KUCHING (May 12): The Sarawak Padi and Rice Board Bill, 2026 was passed in the State Legislative Assembly (DUN) today, paving the way for the establishment of a dedicated state body to oversee and drive the development of Sarawak’s padi and rice industry.

The Bill, which was tabled and moved by Food Industry, Commodities and Regional Development Minister Dato Sri Dr Stephen Rundi Utom, seeks to establish the Sarawak Padi and Rice Board as a body corporate to oversee and drive the sustainable development of the state’s padi and rice industry.

“Among the major transformations in the establishment of the Board and the development of the paddy sector are several strategic policy shifts introduced to strengthen food security and enhance agricultural productivity.

“One of the key approaches are the development of paddy areas on State land, which ensures long-term planning as well as more orderly and efficient land use for agricultural purposes,” he said in his third reading of the Bill.

Apart from that, he said the gazettement of state land for paddy development is an important step to secure land availability and prevent future land use conflicts.

“This provides a stable foundation for large-scale agricultural planning and investment,” he said.

He said the participation of the private sector through Public-Private Partnerships (PPP) is also crucial in accelerating development.

“This collaboration allows the sharing of expertise, technology, and resources between the government and private entities, leading to more efficient project implementation,” he added.

Dr Rundi also addressed issues raised during the debate including some points raised by Chong Chieng Jen (DAP-Padungan) regarding a 2013 announcement involving the National Key Economic Areas (NKEA) Entry Point Project 11 in Batang Lupar, which proposed developing 5,100 hectares of paddy land at a cost of RM950 million.

“The matter raised in the 2013 Hansard is a projection under the proposed NKEA 11 Project in Batang Lupar, covering a development area of 5,100 hectares with an estimated allocation of RM950 million. The project was intended to benefit approximately 5,167 participants and was planned for phased implementation.

“For the first phase, 200 hectares were developed with an allocation of RM21 million to provide comprehensive infrastructure up to the tertiary level, with Bernas appointed as the anchor company,” he explained.

However, he said the subsequent phases of development encountered significant implementation challenges due to the involvement of Native Customary Rights (NCR) land.

“Most of the existing paddy cultivation areas in the locality are also classified as NCR land.

“As the development of a modern paddy estate requires land realignment to facilitate effective mechanisation, as well as a more efficient and systematic irrigation and drainage system, progress was constrained by these land tenure considerations,” he said.

He also said that there were difficulties in obtaining consent from certain landowners for the land realignment.

“As a result, infrastructure development had to be limited to the provision of primary and secondary infrastructure, while existing land boundaries were maintained.”

Dr Rundi told the august House that from 2013 to 2025, a total of 1,306 hectares has been developed with primary and secondary infrastructure, involving a total development cost of RM148.7 million and benefiting 664 farmers.

“However, following the completion of infrastructure works and the provision of good facilities in the area, landowners have since utilised the land for other crops, particularly oil palm cultivation,” he said.

Dr Rundi also addressed concerns raised by Violet Yong (DAP-Pending) who in her debate earlier stated that Sarawak should focus on a high-value, low-volume rice strategy targeting premium export markets such as Singapore, Hong Kong and the Middle East, rather than to compete with major rice-exporting countries on volume alone.

He said Sarawak premium rice remains the only locally produced rice recorded by the Department of Statistics Malaysia (DOSM) as being licensed for international export, including to Singapore, New Zealand, Hong Kong and other destinations.

“In this regard, the establishment of the Sarawak Paddy and Rice Board, with its dedicated focus on the development of the paddy and rice industry, will further strengthen efforts to enhance the production and export potential of Sarawak premium rice in a more structured, integrated, and globally competitive manner,” he said.

A total of 31 honourable members had debated on the Bill before it was passed by the august House.