SANDAKAN: A total of 61,421 hectares of agricultural land in Sabah has been replanted with oil palm last year as an effort to revive the industry in the state.
Deputy Plantation and Commodities Minister Datuk Chan Foong Hin said it was an extraordinary feat that spoke volumes of Sabah's commitment to the industry's rejuvenation.
"In comparison to the low national 1.8 per cent replanting rate between 2014 and 2023, Sabah has achieved a remarkable four per cent replanting rate on 61,421 hectares of land in 2023.
"It is a major increase from the 36,218 hectares replanted in 2022, highlighting Sabah's critical role in pushing advancements within our industry.
"The state's contribution, comprising 47 per cent of Malaysia's total replanting area of 131,917 hectares last year, served as a shining beacon of inspiration for all planters.
"It is a testament to Sabah's unwavering dedication to sustainable growth and its invaluable contributions to the palm oil sector," he said during the launching of the "MPOA Seminar 2024: Oil Palm Replanting: Rediscovering Fundamentals and Advancing Best Practices" here.
However, he said the replanting effort was just a beginning of the industry revival and the drive must continue and be further promoted throughout Malaysia.
He added that the global demand for edible oils was poised to soar as the world population approached 10 billion by 2050.
The Kota Kinabalu member of parliament said in the 2024 Budget, the Madani government had launched an allocation fund of RM100 million for the implementation of the Smallholder Palm Oil Replanting Financing Incentive Scheme (TSPKS 2.0), which would be distributed to smallholders through Agrobank.
The scheme was expected to benefit 7,000 smallholders, with a 5,900-hectare target of replanting oil palm in the state.
Up to Jan 31, 27 applications have been received from smallholders in Sabah, who owned a total plantation area of 125.20 hectares.
"The ministry recognises that this scheme is limited to providing 'footprint-sized' assistance only.
"To bolster domestic production and address the interest of stakeholders, the collaboration and assistance of major palm oil entities are essential in undertaking replanting endeavours.
"This strategic approach is imperative in ensuring sustained economic viability of the palm oil industry," he said.