AreaMalaysia

Commodity GroupRice

CommodityAll

Date13/10/2023

Policy CategoryProduction

Policy InstrumentBudgetary allocations, production support, support prices, crop insurance,

DescriptionAs part of its 2024 budgetary allocations, announced that, in addition to raising assistance to paddy farmers under the Paddy Price Subsidy Scheme to MYR 500 (USD 106) per tonne, it would also increase the paddy producer price floor by MYR 100 (USD 21) to MYR 1 300 (USD 275) per tonne. It was additionally looking to intensify production by piloting the cultivation of five cycles every two years in granary areas, including Perak, Kedah and Perlis. It would also increase incentives to support cultivation in hill paddies by 25 percent to MYR 50 (USD 11) million to have hill paddies extend over 43 000 hectares. Furthermore, it would set aside MYR 50 (USD 11) million as a start-up fund for the Skim Takaful Tanaman Padi, under which 240 000 paddy farmers could be compensated for losses incurred as a result of natural disasters, among other measures.

NotesExchange rate as of 16 October 2023.