KUALA LUMPUR (April 10): The Federal Land Development Authority (Felda) will be introducing a new model for managing settlers' land through land rental for a reasonable period, said Economic Affairs Minister Datuk Seri Mohamed Azmin Ali.

In his speech during the tabling of the Felda White paper today, Mohamed Azmin said the government has agreed to allocate RM1 billion for a period of four years to implement this new idea.

He noted that this model will resolve demographic issues of the settlers and the absence of economies of scale.

"The introduction of this new model will enable the settlers' land to be consolidated and to be cultivated efficiently, and also the economies of scale can reduce operating costs and increase productivity," he added.

He said Felda is determined to develop skilled and innovative new settlers to improve income through agricultural and livestock activities which use new technologies such as smart farming and precision agriculture.

"This effort will help settlers to reduce dependence on palm oil. On the contrary, it will enable settlers to generate new income that is high value through harvesting in a short period," he added.

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