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Agriculture & Food

Malaysia is getting much focus in agriculture from Taiwanese investors as an investment destination for expansion into the rest of ASEAN. This is due to the possibility of Taiwan being left out of ASEAN’s trade picture as the ASEAN Free Trade Area and ASEAN Economic Community comes into full bloom, and products from Taiwan would find it harder to penetrate the ASEAN market. Whereas by investing in Malaysia, their products would be “Malaysian” products, and would enjoy tax exemptions by members and dialogue partners.

The introduction of new plant varieties are an important component in commercial agriculture by maintaining productivity and competitiveness in meeting demands. The breeding of new varieties of plants takes time and resources to achieve and policies should be in place to protect the rights of plant breeders. Recently, Agriculture and Agro-based Industry Minister announced the enactment of the Protection of New Plant Varieties Act 2004 to be enforced next year that will ensure the rights of breeders. This will play an important role in the transformation of Malaysian Agriculture.

 

Farmers in Tempasuk are in a quandary as the recent plague of green hoppers have caused huge losses to their padi crop by introducing the tungro virus. However, despite such devastation, there is hope in the fight against the padi virus, as the government steps in to help control the problem with modern technology. Insecticides and hybrid rice seedlings would be used to improve the lives of paddy farmers in the region.

  
On the other hand, a pilot hybrid rice project is underway in Kuala Rompin, Pahang, operated by RB Biotech Sdn Bhd. The project is aimed at developing new varieties suitable for commercialization based on the Malaysian climate, soil and environmental conditions. Estimated costs of the R&D facilities are anticipated to reach RM25 million.
Good news for the halal food industry, as researchers from Islamic University of Malaysia has developed cheaper and faster techniques to identify pork in food items. The technique, lauded as a boost to the halal food industry would be beneficial in enabling speedier and cheaper detection. This is important as Malaysia is moving towards becoming a significant player in the halal food market, currently estimated to be worth US$1.2 trillion.
Nutrition & Environment
 
Amid the flurry of sport beverages that espouse their superiority in replacing water in the human body, researchers have found a natural product which is more effective in rehydration, the humble coconut. Studies on the comparison of rehydration effects of coconut against a sport drink has shown that coconut water can be a comparable, if not better, carbohydrate-electrolyte beverage. However, more work should be done before such a product could be commercialized in the near future.
 
Pollution levels have been improved in Sungai Perlis since microbes were introduced in April. The microbes, part of the Effective Micro-organism Activated Solution technology (EMAS) is effective in cleaning up our pollutants when applied to the source. However, as the technology is currently observed to be more expensive, much more research should be done before it can be commercially released as an alternative.
Industry & Investment
More industry movement in biodiesel is evident as companies vie for commercial supremacy. Golden Hope Plantations have announced its expectations that biodiesel would contribute significantly to its profits in the future as they are currently expanding in the sector at break-neck speed. On the other hand, Sime Darby has announced their plans for its first palm oil-based biodiesel plant in Johor next year. The plant costing about RM40 million will have an annual capacity of 100,000 tonnes.
 
StemLife, the country’s first one-stop stem cell service provider, is eyeing regional markets as it prepares itself to expand as the leading stem cell treatment center in Southeast Asia. Currently it is the market leader in the country, and is expected to reap profits of RM46.5 million by 2010. Since its inception in 2001, the company has built a customer base of more than 7,500 customers and is set to be the country’s largest stem cell storage facility.

One of the world’s largest pharmaceutical companies, Novartis AG, is interested in investing in Malaysia’s biotechnology sector and has met with top governmental officials and ministers to discuss the prospects of investment. The company is eying the Malaysia’s rich natural resources as a focused area of study for possible natural products which may enhance human health. The company’s CEO, Daniel Vasella, is slated to have a meeting with Prime Minister Datuk Seri Abdullah Ahmad Badawi soon.

 
             
Policy
The Government is hoping to attract foreign-based research experts to return home through a programme aimed at providing high-tech research facilities. The programme which will be carried out under the 9th Malaysia Plan would be aimed at building the necessary research infrastructure to support the needs of returning scientists. Human Resource Minister Dr Fong Chan Onn noted that there was high demand for such specialists in the private sector and about 300 experts have returned to work here since 2001.
The recent enlistment of help from the United Nations Development Programme by the Sabah Forestry Department has allowed indigenous people deep in Sabah’s interior to be able to plant cash crops which may be a potential source of income during lean times. Before the intervention, the Rumanau Dusun ethnic people had subsisted on hill padi and tapioca and were exposed to the possibility of the occurrence of a calamity. The project is currently aimed at teaching the villagers new skills which may help bridge the gap of poverty.