YAN: Kedah is missing out on an RM100 million revenue annually from padi fields under the Muda Agriculture Development Authority (Mada).

Menteri Besar Datuk Seri Muhammad Sanusi Md Nor said certain areas under Mada have been earmarked for housing, industrial and commercial purposes.

He said currently, about 10,000 ha of Mada's padi fields were earmarked for housing development under district local plans. Another 400ha of padi fields have been allocated for industrial and commercial purposes.

"If we adhere to the district local plan, we could generate more revenue through quit rent, development tax, assessment rates and water charges.

"Currently, water for the fields is free, but if it is diverted to homes or factories, we can impose charges. These are the revenues we are forfeiting to preserve these padi areas.

"We'll be losing out on what's already in the district local plans. In reality, we're missing out on more than RM100 million annually. In the next five to 10 years, the state government anticipates this figure to increase. Therefore, we urge the Federal Government to address this matter," Sanusi told a press conference today.

He said this in response to an announcement made by Prime Minister Datuk Seri Anwar Ibrahim yesterday, who indicated the Federal Government's agreement with a proposal to convert the land status in Mada areas for industrial and commercial development.

Sanusi said these plots of land were highly productive and actively being used for padi cultivation. However, he said the land is in high demand for other purposes.

He said the Kedah government will continue to incur even greater losses if it continues to preserve these padi fields and the state is seeking fiscal assistance from the Federal Government to offset these revenue losses.

"These areas have been developed at significant costs for irrigation and other purposes. This is a consideration for the Federal Government, and I hope they approve it.

"The prime minister does not simply approve the release of the land. It's not about whether the land is used for padi or not. This falls under the Agriculture and Food Security Ministry's jurisdiction, and they will reassess it. I hope our fiscal request is considered," he said.

https://www.nst.com.my/news/nation/2024/05/1046552/kedah-missing-out-rm100-million-revenue-annually-mada-padi-fields