KANGAR: The development of the NCER Agribio Economic Zone (NAEZ) in Chuping, near Padang Besar, is a strategic long-term investment that will support Malaysia's food security agenda.
It will also unlock new economic growth opportunities for Perlis and the Northern Corridor Economic Region (NCER), according to Northern Corridor Implementation Authority (NCIA) chief executive Datuk Mohamad Haris Kader Sultan.
He said that the zone is envisioned as a model for modern agrofood development, integrating technology, agricultural production and value chains within a sustainable ecosystem.
"Among other things, the project is expected to boost domestic grain corn production and reduce reliance on imported animal feed, in addition to creating new jobs while catalysing investments and economic activity in Perlis.
"With climate change, geopolitical uncertainties and global supply chain disruptions posing growing challenges worldwide, food security has become increasingly important to the country's economic security," he said in a statement to Bernama today.
NAEZ was among the initiatives highlighted by Prime Minister Datuk Seri Anwar Ibrahim in the 2027 Budget under the second pillar, which focuses on prioritising development across all states.
Aside from NAEZ, the government is also developing infrastructure at the Chuping Valley Industrial Area (CVIA).
Mohamad Haris said NAEZ has the potential to serve as a platform for adopting next-generation agricultural technologies, including mechanisation, automation, smart irrigation systems, data analytics and precision agriculture.
He said the synergies between NAEZ, CVIA and the Tuanku Syed Sirajuddin Free Trade Zone - Perlis Inland Clearance Depot (PIP) are expected to create an integrated development ecosystem, spanning agrofood production, industry and logistics, further strengthening Perlis' position as a strategic economic hub in the northern region.
Spearheaded by NCIA, NAEZ covers more than 2,000 hectares in Chuping, and is being developed in phases at a total cost of RM80 million.
Approved under the 12th Malaysia Plan (12MP) and continued under the 13MP, the project is currently in the main infrastructure development phase, covering irrigation and drainage systems, farm roads and supporting facilities, said Mohamad Haris.
"The project is being jointly developed through a strategic collaboration between the NCIA and the FGV Integrated Farming Holdings Sdn Bhd.
"It aims to establish an integrated agribio ecosystem, encompassing infrastructure development, commercial-scale agricultural production and technology adoption to improve productivity and strengthen the resilience of Malaysia's agrofood sector," he said.
Mohamad Haris said critical infrastructure was expected to be completed in stages by 2027, with NAEZ targeted to become a modern agrofood hub by 2030.
As one of the main catalyst projects under the NCER Strategic Development Plan 2026-2030, NAEZ aims to account for 2.5 per cent of the country's targeted 80,000 hectares of grain corn cultivation area by 2028, with more than 2,000 hectares allocated for production.
"It is also expected to produce between 15,000 and 17,000 metric tonnes of grain corn annually and generate savings of up to RM25 million a year by 2028 by reducing reliance on imported animal feed," added Mohamad Haris. — BERNAMA
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