Kuala lumpur: The agricommodity sector has contributed RM66.1 billion, accounting for 5.2 per cent of Malaysia's national gross domestic product as of September 2025, according to Minister of Plantation and Commodities Datuk Seri Dr. Noraini Ahmad.

According to BERNAMA News Agency, from January to November 2025, the sector contributed RM180.2 billion, or 12.4 per cent, to the country's total exports. In addressing the Dewan Rakyat during the debate on the Motion of Thanks for the Royal Address, Noraini acknowledged the challenges facing the sector, such as diseases and price volatility, which are impacting incomes, especially among smallholders.

To tackle these issues, the ministry has engaged extensively with stakeholders and is conducting a Mid-Term Review of the National Agro-Commodity Policy 2021-2030. Additionally, the Ministry of Plantation and Commodities (KPK) has requested additional assistance for rubber sector smallholders from the Ministry of Finance, though approval is still pending.

Noraini detailed measures taken to support the rubber industry, including the Malaysian Rubber Board's (MRB) implementation of the Pestalotiopsis Leaf Fall Disease (LDP) Control Programme from 2023 to 2025. This program, with a budget of RM37.98 million, targets 38,492 hectares of severely affected mature rubber areas. Similarly, the Rubber Industry Smallholders Development Authority (RISDA) is executing the same program under the 12th Malaysia Plan (12MP), with RM68.56 million allocated for 96,279 hectares of smallholder rubber areas.

In addition to disease control, the minister highlighted issues such as abandoned mature plantations, high production costs, and an ageing workforce affecting natural rubber production. To counter these challenges, the government is rolling out a consolidation programme for abandoned plantations to boost domestic NR production.

The MRB, in collaboration with the Federal Land Development Authority and private estates, rehabilitated 1,000 hectares of abandoned rubber land last year with a RM7 million allocation. This year, the target is to rehabilitate 6,500 hectares, potentially increasing rubber production by 10,000 metric tonnes.

Furthermore, Noraini reported that by December 31, 2025, over 254,000 smallholders benefited from the Rubber Production Incentive (IPG), with total payments surpassing RM534 million. The government has earmarked RM171 million annually for 2025 and 2026 for the IPG.