"Integrated Support Provided for Development of the Pepper

INTEGRATED SUPPORT PROVIDED BY
THE MALAYSIAN PEPPER BOARD FOR
INCLUSIVE DEVELOPMENT OF THE
PEPPER INDUSTRY
FOR THE 4TH BUSINESS SESSION
11TH NOVEMBER 2013
HILTON HOTEL, KUCHING, SARAWAK, MALAYSIA
BY PHILIP GAWENG
MALAYSIAN PEPPER BOARD
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INTRODUCTION
Marketing activities of Malaysian pepper industry was
placed under Pepper Marketing Board since 1971
However, matters relating to production of pepper was
placed under jurisdiction Department of Agriculture
Sarawak
Malaysian Pepper Board was formed on 1st Jan 2007 to
carry out inclusive development of the pepper
industry:
-
Promoting the planting of pepper
Promoting research on pepper and pepper products
Regulating the pepper industry (except the planting and
research)
Developing national objectives, policies and priorities for
the orderly development and administration of the
Malaysian pepper industry.
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SCENARIO OF PRODUCTION
1) Affected by amount of rainfall, diseases and pests,
application of production inputs
2) Favourable price of pepper is required for sustainable
long term production
3) When prices are high, farmers:
- Take care of their pepper farms
- Increase fertilizer to maximise yield and productivity
- Expand farm sizes
-
Spend more time maintaining their farms
GENERALLY
Periods of high price result in higher production
Prolong lower price leads to fall of production
3
PRODUCTION PROGRAMMES
Production sustainability programmes through Pepper
Industry Development Program
-
Planting and replanting, rehabilitation of existing pepper gardens
and opening of new production areas
-
Giving out one-off aids farm inputs and implements
-
Access farm roads built
-
Core farmers
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HUMAN RESOURCE DEVELOPMENT AND EXTENSION
1) Farmers are encouraged to adopt low-cost
production technology in order to lower
their production costs
-
Use of live support instead of belian wood
Cover crops to minimise weeding and improve
nutrient intake
5
HUMAN RESOURCE DEVELOPMENT AND EXTENSION
2) Encourage farmers to produce and sell quality pepper
at farm level
- Through MPB trading activity
- Farmers encouraged to produce quality pepper
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HUMAN RESOURCE DEVELOPMENT AND EXTENSION
3) Pepper Production Technology Course
- Integrated syllabus
- Hands-on on farm establishments and maintenance
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HUMAN RESOURCE DEVELOPMENT AND EXTENSION
3) Pepper Production Technology Course
- Inculcate/explain good farming
practices
- Application of ICT - touch-points of
pepper farmers - prices through
MPB mySMS 15888
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HUMAN RESOURCE DEVELOPMENT AND EXTENSION
4) Farmers are taught on good practices on
production of quality planting materials
5) Farmers are encouraged to supply pepper
cuttings to the pepper industry
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HUMAN RESOURCE DEVELOPMENT AND EXTENSION
6) Farms extension visits as part of monthly extension programmes
- Give explanation on farm maintenance
- Highlight good practices
- Control of pests and diseases
- Factors influencing farm productivity and value addition
- Produce export quality pepper and creamy white pepper to increase
their income
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7) Extension is one of the touch-point activities of MPB to make
farmers deliver
-
Farmers will apply knowledge
-
Two pepper farmers from Sarawak have won national awards
11
MARKETING, TRADING ACTIVITIES AND RETAILING
1) Farmers faced difficulties in selling their produce
-
Poor quality of pepper at farm level
-
Unhealthy competition, etc
lack of facilities to promote production of farm-graded quality
pepper
2) MPB buys pepper direct from
farmers and export pepper to
end user markets
-
quality enhancement program at
farm levels
give farmers the choice and
flexibility where and to whom to
sell their pepper
pepper dealers have to reciprocate
by offering competitive prices
farmers benefit through daily
market competition
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MARKETING, TRADING ACTIVITIES AND RETAILING
3) A special bumiputra entrepreneurship programme was
introduced to accommodate farmers’ participation in
pepper business
-
some of them have made it to the top to become wholesalers in
their district
4) ISO 9001:2008 certifications for pepper purchasing
centres
-
MPB giving 1st class service to farmers (reliable price,
weight, grade)
-
covers the marketing chain process
-
towards MPB new business model
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MARKETING, TRADING ACTIVITIES AND RETAILING
5) Introduction of Pepper Ownership Scheme
-
targeted for rural farmers the choice to use storage facility
provided by MPB
-
pepper once delivered is immediately processed, graded and
weighted
-
give farmers flexibility to hold physical stocks by giving
greater control of the selling decision
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MARKETING, TRADING ACTIVITIES AND RETAILING
6) Introduction of Pepper Physical Forward Contract
