@AGROBiz September/October 2024 | Page 26

26 Opinion @ AGROBiz | September-October . 2024

26 Opinion @ AGROBiz | September-October . 2024

Sowing change

Why agricultural modernisation is key to profound national progress
BY CHIA CHU HANG

AS of mid-year 2024 , Malaysia has experienced a mix of success and challenges across various sectors , as assessed by global observers and local institutions .

EMIR Research consistently emphasises the interconnected nature of these developments , advocating for a robust transformation of the agriculture sector to address them effectively !
Some of the most notable dynamics are listed below .
The Corruption Perceptions Index , released in January , showed a promising uptick , from 47 to 50 , in Malaysia ’ s index score , reflecting a positive trajectory in addressing corruption in the country and instilling confidence in our progress .
The World Bank report regarding our economic and education performance released in April emphasised that our country certainly needs to do more to strengthen foundational skills and enable Malaysia to sustain growth and transition into highincome status .
In June , the IMD World Competitiveness report revealed a concerning decline in Malaysia ’ s ranking from 27th to 34th , highlighting the pressing need for action .
Khazanah Research Institute ( KRI ) released a discussion paper highlighting the negative impact of rising food costs on the dietary choices of Malaysians .
Additionally , the National Health & Morbidity Survey 2023 ( NHMS 2023 ) indicated that one-third of Malaysian adults have high cholesterol , and 54.4 per cent of Malaysians can be classified as overweight or obese . Furthermore , it was reported that 95.1 per cent of Malaysians do not consume adequate fruits and vegetables daily .
ENHANCING PRODUCTIVITY
Excessive cholesterol and overweight are highly related to the unhealthy dietary habits of people , which are closely related to their income . EMIR Research has previously explored the impact of socioeconomic factors on dietary choices ( refer to “ Addressing the socioeconomic gaps in nutrition transition on health ”). KRI ’ s latest report echoes a similar statement .
KRI ’ s report examined the
factors contributing to unhealthy dietary habits based on the five dimensions of food environments : food availability , affordability , properties , messaging , and vendor characteristics .
In summary , they have concluded that income , time , and targeted marketing aimed at children are the top factors influencing unhealthy dietary practices . Specifically , individuals facing income and time poverty are most affected ( KRI , 2024 ).
With the Consumer Price Index ( CPI ) for food and beverages rising from 117.9 to 132.8 between May 2020 and May 2024 , and yet incomes remaining stagnant over the years , it is no surprise that low-income families are struggling to feed themselves , let alone maintain a healthy diet ( Department of Statistic Malaysia ).
The increase in food costs can largely be attributed to two primary factors : our less-than-ideal food self-sufficiency and the weak performance of the Ringgit Malaysia ( RM ) against the United States Dollar ( USD ).
Insufficient agricultural productivity and inability to meet demand have fuelled our reliance on imported food at higher prices due to geopolitical issues and currency performance . Despite the government ’ s right course on de-dollarisation , it
“ The increase in food costs can largely be attributed to two primary factors : our less-thanideal food selfsufficiency and the weak performance of the Ringgit Malaysia ( RM ) against the United States Dollar ( USD ).”
still has not been able to stabilise food prices effectively .
Our agriculture sector needs to enhance productivity significantly within the industry . This can be achieved through a comprehensive blueprint based on notable success stories in food security , such as the one in Qatar .
In a previous publication by EMIR Research titled “ How Qatar Flourished in Food Security Despite Geographical and Geopolitical Challenges ”, we explored Qatar ’ s strategy for elevating its food security status . We identified the core elements of
their approach , which involve constant progression and adaptation of agro-technology , proper support for small farmers , and a careful balance between imports and local production .
To say Qatar has flourished in its venture to improve food security is an understatement . Not only have they managed to increase their dairy product self-sufficiency ratio ( SSR ) threefold within a year following the diplomatic crisis , but their vegetable SSR has also increased from a mere 10 per cent in 2017 to 46 per cent in 2023 . This achievement is remarkable , especially considering that Qatar is a desert nation with very limited arable land and water resources ( Gulf Time , 2023 ).
COMPETITIVENESS RANKING
Regarding food costs , their CPI for food and beverages , a month into the blockade , saw a rise of 4.2 per cent , increasing from 99.7 in June 2017 to 103.9 in July 2017 ( Planning and Statistic Authority of Qatar ( PSA )). This increase was due to Qatar ’ s historical over-reliance on food imports , with 40 per cent of their food entering via land transport through Saudi Arabia , which was affected by the blockade ( BBC , 2017 ).
However , the swift response from the Qatari government to expand local production through technology