Uncertainty Looms As Cameron Highlands Farmers Face Rental Agreement Renewals

Farmers express concern that having multiple administrative layers has increased costs without delivering proportional benefits.

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Cameron Highlands farmers are bracing for crucial negotiations as their 3+2 year land agreements with Pahang Corporation reach expiration in 2025, raising concerns about their future operations and livelihood sustainability.

The impending renewal has sparked anxiety among the farming community, with several farmers reporting they haven’t even received their formal agreements despite being in the final year of the current term.

Farmers speaking anonymously to TRP said they have been operating on verbal assurances, which creates uncertainty for their long-term planning.

Adding to their concerns are rumours of potential increases in rental rates and new charges, particularly for waste and garbage disposal services.

The farming community argues that such additional costs would further strain their tight operating margins.

The farmers’ primary contention is the value proposition, explains Cheng Nam Hong, who heads the Cameron Highlands Chinese Farmers Association.

While we pay rental fees to Pahang Corporation, we receive minimal support in return. There are no subsidies for essential farming inputs like fertilizers and pesticides, which have seen significant price increases over the years.

State-Farmer Disconnect Threatens Food Bowl’s Future

The situation highlights a growing disconnect between the state’s management approach and the farmers’ needs.

Despite the area’s reputation as Malaysia’s vegetable bowl and its contribution to national food security, smallholders feel increasingly marginalized in decision-making processes.

As negotiations approach, farmers are calling for more transparent and equitable terms.

They seek fair rental rates and comprehensive support systems that recognize their role in maintaining Cameron Highlands’ agricultural heritage and food production capacity.

Majority of Farmers Face Uncertain Future

The Ministry of Agriculture’s previous push for 30-year lease durations remains unresolved, complicated by land matters under state jurisdiction.

With about 80% of farmers still facing land security issues, the upcoming negotiations represent more than just rental agreements – they symbolize the future of traditional farming in Cameron Highlands.

Farmers need a partnership, not just a landlord-tenant relationship, Cheng emphasizes.

The success and sustainability of Cameron Highlands’ agriculture depend on finding this balance.

The Birth of the 3+2 Agreement: A Temporary Solution

The 3+2 land tenure arrangement introduced in 2020 added another layer to Cameron Highlands’ already complex land management structure, involving multiple entities, including Pahang State Secretary Incorporation (PSK), Pahang Corporation, and the Land Office.

As the legal landowner representing the state government, PSK leased large tracts of agricultural land to Pahang Corporation, which then sub-leases to individual farmers.

This arrangement effectively created a three-tier system: PSK at the top, Pahang Corporation as the intermediate manager, and farmers as end-users.

Under this structure, Pahang Corporation is the master lessee and managing agent, handling day-to-day administration, rent collection, and farmer relations.

“We understand PSK owns the land, and Pahang Corporation manages it, but who looks after farmers’ interests?” asks Cheng, echoing a common sentiment among the farming community.

The current system seems more focused on administrative control than agricultural development.

This story was produced as part of the International Federation of Journalists’s (IFJ) Malaysia project, “Strengthening Malaysia Media for Change”.

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