-
enables a registered person to buy or sell pepper for delivery
at a forward month
-
help farmers to sell in advance their coming crop or pepper
stocks at pre-determined price
-
give farmers flexibility to hold physical stocks by giving
greater control of the selling
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MARKETING, TRADING ACTIVITIES AND RETAILING
7) MPB in retailing business
-
SaraSpice is the product line for all pepper based products
Gradually increase domestic consumption
So that other local retail businesses can emulate
MPB product development unit plays the crucial role in R&D of products
This has been the story of the origin of pepper sauce available in the
market today
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RESEARCH & DEVELOPMENT ACTIVITIES AND PRODUCT DEVELOPMENT
1) Research and Development
- Established in 2009 with the recruitment of researchers
- Prior to MPB, research activities done by DOA, S’wak
- Focuses on crop protection, tissue culture, varietal improvement, good
practices innovation and food and non-food product development
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RESEARCH & DEVELOPMENT ACTIVITIES AND PRODUCT DEVELOPMENT
2) Product development
-
Carry out product formulation, sensory evaluation,
product-stability studies and pilot scale trials
-
products seasoning to condiments containing pepper and
other spices, sauces, pickles and pepper flavoured products
in the form of pepper candy, pepper cookies, pepper
chocolate and perfum
-
MPB has limited resources and capacity
-
Encouraged private sector to pursue the development of
the product further and produce it
-
Successfully pioneer the transfer of the technology in the
production of pepper sauce in Malaysia
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STATUTORY GRADING OF PEPPER AND MODERNIZATION OF FACILITIES
1) Statutory grading of pepper
-
Introduction of the statutory grading scheme in 1975
-
Significant improvement in the quality of pepper for export
-
Enabled exporters to sell pepper on the basis of grade specifications,
labels and certificates
-
Licensing of exporters and standardization of documentation
-
Setting up “wet and dry” pepper processing
-
Statutory grading + modernisation of processing facilities
= clean records of shipment + no disputes
= mutual understanding
= good business relationship
= good name of Sarawak Pepper
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STATUTORY GRADING OF PEPPER AND MODERNIZATION OF FACILITIES
2) Modern processing facilities:
-
Steam treatment plant
Grinding plant
Colour sorting machines
Automated processing facilities
Minimise physical handling, contact with
the products.
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STATUTORY GRADING OF PEPPER AND MODERNIZATION OF FACILITIES
3) Certified processes
-
Another significant development
HACCP certified
MPB 1st govt agency in Malaysia
HACCP certified
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STATUTORY GRADING OF PEPPER AND MODERNIZATION OF FACILITIES
4) Modernisation of processing facility enables:
-
products diversification
Quality demanded by buyers could be met
required specifications fulfilled
statutory grading enhanced
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STATUTORY GRADING OF PEPPER AND MODERNIZATION OF FACILITIES
5) Statutory grading scheme towards inclusive development of
quality assurance of Sarawak Pepper
-
Grading and Certification Services MS ISO 9001:2008
certified
-
Buyers are further assured of quality pepper they bought
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STATUTORY GRADING OF PEPPER AND MODERNIZATION OF FACILITIES
6) Grading services further enhanced by the
quality control system
-
Quality Control Laboratory ISO/IEC
17025:2005 certified
-
Physical, microbiological, intrinsic and
extrinsic chemical content in pepper samples
analysed
-
Purchase of modern lab equipment such as
GCMS, AAS, ICPMSMS, HPLCFD, LCMSMS, etc
ICPMSMS
LCMSMS
HPLC
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CONCLUSION
National Commodity Policy 2011-2020
MPB entrusted to further develop the pepper industry:
-
increase pepper production and production competitiveness,
strengthen research and development
stabilise income of farmers,
expanding markets; and
human resource empowerment.
The board is moving on the right direction
- However long duration of low price has been proven to adversely
affect the Malaysian pepper production
- Therefore, good strategy alone is not enough.
Pepper like any other agricultural commodities pass through
series of value-added activities beginning from farmer to final
stage ends with consumer
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CONCLUSION
Adding value to the product in the production and marketing chain
has the potential to generate revenue and profit
This is another opportunity where the pepper industry could adapt,
avoiding the sunset industry
“It is not the strongest of the species that
survive, nor the most intelligent, but the one
most responsive to change” – Charles Darwin.
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Sekian , terima kasih………..
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