GURUN: The Ministry of Science, Technology and Innovation (MOSTI) fully supports the public-private partnership between Bioeconomy Corporation and BioNexus company, Free The Seed Sdn Bhd, in driving the biodegradable industry in Kedah through the processing of rice straw using biotechnology enzymes.
According to BERNAMA News Agency, Science, Technology and Innovation Minister Chang Lih Kang stated that the initiative will produce biodegradable packaging products for both local and international markets, with an estimated market value of RM60 million starting in 2025. The markets will cover countries such as Germany, the Netherlands, Japan, and the United Kingdom.
“This collaboration has successfully created a value chain that provides additional income opportunities for padi farmers and the local community. Kedah is now not only a major rice producer in Malaysia but also a hub where rice straw is transformed into ‘green gold’ through biotechnology applications,” he said.
Following the collaboration betwee
n Bioeconomy Corporation and Free The Seed, padi farmers in this area are expected to generate an additional RM3 million per year starting in 2025 from the sale of rice straw. To date, 618 padi farmers have participated in the project, and that number is expected to rise to 3,700 farmers when full operations begin in 2025.
This initiative highlights the potential of biotechnology in turning rice straw into ‘green gold’, which plays an important role in generating income for farmers, creating job opportunities, driving the circular economy, and supporting environmental sustainability. These efforts align with the National Biotechnology Policy 2.0 and the country’s sustainable development agenda.
Meanwhile, Bioeconomy Corporation’s chief executive officer, Mohd Khairul Fidzal Abdul Razak, mentioned that the additional capacity from this collaboration is expected to reach an annual production of 120 million units of biodegradable packaging products for the medical, food, industrial, and electronics markets.
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Through industry engagement sessions and access to stakeholders in both the public and private sectors, Bioeconomy Corporation has supported Free The Seed in expanding its market. Initially focused on food and healthcare packaging for the export market, they have now successfully entered new sectors including local healthcare, the semiconductor industry, and sustainable energy,” he said.
Mohd Khairul Fidzal further noted that this support has helped Free The Seed increase its production capacity to meet the growing market demand in these sectors. It has also resulted in the creation of 120 new job opportunities, with 30 percent of these positions filled by skilled TVET (Technical and Vocational Education and Training) workers.