KPKM Exploring Diesel Fleet Card Initiative to Ease Burden on Agricultural Service Providers
PETALING JAYA: Mohamad Sabu said the Ministry of Agriculture and Food Security (KPKM) is evaluating the implementation of diesel subsidies through a dedicated fleet card system for agricultural service providers nationwide.
The proposed initiative is expected to involve approximately 7,000 agricultural service operators with an estimated allocation of around RM200 million aimed at reducing operational costs within the agricultural sector.
According to him, the initiative would benefit operators of ploughing machinery, harvesting equipment and transport lorries commonly used by paddy farmers and agricultural businesses.
“Most paddy farmers do not own heavy machinery and rely heavily on agricultural service providers for ploughing, harvesting and transportation work.
“The government understands the challenges faced by these groups and is therefore considering various approaches to ensure the continuity of the country’s agricultural activities,” he said in a statement today.
Government Continues Monitoring Farmers’ Welfare
Mohamad Sabu said the government remains committed to monitoring issues affecting farmers, including production costs, agricultural input prices and operational needs in the field.
He noted that the government had previously introduced a ploughing assistance programme offering RM300 per hectare to eligible paddy farmers in an effort to ease financial pressure in the industry.
Under the scheme, farmers receive an advance payment of RM200 per hectare before or during ploughing activities, while the remaining RM100 per hectare is disbursed after completion and verification by relevant agencies.
He said the initiative was designed to ensure farmers have sufficient capital to continue planting activities without facing excessive financial strain.
Global Fertiliser Prices Expected to Rise Further
In a related development, Mohamad Sabu said international organisations such as the Food and Agriculture Organization (FAO) are forecasting further increases in global fertiliser prices due to geopolitical uncertainties affecting the supply of key raw materials including phosphate.
He said that although fertiliser supplies in Malaysia remain stable for now, the government will continue monitoring market developments and introduce intervention measures if necessary.
“We want to ensure that the country’s agricultural sector remains stable and that food production is not affected by rising input costs,” he said.
FAMA Monitoring Vegetable Prices in Kelantan
Commenting on rising vegetable prices in Kelantan, he said the situation remains manageable despite price increases involving several types of produce.
He added that the Federal Agricultural Marketing Authority (FAMA) is carrying out close monitoring and a more detailed report is expected soon.
He stressed that the ministry remains focused on maintaining stable national food supply chains while helping agricultural operators navigate ongoing economic challenges.
