Raub Durian Dispute: Farmers Will Make Big Profits at Musang King’s Proposed Fixed Price, State Firm Says



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KUALA LUMPUR: Durian farmers in Raub, who are currently embroiled in a land dispute with a state-backed consortium, could make a considerable profit based on their proposed purchase price of RM 30 per kg for Musang King of Grade A, the company said on Wednesday (September 2).

In a statement in response to farmers’ claims that the company’s legalization plan has let them down, Royal Pahang Durian Resources PKPP Sdn Bhd (RPDR-PKPP) said the price is “fair.”

“Assuming a farmer with 10 acres of land, his minimum gross income based on 2,000 kg per acre Grade A Musang King is expected to reach RM600,000.

“Based on independent verification, the production cost of around RM8 per kg will assure farmers of an expected margin of more than 200 percent,” he said.

RPDR-PKPP was mandated by the Pahang state government to carry out its proposed legalization plan to address the problem of illegal agriculture in Raub and to stop further encroachment on state lands for growing durians.

The state maintains that durian farmers have been planting without a permit and that a contract is a way to legalize their operations.

The plan has sparked a bitter land dispute between farmers and the state. He explains that the farmers had illegally occupied some 7,000 acres of land that is owned by the state.

As part of the legalization plan, the Royal Pahang Durian Group signed an agreement with PKPP in March for its entry into large-scale durian production.

The agreement stipulated that the Pahang state government had leased the cultivated land to RPDR-PKPP for 30 plus 30 years, and then RPDR-PKPP would sublet the land to existing durian farmers. Farmers must sell the produced durians at a predetermined price to Royal Pahang Durian.

Durian farmers are now asking the courts to review their eviction from the farms where they have been growing durian. The hearing for the farmers’ judicial review request is scheduled for October 28.

READ: Musang King Millionaires: Pahang City Durian Entrepreneurs Get Rich As Demand Rises

Dubbed as the Musang King Center of Malaysia, Raub is fortunate to have the right conditions to grow the durian variant that is popular in mainland China, Hong Kong, Macau, and Singapore.

Musang King, or Mao Shan Wang, is sought after for its creamy texture and sweet taste with a hint of bitterness.

In its statement on Wednesday, the consortium also rebutted claims that all durian farmers are against the legalization scheme.

“To date, some 300 farmers have registered with RPD-PKPP, 133 of whom have confirmed and paid a guarantee of RM1,000 per acre,” the company said.

The consortium added that there will be no financial penalties for farmers who do not meet tonnage targets.

READ: Orang Asli land under threat in Pahang as Musang King plantations grow

Some affected farmers protesting the consortium have organized into a group called the Save Musang King Alliance (SAMKA).

In a statement also released Wednesday, SAMKA said it “has always been firm” in its stance to share its profits with the state government for “the common good.”

“This is clearly reflected in the fact that farmers had been applying for agricultural titles or licenses for decades in the hope that they could pay taxes to the government. Unfortunately, the good faith of the farmers was in vain, as the government had always closed the door to farmers, thus causing the ‘losses’ as claimed by the state government now, “the statement said.

He added that farmers are still ready to work with the state government, on condition that the private company Royal Pahang Durian’s involvement in the issue is stopped.

“This is due to the concern that the participation of the private corporation will not only exploit the farmers, the income of the state government could also be reduced since the hidden and last agenda of the private corporation is to benefit from this whole scheme,” he said SAMKA.

Both farmers and the state government would be in a “lose-lose situation” if this private corporation monopolizes the entire durian market, he added.

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