Train SPM leavers as modern farmers, say economists

 

Barjoyai Bardai (left) says SPM leavers should consider a career in modern farming, while Niaz Asadullah says the government should make available data that will entice them into the sector.

PETALING JAYA: Putrajaya should encourage SPM leavers to try their hand at modern farming due to its lucrative returns, economists say.

Last month, deputy finance minister Ahmad Maslan revealed that only 40% of the 500,000 SPM graduates further their studies at higher education institutions, with the majority preferring to work in the manufacturing, delivery and e-hailing sectors.

SPM leavers should consider agriculture, as it would help to improve the country’s food security and provide them with a sustainable income, said Barjoyai Bardai of Universiti Tun Abdul Razak.

On the profitability of modern farming, Barjoyai estimates that an initial investment of RM10,000 into a small integrated hydroponic farm can produce a harvest in 60 days, and provide a monthly income of between RM5,000 and RM8,000 after a year.

“The important thing is a good and proper organisation to make sure that there is a ready market for the harvest,” said Barjoyai, adding that the youth should utilise government funds to start their entrepreneurship journey.

As an example, he said the Perak government supports integrated and urban farming through a scheme for agricultural entrepreneurs.

Barjoyai said the Covid-19 pandemic has significantly reduced Putrajaya’s ability to finance imports, adding that Bank Negara Malaysia’s reported reserves of US$114.9 billion as of January 2023 was only sufficient to finance 5.3 months of imports.

“This is a drastic decline when before we used to have reserves (worth) up to 10 months of imports. Why is this happening? It is because of the drastic increase in imports during the Covid-19 period, and mostly in agriculture or food items.

“So, we need to quickly go into import substitution and the nearest thing is (producing) food items,” said Barjoyai.

He added that the government should also employ retired professionals and entrepreneurs to guide the youth and provide financial support for low-capital businesses at the start of their entrepreneurship journey.

Barjoyai said he belongs to a group of retired professionals who engage in hydroponic farming as a hobby. Based on his own experience, he said modern farming is a viable source of income for our youth.

“We plant kangkung, chillies, tomatoes, salads and even cabbage, and the yield is great. We also grow catfish at the bottom, and all of this is done within our house compound.

“After three months, the fish will weigh more than 1kg each and I have over 1,000 fish in both ponds now. The fish are priced between RM15 to RM30 per kg and, of course, I have to spend on fish feed, which is about RM80 per 20 kg pack that will last about one month,” said Barjoyai.

Niaz Asadullah from Monash University Malaysia agreed that Putrajaya should nudge SPM leavers into the agricultural industry due to the ageing farmer demographic and the rising demands for “smart agriculture and precision farming”.

“Most Malaysian states are losing local talents and an officer I interviewed attributed this to the lack of a modern sector where young talents can be retained. Smart agriculture can help to stem this tide,” he added.

However, Niaz admitted the youth have no access to concrete information regarding the profitability of the agricultural business. As a result, he said they prefer to participate in the gig economy sectors where they have a clearer sense of expected income.

“While there are a number of official initiatives, some are at a pilot stage. Most (have) yet to be fully evaluated in terms of (their) average monetary costs and benefits.

“(Although data) confirms a significant reduction in production cost and increase in output, comparable data on net earnings streams of small-scale modern farmers are missing,” said Niaz. - FMT