Regional Seminar on Increasing Production and Productivity of Agriculture and Livestock Industries through Cooperative and Rationalization of Distribution Process, Malaysia 1984

Abstract

The establishement of institutions for the farmers represents an important step towards the eradication of poverty and the restructuring of the rural population. The farmers' association assumes the role of primeirover in the implementation of agricultural development,as an institution for the betteraent of life of the rural community and as a body responsible for the proirotion of the socio-economic status of the farmers. In addition, the farmers' association is supportive of the government's goals for the management of agricultural produce through the group farming system and collective marketing scheme where some farmers' associations have proven to be successful. The consolidation and redevelopment of farm holdings into cooperative mini-estates to be managed by farmers' organizations on a commercial basis will be given a high priority In the New Agricultural Policy of Malaysia announced by the government early this year. Turning farmers into entrepreneurs - this Is the goal the National Farmers' 9rganization (NAFAS) of Malaysia has now set for itself. This is aimed to transform subsistence farming as a way of life into a commercial activity, designed to increase the farm production and productivity and maximising the farm returns. Houever, HAFAS depends Increasingly on commercial borrowing but its financial capacity may need to be strengthened through government support - perhaps in the form of soft loans through the Farmers' Organization Authority (FOA). It is worth noting that in the overall plan for the rural development in Malaysia, a major emphasis has been placed on modernization of agriculture through fanners cooperatives. Development efforts have been concentrated on crop diversffication, on strengthening the agricultural Infrastructure through the development of more adequate physical amenities, improvement of agricultural education, research and extension services, modernization of farming techniques, acceleration of the rate of land alienation and development, and the creation of an integrated system of efficient agrisupport institution capable of dieting the basic needs, of small scale farmers.