In a Sinar Harian report, Kedah menteri besar Sanusi Nor said the amount fell short of the RM200 million the state had requested to sustain its role as the country’s padi production hub.

Sanusi said the amount proposed by the town and country planning department (PlanMalaysia) did not account for the losses borne by the state for maintaining padi cultivation land.

“To this day, Kedah’s application for RM200 million is still under the federal government’s consideration, even though several engagement sessions have taken place,” Sanusi said during a state assembly sitting at Wisma Darul Aman today.

“Perhaps the country’s fiscal constraints prevent the federal government from committing to such a large sum. But with a national annual budget of RM430 billion, allocating RM200 million to Kedah to preserve its padi-growing areas should be a priority.

“It is more important than industrial zones because we produce food for the country.”

He said that as the country’s rice bowl, Kedah had not only sacrificed vast areas for padi fields but had also maintained forests as catchment areas and water sources.

Sanusi said the state could earn RM1.7 billion in land tax annually if it converted all land designated for padi production to commercial land.

However, he said Kedah remains committed to maintaining its padi fields and continuing negotiations with Putrajaya.

Last June, Kedah’s Sultan Sallehuddin Sultan Badlishah said the state’s request for a RM200 million incentive would be a fair exchange for its commitment to preserving the 113,000 hectares of padi land, which account for 43% of Malaysia’s rice self-sufficiency.