Smallholder Empowerment Unit

The establishment of this unit aims to implement development programmes and promote entrepreneurial activities for independent oil palm smallholders throughout Malaysia. Among the development and entrepreneurship programmes that have been implemented and are currently being carried out by this unit are the Easy Financing Scheme for Oil Palm Smallholders Replanting (TSPKS), the Easy Financing Scheme for Agricultural Inputs for Oil Palm Smallholders (IPPKS), the Cantas Discount Scheme (SKIDIC), the Crop-Livestock Integration Incentive Scheme (ITa & ITe), and the establishment of Sustainable Oil Palm Growers Cooperatives (KPSM) across Malaysia.

Vision

Empowering independent oil palm smallholders through effective government incentive distribution programmes for the optimal development of oil palm cultivation areas, as well as establishing and regulating Sustainable Oil Palm Growers Cooperatives (KPSM) among independent oil palm smallholders throughout Malaysia.

 Mission

Formulating, planning and managing development programmes and government incentive distribution activities for independent oil palm smallholders in an efficient, effective and transparent manner, as well as assisting and regulating the establishment of Sustainable Oil Palm Growers Cooperatives (KPSM) among independent oil palm smallholders throughout Malaysia.

Functions of the Unit
  1. Implementing and monitoring development programmes for independent oil palm smallholders through the execution of government assistance schemes.
  2. Conducting outcome evaluation studies for all assistance schemes that have been distributed to independent oil palm smallholders.
  3. Assisting in the establishment and implementation of Sustainable Oil Palm Growers Cooperatives (KPSM) upon application from groups of independent oil palm smallholders in Malaysia, in accordance with the provisions and regulations under the Malaysia Cooperative Societies Commission (SKM) and MPOB.
  4. Regulating all activities of the established Sustainable Oil Palm Growers Cooperatives (KPSM) in accordance with the provisions set by the Malaysia Cooperative Societies Commission (SKM).
Objectives of the Unit
  1. To improve the socio-economic level of smallholders through the effective distribution of incentives and government grants, particularly in the development of independent oil palm smallholders in Malaysia.
  2. To provide advisory services and technical assistance on oil palm to independent smallholders in achieving sustainability through Good Agricultural Practices (GAP).
  3. To encourage independent oil palm smallholders to unite and act collectively through cooperatives with a common goal and shared aspirations.
  4. To assist in the application process for cooperative establishment from groups of independent oil palm smallholders and to regulate cooperative management to ensure it remains on the right track.
  1. Smallholder Entrepreneurship Section
  2. Smallholder Development Section
Sustainable Palm Planting Cooperative (KPSM)
Introduction

KPSM is a government initiative aimed at improving the socio-economic status of independent oil palm smallholders. The establishment of KPSM began in 2010 in accordance with the procedures set by the Malaysia Cooperative Societies Commission.

Objectives
  • To unite and empower independent oil palm smallholders under cooperatives.
  • To carry out activities that can improve the socio-economic status of smallholders.
  • To produce palm oil sustainably through good agricultural practices and MSPO certification.
KPSM Activities
  • Briefings, promotions, and establishment of KPSM.
  • Annual General Meetings.
  • Establishment of collection centres.
  • Cooperative and grading courses.
Business Activities
  • Marketing of Fresh Fruit Bunches (FFB).
  • Sale of agricultural inputs such as fertilizers.
  • Transportation.
Officers
  1. Nur Hanani Mansor / 03-87694257 / nurhanani@mpob.gov.my
  2. Mohd Haidhar Abdul Hamid / 03-87694842 / mohd.haidhar@mpob.gov.my
  3. Mohd Ridzuan Sohimi / 03-87693846 / ridzuan@mpob.gov.my
  4. Muhammad Rais Rohaizad Razalli / 03-87694380 / raisrohaizad@mpob.gov.my
 
Easy Agricultural Input Financing Scheme for Independent Oil Palm Smallholders (IPPKS)
Introduction

The Government, through the Ministry of Finance Malaysia (MOF) and the Ministry of Plantation and Commodities (KPK), has allocated a special provision for an easy financing scheme for the purchase of agricultural inputs for oil palm cultivation.

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