Business

Budget 2023: subsidies for paddy, rubber farmers dealing with bad weather

Govt will also increase monsoon aid from previous RM600 to RM800 this year

Updated 3 years ago · Published on 24 Feb 2023 8:11PM

Budget 2023: subsidies for paddy, rubber farmers dealing with bad weather
Prime Minister Datuk Seri Anwar Ibrahim has said for paddy farmers, the government would continue to distribute various subsidies and incentives with an allocation of RM1.6 billion. – ABDUL RAZAK LATIF/The Vibes pic, February 24, 2023

KUALA LUMPUR – Paddy farmers and rubber smallholders who struggle with unpredictable weather, especially during the monsoon season, will receive various subsidies under Budget 2023. 

Prime Minister Datuk Seri Anwar Ibrahim said for paddy farmers, the government would continue to distribute various subsidies and incentives with an allocation of RM1.6 billion. 

He said cash contributions of RM200 per month would also be given to paddy farmers for a period of three months or a season, involving 240,000 farmers with an allocation of RM228 million. 

“In addition to the RM60 million contribution provided, Bernas (Padiberas Nasional Bhd) has also agreed to share profits from rice imports by contributing 30% of the net profit to paddy farmers,” he said when tabling Budget 2023 in the Dewan Rakyat today. 

Meanwhile, Anwar said in order to increase the minimum income of rubber tappers, the government had agreed to raise the activation price level of the Rubber Production Incentive from RM2.50 to RM2.70 per kg with an allocation of RM350 million. 

He also urged the Malaysian Rubber Board (MRB) to simplify the process for claims, especially involving smallholders who had to travel dozens of kilometres just to get the incentive. 

“I want the MRB and all the agencies involved to be more responsive on the field to manage the demands of smallholders and start acting proactively in facilitating the people's dealings with the government,” he said. 

He said the government also agreed to increase the monsoon aid for smallholders from RM600 to RM800 for a period of four months, to ease the burden borne by 320,000 individuals in the target group, involving an allocation of RM256 million. 

Anwar said that in order to increase the demand for rubber and the income of smallholders, the government would provide RM50 million to use Cuplump Modified Bitumen (CMB) for road maintenance as CMB was also able to increase the lifespan of roads. – Bernama, February 24, 2023

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