NILAI, Negri Sembilan: The government will allocate RM9.5 million to implement a new cocoa plantation project and cocoa farm recovery project, said Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani.
Johari said the new cocoa plantation will cover an area of 350 hectares, while the cocoa farm recovery project will encompass 2,126 hectares.
"When they (smallholders) benefit from replanting projects, I hope the country's cocoa exports will strengthen because we no longer need to import cocoa from other countries.
"The Malaysian Cocoa Board (LKM) will oversee the implementation of these projects and assist the smallholders to overcome any issues involving cocoa cultivation," he said at the launch of Nestle KitKat Dark Borneo here today.
In line with its ongoing efforts to localise its ingredients supply chain, Nestlé Malaysia Bhd unveiled KitKat Dark Borneo, made exclusively using cocoa beans grown in Sabah and Sarawak.
Nestle chief executive officer Juan Aranols said the launch is part of its commitment to advancing local and sustainable sourcing through Nestlé Malaysia's Farmer Connect programme, which has now expanded into Sabah and Sarawak.
Aranols said the company's approach includes implementing regenerative agriculture practices like agroforestry and intercropping, which helps to ensure the soil health for the long run, as well as develop the crop yield, which helps in boosting the local farmers' income.
"We believe that KitKat Dark Borneo, in addition to a great tasting and high-quality confectionery, is a great example of how private-public partnerships can bring about positive change and improved opportunities for economic development for the local communities," he said.
Moving forward, Johari is confident that the cocoa industry has immense potential to generate high income for the country's economy.
He said this is supported by two main factors namely Malaysia being among the major players in the cocoa industry globally especially in the midstream and downstream sectors, as well as the cocoa industry having significant potential due to high cocoa prices.
"Clearly, cocoa has the potential to provide substantial returns to 5,317 small cocoa farmers, who account for 89 per cent (5,445 hectares) of the cocoa cultivation area in Malaysia.
"I strongly encourage small farmers to seize this opportunity to increase Malaysia's cocoa production and, at the same time, generate income," he added.