Kuala lumpur: The increase in assistance rates under the Rubber Replanting Programme for Peninsular Malaysia and Sabah during the 13th Malaysia Plan (13MP) reflects the government's continued commitment to supporting rubber smallholders. Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi announced that the assistance rate in Peninsular Malaysia has been raised from RM13,710 per hectare to RM20,000 per hectare, while in Sabah it has been increased from RM14,955 per hectare to RM23,000 per hectare.
According to BERNAMA News Agency, Ahmad Zahid, who is also Rural and Regional Development Minister, highlighted that the rate for Sarawak had been announced in March, with the new rate set at RM23,000 per hectare, compared to the previous RM14,805. The new rates will be implemented starting this year through five instalment payments, aiming to help smallholders manage plantation development more effectively.
The measure also aims to alleviate the initial cost burden, which has been a significant challenge in executing replanting. This decision was made after taking into account the rising costs of plantation development and field requirements in the context of global economic uncertainties and increasing agricultural input costs.
Ahmad Zahid noted that throughout 13MP, the initiative is expected to benefit approximately 33,000 smallholders, with a replanting target of 50,000 hectares, or an average of 10,000 hectares annually. In the long term, the effort is anticipated to help smallholders earn around RM4,700 per month per household through rubber yields and other economic activities.
He emphasized that this increase is a testament to the government's dedication to supporting, empowering, and uplifting the smallholder rubber community.