SEBERANG PERAI, Oct 30 — A RM50 million agritech project in Penang was officially launched today as a strategic move to create an Agriculture Silicon Valley in the state.

The Sedusun Tech Valley will start this year with the design process and a RM1 million allocation, said Penang Chief Minister Chow Kon Yeow.

He said the project is located in the existing Relau agricultural station where a conceptual contest was held.

"With support from the Northern Corridor Implementation Authority and the Ministry of Economy, an allocation of RM50 million was approved to implement this project,” he said at a press conference after officially launching the project and a seminar on investments in the agrofood sector at Bertam Resort here.

He said next year, the allocation of RM50 million will be used for the implementation of components in the Sedusun Tech Valley.

"Tender will be called next year for the implementation of the project,” he said.

He said the site is also suitable to include an agrotourism component along with the agritech centre.

"The project is expected to take two years to complete,” he said.

In his speech, Chow said the creation of an Agricultural Silicon Valley in Penang will focus on smart agriculture to optimise agriculture yields in the state.

"The agricultural sector in Penang contributed about 1.8 per cent or RM2.1 billion to the state’s gross domestic product,” he said.

He said once Sedusun Tech is in full operation, it could increase the sector’s contributions to the state’s GDP.

He said the project is hoped to be fully completed by the second quarter of 2026 and is expected to draw more than 10,000 visitors by 2030.

Meanwhile, NCIA chief executive officer Mohamad Haris Kader Sultan said Sedusun Tech will be developed in phases.

"This does not include the top portion of the land which is private land, but the most important component of this project is agrofood, agriculture and agrotourism to create an income stream for the state and for maintenance of the project,” he said.