24/03/2009 (Bernama), Johor Baharu -- Oil palm smallholders are expected to get their incentives for replanting oil palm, as announced in the recent second stimulus package, by June the latest.

Deputy Minister of Plantation Industries and Commodities, Senator A. Kohilan Pillai, said there were 127,000 oil palm smallholders in the country and those involved in the replanting programme would get the incentive of RM6,000 per hectare of area planted.

The money is solely for the small time farmers and does not include the land and is meant to help reduce the expenses of the farmers in beginning their farming work especially to buy the equipment, he said.

Kohilan said this to reporters when asked on the government's measures to help oil palm smallholders with the drop in the commodity's price in the market.

He had earlier officiated a briefing on the career opportunities within the plantation industry and commodities sector, here, today.

Prior to that, he visited the Ulu Tiram Plantation here owned by Kulim (Malaysia) Bhd.

Kohilan said the incentives for the farmers were also an additional assistance after the government had allocated RM200 million last year to help the smallholders and plantations nationwide in the replanting programme.

The government had provided an incentive of RM1,000 per hectare then.

"This means, each of the smallholder is getting RM7,000 for one hectare to help make a success of the oil palm replanting programme which replaces oil palm aged 25 and above," he said.

On another note, Kohilan also called on the large plantation owners to be aggressive in their social responsibilities and develop more facilities for their workers such as child care centres, schools, places of worship, and access roads.

There are at least 12 or 13 major companies including Sime Darby, IOI and United Plantations and hopefully they would be able to help improve the conditions and facilities for their workers in the plantations.

Kohilan also said requests will be made to the Education Ministry to upgrade the status of 289 capital-aided Tamil schools to become fully aided schools for the benefit of the students in the plantations.