalo meat to a higher level.

-- BERNAMA

Professor Dato’ Dr Quaza Nizamuddin Hassan Nizam is a Professor at the Faculty of Health and Medical Sciences, Taylor's University.

(The views expressed in this article are those of the author(s) and do not reflect the official policy or position of BERNAMA)