KUALA LUMPUR: The government has agreed to increase the Ploughing Incentive for Padi Farmers (IPKP) from RM100 to RM160 per hectare for each season, starting this year.
The Ministry of Agriculture and Food Security (KPKM) said the incentive will be implemented in stages to ensure efficient and effective delivery to padi farmers.
“The implementation of this incentive involves two main disbursement methods: an additional cash payment of RM60 per hectare for farmers who have completed ploughing and submitted claims for the first planting season of 2025;
“And a payment of RM160 per hectare through the existing mechanism under the Padi Production Incentive Scheme (SIPP), channelled via service providers or machinery owners for the second planting season of 2025,” it said in a statement today.
KPKM explained that for the additional RM60 per hectare incentive for farmers who have planted during the first season of this year, the ministry is finalising the list of eligible recipients based on claims submitted by machinery owners and service providers.
“It will be paid as soon as the list is finalised. The process may take some time as there are service providers who have completed the ploughing work but have yet to submit claims to the agency,” it said.
The ministry also announced a new initiative — the Padi Harvesting Incentive — at a rate of RM50 per hectare, starting this year.
According to the statement, the incentive will be paid once harvesting work is completed and claimed by registered combine harvester owners or service providers under the Farmers’ Organisation Authority (LPP) or Area Farmers’ Organisations (PPK), beginning from the second planting season of this year.
“At present, the agency is registering the combine harvesters to enable payment to be made once harvesting is completed,” it said.
The ministry also acknowledged delays in incentive payments and said efforts are being made to expedite disbursements to padi farmers in stages. - Bernama
