Agrofood insurance scheme in final stages, says Kiandee
Posted on : 05 Jul 2022  Source of News: New Straits Times

PUTRAJAYA: The agro-food insurance and takaful scheme, which aims to protect industry players against losses, especially those involving natural disasters, are both in the final stages of completion.

Agriculture and Food Industries (Mafi) Minister Datuk Seri Dr Ronald Kiandee said the scheme, spearheaded by Agrobank, will be launched soon.

"All agencies involved will need to scrutinise it first. We are confident that it will be concluded soon. Agrobank is actively working on the scheme.

"Apart from Mafi, among the agencies that are involved include the Finance Ministry, Bank Negara Malaysia and other relevant ministries.

"The scheme has strict conditions to ensure maximum benefits for the contributors," he told reporters after the launch of the Agriculture Engineering symposium here today.

Also present were Mafi secretary-general Datuk Haslina Abdul Hamid, deputy secretary-general (Policy) Azah Hanim Ahmad and Agriculture Department director-general Datuk Zahimi Hassan.

Kiandee said that for a start, the scheme would be offered to those involved in the country's rice sub-sector before being expanded to other sub-sectors.

The scheme, he said, was in line with the National Agrofood Policy, 2021-2030 (DAN 2.0) to boost the country's agro-food industry. The scheme was first announced in March last year.

Kiandee said Malaysia remains among the countries without crop insurance, unlike its neighbours such China, Indonesia, the Philippines and Vietnam.

Kiandee said the government had allocated RM80 million for the agricultural disaster fund.

"The government is spending a lot of money to compensate farmers for their losses."

Meanwhile, earlier in his speech, Kiandee said the symposium was held in line with the main thrusts of DAN 2.0, which emphasises the importance of adopting the technology of the Fourth Industrial Revolution (4IR) through modernisation and smart agriculture to increase the productivity of agricultural products.

He said agricultural engineering needs to be emphasised to remain relevant in the development of the country's agrofood sector through the adaptation of the latest technology, especially smart agricultural applications and 4IR technology.

"The use of modern technology, such as drones, sensors, robots, Internet of Things (IoT) and Precision Farming Technology, is an important element in agricultural engineering to increase the productivity of the national food system.

"Through smart agricultural technology, the food supply chain can be managed more easily and efficiently in addition to maximising production."

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