The government is providing RM2.6 billion to channel various forms of subsidies and incentives to paddy farmers and fishermen in Budget 2024, said Prime Minister, Datuk Seri Anwar Ibrahim.

Anwar, who is also the Finance Minister, said that the allocation has increased by RM600 million compared with this year, in line with the government’s decision to increase the rate of the Paddy Price Subsidy Scheme from RM360 to RM500 per metric tonne.

When tabling the Budget 2024 in the Dewan Rakyat, Anwar said that the government also decided to increase the floor price of rice from RM1,200 to RM1,300 per metric tonne to help farmers’ income.

Apart from that, he said that the government had started a pilot effort to plant five-season rice within a period of two years in several paddy cultivation areas, including Bota Kiri, Perak; Kangar, Perlis and Kota Sarang Semut, Kedah.

“This is in line with efforts to upgrade the irrigation infrastructure in the Muda Agricultural Development Authority (MADA) areas in Perlis and Kedah, to increase rice production with an investment worth RM3 billion.

“The government also agreed to increase the subsidy allocation for dryland paddy or hill paddy, from RM40 million to RM50 million,” he said.

As for the fishermen, Anwar said that the government continues to maintain the diesel subsidy at the lowest price of RM1.65 per litre to a certain class of fishermen, with a quota of 840 million litres per year.

He said that fishermen were also given a subsistence allowance of up to RM300 a month, and a fishermen’s catch incentive of up to RM1,000 a month, in addition to RM10 million being provided to build new and renovate dilapidated fishermen’s houses.

According to Anwar, as much as RM400 million has been provided to implement the Food Security Strengthening programmme, with a special focus on increasing the production of local food crops which are still dependent on foreign imports.

“It includes RM150 million to collaborate with the state governments in optimising the use of land to increase crop and livestock yields; RM50 million to implement a new method of procurement of fertilisers through open tenders, to give rice farmers a choice of fertilisers they want to use,” he said.

To support the increase in the production capacity of agricultural products, and the competitiveness of young agropreneurs, Agrobank provides loan facilities to agro-food entrepreneurs of up to RM430 million.

Also, the government will protect farmers, breeders and fishermen who face disasters which destroy crops and livestock, with an allocation of RM50 million under the Agricultural Disaster Fund to compensate up to 50 per cent of the value of losses due to disasters.

He added that RM50 million was also provided as initial funds under the Takaful Scheme for Paddy Crops, for the benefit of more than 240,000 paddy farmers.

Source: BERNAMA News Agency