October 11, 2024

 

Livestock producers in Malaysia desire clearer guidelines on tax incentives as country about to table budget

 

Long-term land leases and clearer tax incentives are among the measures that vegetable farmers and livestock breeders hope to see in Malaysia's 2025 federal budget to be tabled on October 18.

 

Livestock farmers have called for greater government support, especially in implementing a modern poultry farming system and for clearer guidelines on tax incentives promised in the 2023 budget. The lack of guidelines meant that livestock farmers could not make use of the incentives to improve their operations, said Jeffrey Ng, the adviser of the Federation of Livestock Farmers' Association.

 

The  association said government support was crucial to ensure food security and reduce dependence on reliance on imported food.

 

Ng said it is the fervent hope of livestock farmers that they would be provided guidelines on the tax incentives right away so they can comply and obtain these incentives.

 

Among the tax incentives promised in the 2023 budget were a 100% tax exemption for 10 years for new food production projects and a 100% accelerated capital allowance and tax exemption for chicken rearers using eco-friendly systems.

 

Ng hoped there would be incentives in the 2025 budget for more poultry farms to convert to a closed-door system.

 

Radin Firdaus Badaruddin, a food security researcher at Universiti Sains Malaysia, said the government must look into food affordability and nutritional issues in the budget.

 

Citing Mydin's recent report of a 5% to 7% drop in retail food sales, Radin said the budget should consider expanding the MyKasih food aid programme which provides targeted cashless payments to the underprivileged.

 

He also called for more funds to enhance the supplementary food plan.

- FMT