Malaysia smallholder agriculture: strategic issues and prospects

Abstract

The current macro-economic adjustment may place agriculture as the least preferred sector for investment. But the period beyond 2010 is expected to witness a major inter-sectoral adjustment in Malaysia, which favours agriculture. However the pressure on land would gradually dismantle the current structure pushing the smallholder system to the forefront. This creates a greater challenge for the smallholder to achieve an unbounded growth in productivity. The current dismal economic performance of smallholder sets that challenge in motion. The search for an appropriate agenda for future smallholder agriculture is imminent. The land issue and technology constitute the turning points and discontinuities for smallholder agriculture. The first relates to potential decrease of land for agriculture and subsequent changes in land ownership patterns. The foresight in technology strategy provides avenues for increasing competitiveness, wealth creation, and quality of life for smallholder.