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In the misty peaks of Cameron Highlands, Malaysia’s vegetable bowl is showing signs of strain.
Once a thriving agricultural hub producing a third of the nation’s vegetables, farmers are grappling with a complex web of challenges threatening their survival.
“Our harvests have dropped by 30-40 per cent recently,” reveals Chai Ee Mong, decades the secretary of the Cameron Highlands Vegetable Growers Association, painting a stark picture of the industry’s current state.
Speaking to TRP, he said the mathematics of farming here has become increasingly challenging.
With approximately 2,200 farmers operating in the highlands, many smallholders – those working on less than five acres – find themselves increasingly precarious.
Even during low-price periods, farmers still have to pay for the Temporary Occupation License (TOL), Chai explains.
The cost structure is daunting: 30-40% goes to pesticides and fertilizers, and another 30-40% to workers’ wages, not counting depreciation and maintenance costs.
Recent policy changes have added to farmers’ burdens.
The minimum wage increase from RM1,500 to RM1,700 and proposals for EPF contributions for foreign workers have stretched operational costs further.
The financial implications are significant, with 2.5 million legal foreign workers in Malaysia.
Removing import APs (Approval Permits) during former prime minister Datuk Seri Ismail Sabri’s tenure has intensified competition.
Imported cabbage from Indonesia, China, and Vietnam can enter the below RM2 per kg market, while local wholesale prices hover around RM2.50 per kg.
“It’s still profitable, but margins are thin,” Chai notes.
The situation has forced some Indonesian farmers to switch to coffee cultivation.
At the same time, in Cameron Highlands, some have turned to strawberry farming – only to face another challenge with declining tourist numbers.
Malaysia’s vegetable demand-supply gap is concerning.
The country needs three 3 tonnes annually but produces only 2 million tonnes, necessitating imports worth RM6.7 billion.
In September 2024, severe winds damaged numerous rain shelters and greenhouse structures.
With limited land availability in Cameron Highlands, farmers are expanding to areas like Lojing, though options remain constrained.
Current support mechanisms appear inadequate.
The diesel subsidy of RM200 is restricted to farmers with annual sales below RM300,000, effectively excluding many operators.
There are no subsidies for essential inputs like fertilizers and pesticides.
While there’s a pioneer status tax exemption for new farmlands, Chai describes it as “impractical for smallholders” due to complex procedures.
Market volatility adds another layer of uncertainty.
Celery prices have dramatically swung from less than RM1 to over RM20 per kg.
Similar fluctuations affect other produce, including onions, which vary from under RM1 to RM6 per kg.
The future remains uncertain as Cameron Highlands continues to produce around 1,000 metric tonnes of vegetables daily during good weather conditions.
The combination of rising input costs, labour issues, climate challenges, and market competition poses existential questions for Malaysia’s highland farming community.
The situation raises crucial questions about food security and the sustainability of local agriculture.
As one of Malaysia’s key agricultural regions faces these multifaceted challenges, the need for more effective policy interventions and support mechanisms becomes increasingly apparent.
READ MORE: [Photos] Cameron Highlands: The Paradox Of Malaysia’s Happiest Place
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2025-01-23T10:18:57Z