ALOR SETAR, June 27 — The Paddy Crop Takaful Scheme (STTP) is currently being refined at the Bank Negara level, through the Bank Pertanian Malaysia (Agro Bank), before its introduction to farmers.
Agriculture and Food Security Minister Datuk Seri Mohamad Sabu said that the scheme aims to alleviate the financial burden on farmers caused by natural disasters, particularly in the context of the current uncertain climate change situation.
“We hope that all farmers will be insured through this scheme eventually. Previously, under the Paddy Crop Disaster Fund (TBTP), the compensation process was lengthy; for example, compensation for last year’s disaster was only received this year due to manual processing.
“With STTP, the compensation process will be faster as everything is already in the system. The contribution will be affordable, but the farmers’ welfare will be better protected,” he said.
He said this after presenting financial assistance under TBTP to affected Muda Agricultural Development Authority (Mada) farmers and officiating the Mada Day 2024 programme at the agency’s headquarters, today.
He further explained that STTP represents a more comprehensive scheme, compared with TBTP, offering higher compensation of up to RM3,000 per hectare per season, as opposed to a maximum of RM1,800 per hectare per season under TBTP.
The scheme is set to benefit all paddy farmers under Mada in Season 2/2024, with a planned launch scheduled for September, in conjunction with the Malaysian Agriculture, Horticulture and Agro Tourism Exhibition (MAHA) 2024.
He also urged all farmers in the Muda area to adhere to the rice planting schedule for Season 1/2024, to prevent unnecessary water wastage. — Bernama
