Sarawak: The Sarawak Dayak Oil Palm Planters Association (Doppa) said the federal government’s allocation of RM1.4 billion for oil palm replanting under the 13th Malaysia Plan (13MP) is a timely move to rejuvenate ageing plantations, particularly for independent smallholders in the state.

According to BERNAMA News Agency, Doppa stated that the commitment by the Ministry of Plantation and Commodities reflects the government’s dedication to sustaining and enhancing the country’s palm oil industry. Citing data from the Malaysian Palm Oil Board (MPOB) for 2023, it said Sarawak has 256,738 hectares of oil palm plantations managed by 46,584 independent smallholders, the largest planted area in Malaysia.

Doppa emphasized the importance of prioritizing Sarawak in terms of special allocation and targeted replanting efforts, warning that the current replanting rate of only two per cent could impact both local and global supply chains if not addressed. The association urged the ministry to simplify the application and
approval processes, noting that over 70 per cent of independent smallholders in the state are not operating at full productivity due to ageing palms.

The association identified slow land status verification as a major obstacle in releasing incentives and soft loans through Agrobank. It suggested that the Department of Agriculture Sarawak and MPOB Sarawak be used as channels for deploying replanting scheme incentives to speed up the process. With the allocation, Doppa proposed a practical approach to replant about 77,000 hectares under the plan, representing 9.3 per cent of the 824,404 hectares of independent smallholders’ oil palm nationwide.

Doppa also recommended that incentives be provided to independent smallholders who carry out replanting on their own initiative, with the MPOB verifying completion of such efforts. By encouraging self-motivated replanting, the government can accelerate the process and ensure that grants achieve their intended objectives without wastage.