Wednesday December 29, 2004 - KUALA LUMPUR: Felda settlers shoulddiversify into non-farming ventures to cushion themselves against thefluctuating price of palm oil and rubber, said Deputy Prime Minister DatukSeri Najib Tun Razak.

He said they should participate in entrepreneurial activities likelivestock breeding, aquaculture, planting commercial crops, business andservices.

"The price (of the commodities) greatly influences the income of farmers.

"When the price drops, a large number of settlers are affected.

"This is why non-farming activities are important to ensure settlers havea high and stable income," he said after launching the Felda EntrepreneursSymposium and Exposition 2004 (Simex 2) at the Putra World Trade Centreyesterday.

Najib said some 21,578 or 21% of Felda settlers had participated in someform of entrepreneurial activities.

He said Felda settlers would be able to obtain interest-free loans underthe Felda Entrepreneurs Incentive Scheme to carry out entrepreneurial andcommercial projects.

He said the fund had disbursed a total of RM13.7mil in loans to 1,674settlers.

Najib said settlers should venture into new commercially viableagriculture products like planting herbs and kenaf.

He said a Felda subsidiary, Felda Herba Corporation Sdn Bhd, had been toldto source for raw materials from settlers.