Kuala Lumpur: The Federal Agricultural Marketing Authority (FAMA) and FAMA Corporation Sdn Bhd have imported 734 metric tonnes of mature, dehusked coconuts from Sabah and Indonesia, valued at RM2.01 million, as of March 4. Agriculture and Food Security Minister Datuk Seri Mohamad Sabu announced this initiative as part of the ministry’s short-term intervention to address rising prices of coconut-based products, especially coconut milk.

According to BERNAMA News Agency, the supply is distributed to the market through 42 FAMA operation centres via 509 marketing outlets such as Agrobazaar Kedai Rakyat, Agrobazaar Rakyat, farmers’ markets and permanent farmers’ markets. Part of the supply is also distributed to 16 wholesalers and 202 coconut milk entrepreneurs nationwide. This measure aims to help stabilise prices and ensure a continuous supply for the coconut milk processing industry and other coconut-based products, Mohamad explained during the Minister’s Question Time in the Dewan Rakyat.

Mohamad was responding to Rodziah Ismail’s (PH-Ampang) query regarding the ministry’s short-, medium-, and long-term plans to tackle the surge in coconut product prices due to a shortage of local coconut supply, rising import costs from Indonesia and weather factors. For medium-term intervention, the Agriculture and Food Security Ministry (KPKM), through the Department of Agriculture (DOA), is implementing the Coconut Industry Development Programme 2021-2025 under the 12th Malaysia Plan, providing incentives to farmers to boost local coconut production.

Efforts include replanting and new planting by replacing mature or unproductive trees, as well as rehabilitating coconut farms to increase productivity. Farmers are also provided with agricultural inputs such as seedlings, fertilisers, pesticides and basic farm infrastructure, including land preparation, drainage and small-scale farm equipment.

For long-term measures, Mohamad said KPKM encourages farmers to cultivate high-yield coconut varieties such as Matag, Malayan Red Dwarf, Malayan Yellow Dwarf and Pandan coconuts. Between 2021 and 2024, RM15 million has been allocated for coconut industry development, involving 943 farmers with replanting or new planting across 1,890.7 hectares and coconut farm rehabilitation on 285 hectares. A total of 1.2 million high-yield coconut seedlings have been produced to support the national coconut development project.

Mohamad also stated that the DOA was allocated RM3 million in 2024 under the Coconut Seed Production Enhancement Project, producing 524,606 coconut seedlings through close collaboration with government agencies, government-linked companies and the private sector.