Government Aims to Generate RM9 Billion from Rubberwood Sale
Replanting Programme to Reduce Abandoned Rubber Plantations
The government is targeting to generate RM9 billion from the sale of treated rubberwood through the replanting programme under the Rubber Industry Smallholders Development Authority (RISDA). Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi announced this during the Ministry of Rural and Regional Development’s (KKDW) Santunan Kasih Ramadan 2025 event at Universiti Teknologi MARA (UiTM), Perlis branch.
Reducing Abandoned Rubber Plantations
RISDA has taken proactive steps to reduce the number of abandoned rubber plantations, which stands at 400,000 hectares nationwide. The proposed implementation of a large-scale rubber planting programme (TGBB) will be managed by Syarikat RISDA Plantation Sdn Bhd. This is expected to reduce the area of abandoned rubber plantations and guide entrepreneurs under the agency to increase smallholders’ income sources, other than relying on rubber production.
Increasing Latex Output
Ahmad Zahid, who is also the Minister of Rural and Regional Development, emphasized RISDA’s efforts to increase the country’s latex output. The goal is to replace the annual latex import of RM6 billion, particularly from neighbouring countries. Smallholders produce more than 80% of the country’s rubber production, while rubber plantations owned by large companies produce less than 20%. In the past, the country used to produce latex, but now it is an importer of this latex.
Dividends for Smallholders
RISDA distributed dividends in 2024 to 1,776 participants of the Clustered New Plantation Scheme (RTBB) programme, totalling RM10.99 million. Each recipient earned an average of RM5,061 per hectare. This value increased by 69% compared to last year’s amount of RM6.49 million, reflecting the proactive efforts of KKDW and RISDA in ensuring that smallholders enjoy the best returns.
Empowering Smallholders in Perlis
RISDA is allocating RM3.7 million for its development programme in Perlis this year to empower smallholders in the state through strategic development programmes. Additionally, four mosques in Perlis received RM3,000 contributions from KKDW through RISDA.
Conclusion
The government’s efforts to reduce abandoned rubber plantations and increase latex output will have a significant impact on the country’s rubber industry. By empowering smallholders and providing them with better returns, RISDA is taking a crucial step towards ensuring the long-term sustainability of the industry.
Frequently Asked Questions
Q: What is the government’s target for the sale of treated rubberwood?
A: The government aims to generate RM9 billion from the sale of treated rubberwood.
Q: What is the proposed implementation of the large-scale rubber planting programme (TGBB)?
A: The proposed implementation of TGBB will be managed by Syarikat RISDA Plantation Sdn Bhd and aims to reduce the number of abandoned rubber plantations.
Q: How much did RISDA distribute in dividends to smallholders in 2024?
A: RISDA distributed RM10.99 million in dividends to 1,776 participants of the Clustered New Plantation Scheme (RTBB) programme.