M'SIAN GOVT RESTRUCTURING AGRI SECTOR TO BOOST GROWTH

JELI (Malaysia), Nov 10 (Bernama) -- The Malaysian government is
restructuring the agriculture sector to boost its growth and make it competitive
with the rest of the world, Agriculture and Agro-Based Industry Minister
Mustapa Mohamed said Sunday.

He said the government was aware that a lot had to be done to develop the
sector and turn the country into a major producer. Several neighbouring
countries like Thailand had proved that the sector could become a significant
contributor to the national economy, he said.

"We started to give emphasis on this sector only in the last three to four
years. We are also facing many challenges especially in the forms of high cost
of inputs and competition from Thailand, for example.

"The government admits that developing the agriculture sector is
challenging. Now, we are restructuring it and putting greater efforts to enhance
the sector," he told reporters after visiting Agrobank Jeli branch.

Jeli is a town and territory in east coast Kelantan-state, Malaysia. Jeli
is bordered by the state of Perak to the west, Thailand to the north, Tanah
Merah district to the north east and Kuala Krai district to the south east.

Mustapa said that initially, the government was drastically raising the
allocation for agriculture under the Ninth Malaysia Plan (9MP).

"The allocation for the agriculture sector in the 9MP was increased
three
folds from RM8 billion (US$=RM3.55) under the 8MP. The big allocation is proof
of the government's commitment.

"InsyaAllah (God Willing), the country can strengthen the sector in the
near term," he said.

-- BERNAMA