“The adjustment will encourage the use of high-quality and disease-resistant seeds among rice farmers and curb the use of uncertified seeds in the market,” he said.

He added the ministry was concerned about the plight of farmers who had difficulty in procuring seeds, with prices reaching up to RM50.

He said the government decided to raise the floor price of rice from RM1,200 per metric tonne to RM1,300 in the 2024 budget, which is expected to impact the price of rice, especially seeds.

Mohamad said his ministry also expects the rise in the price of padi seeds to affect the cost of seed production, including those under the incentive programme, making the existing ceiling price of RM35 per 20 kg sack unfeasible.

Farmers in Kedah had recently complained about difficulties in obtaining padi seeds at affordable prices as they begin the padi planting process at the end of this month.