Development of the Agricultural Sector

Topics: Agriculture, Malaysia, Irrigation Pages: 5 (1372 words) Published: September 22, 2012


The agricultural sector is an important and strategic sector in the Malaysian Economy. It was leading sector at the time of independence in 1957, contributing 33% of the gross domestic product (GDP), 67% of employment and 62% of exports. Industrialization and diversification commencing from the late1950’s, however brought about a decline in the economic role the sector. However, the agricultural sector is still important to the Malaysian Economy.

The role of Agricultural Institution and Agencies

1. FAMA (Federal Agricultural marketing Authority)
The Federal Agricultural marketing Authority (FAMA) is an agency under the Ministry of Agriculture and Agro-Based Industry. It was set up as a statutory body in 30 September 1965. FAMA is responsible in the supervision, coordination, regulation and improvement of the marketing of Malaysian agriculture products which include fruits and vegetables, for domestic, import and export market. Other than that, agricultural products under FAMA service's field are grain and herbal, livestock and aquaculture. There are several functions: * Coordinate agriculture marketing activity both in private sector or department / government agency * Improve marketing system and expand new market of Malaysian agriculture development * Collaborating with private sector and department / government agency to create efficient and effective agriculture marketing system * Develop an efficient management in agriculture industry, marketing activity or agricultural products processing * Involve directly in agriculture industry, especially in marketing activity and products processing.

2. FELCRA (Federal Land Consolidation & Rehabilitation Authority) Federal Land Consolidation and Rehabilitation Authority was established in 1966. Its objective to develop rural sector by helping its community to participate in national economic activities, thus improving their standard of living. Since September 1st 1997, FELCRA is known as FELCRA Berhad due to its corporatization. It is no longer a Statutory Body but has become a fully Government owned company. With the change of its corporate entity, FELCRA is now able to explore new business opportunities, in line with national development aspiration. Armed with plantation management and core activities skills, FELCRA Berhad is now diversifying its activities into industrial and service sectors as well as other growing business areas. Ultimately FELCRA Berhad aspires to be a successful conglomerate while creating a dynamic, attractive and profitable rural sector. This is in line with its operational strategy which balances profit oriented programs with social obligation.

3. Rubber Research Institute of Malaysia (RRIM)
Rubber Research Institute of Malaysia (RRIM) is the custodian of the rubber industry in Malaysia. Established on 1st January 1998, it has under its fold three well establish agencies (RRIM, MRRDB & MRELB), which are now merged into one, which have contributed significantly to the development of the rubber industry for the last 78 years. The primary objectives is to assist in the development and modernization of the Malaysian rubber industry in all aspects from cultivation of the rubber tree, the extraction and processing of its raw rubber, the manufacture of rubber products and the marketing of rubber and rubber products.

4. FRIM (Forest Research Institute Malaysia)
Forest Research Institute Malaysia (FRIM) is one of the leading institutions in tropical forestry research, both within the country and abroad. Founded by British colonial forest scientist in 1929, the former Forest Research Institute with Dr. F.W. Foxworthy as its first chief research officer, became a statutory body governed by the Malaysia Forestry Research and Development Board under the Ministry of Primary Industries in 1985 and...
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