Malaysia Agriculture Sector

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Published on 20-05-2010 01:25 AM

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Agriculture is an important sector to the country's economic development. It was one

of the highlighted issues during Tun Abdullah Ahmad Badawi's tenure as Malaysia's
Prime Minister. Abdullah strongly believed that this industry can generate wealth and
reduce poverty particularly among those from rural areas.

Based on statistics, agriculture industry generates approximately 12 percent to the

national gross domestic product (GDP) and also reduce unemployment rate in
Malaysia. The history of agriculture can be traced back to during British
administration in Malaya. Several new commercial crops such as palm oil, cocoa and
rubber were introduced. Since then, these crops became the main agricultural
exports to global market.

Other than the above mentioned crops, Malaysian farmers also produced other high
quality fruits and vegetables for domestic market consumption such as durian,
coconuts, bananas, pineapples and paddy. Generally, the agriculture sector in
Malaysia can be divided into estate sub-sector and smallholders' sub-sector.

Estate sub-sector is highly commercialized and must be efficiently managed by the

experts. Usually, it is owned by either private companies, public-listed corporate
entities or even public land development agencies. These companies are only
involved in the production of industrial crops such as cocoa, rubber and oil palm.
These three major crops are grown and produced for exports as it contributes to
national GDP for the country. On the other hand, smallholders' sub-sector is less
commercialized. It is mainly for food crop production such as fruits and vegetables.

Agriculture sector can be generalized into two categories – industrial commodities

and food sub-sector. Industrial commodities under Ministry of Primary Industries
(KPU) provision is responsible in ensuring high quality production of pepper, palm oil,
rubber, cocoa and wood and timber. On another note, Ministry of Agriculture and
Agro-based Industry (MOA) must oversee crop production, livestock and fisheries
activities.

A number of departments and organizations are involved to ensure smooth progress

of agriculture industry in the country. Among some of the departments are
Department of Agriculture, Department of Fisheries, Malaysia Agriculture Bank
(BPM), Farmers' Organization Authority (FOA),Malaysian Agricultural Research and
Development Institute (MARDI) and plenty more.

All the activities and industries were introduced and implemented according to
National Agricultural Policy (NAP). It was introduced in an effort to develop and
elevate the sector to global market. Back then, NAP1 emphasized largely on the
export crop productions such as palm oil and cocoa.Government opened up more
land and provide sufficient manpower for the industry. Besides manpower,
government also invested large sum of money on infrastructure, advanced
technologies as well as in-situ development to overcome low productivity primarily
among small holders and farmers.

Subsequently after NAP1, government drafted a new NAP2 and executed it from
1992 to 1997. After emphasizing much on the export crops, government changed the
pathway and objectives. This time around, the policy was meant to promote agro-
based industry and to boost productivity and competitive edge among farmers. In
addition to that, NAP2 was drafted in line with other policies such as World Trade
Organization (WTO), Asean Free Trade Area (AFTA) and Asia-Pacific Economic
Cooperation (APEC).

The latest and current ongoing NAP3 began in 1998 and will end in 2010. The
policies have changed and it is aim to boost and increase income for producers while
fully utilizing the natural resources in the country. NAP3 was drafted to overcome the
1997 financial crisis that is to find alternatives and solution for manufacturing sector.
More specifically, NAP3 aims to solve problems in food security and to establish
linkage with other sectors such as fisheries.

Issues and challenges of agricultural sector

There are bound to be some issues concerning the progress and development of
agricultural sector in the country. First of all, to develop agricultural sector,
government must sacrifice the existing forests by burning down or clearing the land
for export crops production. It takes months and sometimes, years to harvest the
fruits or yield the trees.

While the government stressed that agriculture is an important sector that

contributes to national GDP, at the same time, the rapid housing, building and
infrastructure development decrease the land areas catered for agricultural sector. It
is extremely hard to find empty land for property development let alone for
agriculture activities.

In addition to that, the inadequate manpower also deters development of the sector.
The number of farmers aged 55 years and above accounts up to more than 45
percent while the younger generation perceived that the agricultural sector is not
attractive. As a result, labour force is low and insufficient.

Chicken Poultry

Poultry farming is raising chickens§, turkeys, ducks and other fowl§ for meat or eggs. Poultry
farms can be: 1. Breeding farms where they raise poultry for meat, or 2. Layer farms where they
produce eggs.
The ‘best’ breeds depend on what you want from them. Good egg layers are Rhode Island
Reds [brown eggs] and Leghorns [white eggs]. Great meat comes from Arbor Acres, Ross, and
Peterson chickens which were named after the breeders who raised them. Some hens are raised
for egg production and meatiness. New Hampshires, Plymouth Rocks, and Wyandottes are good
ones.
In the old times, poultry farming was the farmer’s wife throwing some feed out to the chickens
who were wandering, loose, around the yard. She would find the eggs—wherever they might be
laid, before they got rotten.
Today, poultry raising is big business. Each step is done by someone who knows what they are
doing. Just like the dairy farmer we visited, the breeder wants to get the best chicken he can.
'Best’ might mean a meatier chicken, one with less or more fat, or one that lays more eggs or
eggs more often. The breeder might hire veterinarians or scientists to help him choose the
characteristics he wants in his chickens. Breeders are known for their special kinds of chickens
and no one is allowed to copy them.
Food costs are important to poultry farmers. Feed is about 60% of the cost of raising poultry.
Fowl are usually fed a combination of maize, soy, rice bran and cereals.
Poultry is mostly used for meat and eggs but other products come from these animals. Duck
and goose feathers are used for pillows and insulated clothing. That “down-filled” jacket: GOOSE
FEATHERS! Manure is used as fertilizer. Eggs are used in paint and medical vaccines.
California , Indiana , Iowa , Ohio , and Pennsylvania produce the most eggs in the U.S.
Alabama , Arkansas , and Georgia produce the most chickens in the U.S. The highest turkey
producers are Minnesota and North Carolina.