Sabah Rubber Industry Board unveils 25-year roadmap for rural smallholders

KOTA KINABALU (Jan 8): The Sabah Rubber Industry Board (LIGS) has launched a new long-term strategic roadmap aimed at transforming the rubber industry from a traditional sector into a modern, value-added and competitive economic driver, while improving the livelihoods of rural smallholders.

Launching the Strategic Plan V2050 here today, State Agriculture, Fisheries and Food Industries (Maffi) Minister Datuk Jamawi Jaafar said the 25-year plan provides a clear direction to modernise the state’s rubber sector in line with Sabah’s and national development aspirations.

Jamawi said the plan demonstrated LIGS’ readiness not only prepared to address current industry challenges but also to chart a forward-looking strategy for the next quarter-century.

“This plan proves that LIGS is thinking beyond the present and is prepared to drive the transformation of the rubber industry in a structured and forward-looking manner,” he said.

Jamawi said the roadmap aims to raise rubber smallholder income to RM5000 per month by 2050, while supporting four key ministerial agendas ― sustainable income growth, agricultural modernisation through technology and innovation, stronger food security and downstream industries, and environmental sustainability aligned with global standards.

He noted that the rubber industry, which has served as a backbone of rural development in Sabah for more than a century, is now facing mounting pressures including price volatility, global competition, labour shortages and increasingly stringent international sustainability requirements.

“Against this backdrop, the Strategic Plan V2050 comes at a critical time to reposition the sector away from a purely traditional model.

“This plan is intended to transform the rubber industry into a modern, high technology and value added industry that is resilient and competitive,” he said.

Jamawi also highlighted LIGS’ growing capability beyond rubber, citing successful diversification initiatives such as the MD2 pineapple plantation developed under the People’s Income Initiative programme.

“This project has proven that LIGS possesses strong technical capability, disciplined project governance and the ability to manage the value chain from the farm to market,” he said, adding that the success had strengthened government confidence in the agency.

He said this confidence has translated into new mandates for LIGS, including involvement in paddy cultivation projects, reflecting trust in its professionalism and on-ground implementation capacity.

Jamawi added that the strategic plan exceeded his expectations, particularly in its emphasis on diversification to strengthen rural incomes.

“What impressed me is that LIGS is no longer focused solely on rubber.

“Today, it is involved in paddy, pineapple, premium durian, honey production and other crops for rural farmers,” he said.

Raising smallholder income remains central to the plan, he said, noting that most rubber smallholders currently earn about RM1800 per month and remain within the B40 income bracket.

“This is something we want to change through higher productivity and additional income sources,” he said.

Productivity, he added, remains a key challenge, particularly among independent smallholders operating outside structured schemes.

“There are farmers who tap rubber only 10 to 12 days a month. If you want to progress, you have to work harder. Ideally, tapping should be done close to 28 days a month,” he said.

To address this, Jamawi said the plan places strong emphasis on education, discipline and income diversification, including side crops that can be cultivated in the afternoon after rubber tapping activities.

“We want to support them not only through subsidies, but also by providing planting materials and opportunities to earn additional income,” he said.

Touching on concerns over falling premium durian prices, Jamawi said the situation in Sabah remains stable compared to Peninsular Malaysia.

“In Sabah, farm prices are still around RM45 per kilogram for grade A and about RM35 for the lower grades, with export demand for higher-grade durian remaining strong,” he added.

He expressed confidence that with coordinated implementation by LIGS management and active participation from smallholders, the Strategic Plan V2050 would drive sustained income growth and gradually lift rural communities out of the B40 income bracket over the long term.

Also present was Maffi Assistant Minister Datuk Ruslan Muharam.