Agriculture has always been quick to adopt new technology to improve efficiency, innovate and improve the quality and volume of produce. Today, a revolution in agriculture is taking place. Digitisation has the potential to enable farmers to produce crops with incredible precision, creating more of the right kinds of food when it is most in demand. 

Crucially, digitisation will give much greater certainty around food supply and security. For Malaysia this is a key issue that our policymakers have been working to address. In the 2022 Global Security Food Index — which looks at affordability, availability, nutritional quality and safety, and sustainability — Malaysia ranked 41st, down from 39th a year earlier and down from 28th in 2019. 

Digitisation holds the key to Malaysia keeping pace with the increasing demand for food — which is expected to double by 2050. Already, the state government of Johor is well advanced in digitising its agro industry. But to reach its full potential, all sectors associated with food production need to be part of the new digital ecosystem – and there is still some way to go before that happens. 

Malaysia has all the right pieces to the food security puzzle — the challenge now is to put them together. The National Agrofood Policy 2021-2030 (NAP 2.0) was formulated with food security and nutrition as a priority. There was also an emphasis on food security in the 12th Malaysia Plan (12MP), which in turn, catalysed a five-year push towards digitalisation. 

The Minister of Agriculture and Food Security, Datuk Seri Mohamad Sabu, said the government was committed to advancing technology in the agrofood sector, and has allocated RM5.39 billion in this year’s budget. But even with these initiatives, Malaysia’s food security continues to be vulnerable due to our heavy reliance on imports for essential food products, supply chain complexities, climate change and geopolitical tensions. 

What we are facing now is the adoption challenge. While innovation has been quick, the adoption of high-tech solutions is lagging — and there are a couple of reasons why. For farmers, who might have been producing food the same way for years or even generations, it is a big leap to incorporate the many digital innovations that are now available into their existing practices. 

This is particularly true for smallholder farmers who, in our conversations with them, said they grapple with the lack of know-how, access to technology and financial support. Meanwhile, retailers might be reluctant to change their business model if they see their farmer suppliers are hesitant about adopting new technology. 

Launched by JCorp earlier this year, FarmByte was created to support Johor’s mission to boost national food security by bringing the fragmented industry together on a unified digital platform. Harnessing the power of data will revolutionise farming practices, enabling farmers to share knowledge and best practices, and gain access to real-time market data to help them make informed decisions about what to plant, when to sell and where to sell. It will give them access to better information to manage their resources more efficiently, streamline their processes and, ultimately, maximise their returns. 

While we’ve made a strong start connecting the dots throughout the supply chain, the advantages can only be fully realised when FarmByte becomes a true ecosystem, incorporating not just producers, but all sectors involved in food production. For example, monetary support from financial institutions can unlock capital for cash-poor farmers, while partnerships with educational institutions can help farmers become more confident with the technology and ramp up research into ways to further improve farming productivity. 

Incentives for farmers to sell locally, for local hospitality businesses to buy locally, and tax concessions for businesses working to strengthen food security, would accelerate progress and help us realise the benefits sooner. Japan has shown how effectively public-private partnerships can facilitate the digitalisation of the local agrofood sector. At present, the country is ranked sixth on the 2022 Global Security Food Index. Just five years ago, it was ranked 18th. 

This result is made possible by the government’s commitment to engage stakeholders at every stage of the supply chain and encourage wide collaboration. Recognising the challenges of implementing new technology, it introduced inclusive policies and provided needs-based financial aid to farmers, including loans and subsidies, to those in remote areas seeking to adopt robotic solutions. In addition to working with private companies, universities, and research institutions to develop smart solutions, Japan has also established an ecosystem where other stakeholders proactively participate in innovation. 

As Malaysia faces the challenge of feeding more than 40 million people by 2050, our agrofood industry must address how to enhance domestic food production, promote sustainable agriculture, reduce food waste and uplift farmers and their communities. For consumers, it must ensure produce on the supermarket shelves is affordable, of high quality, safe, nutritious and available when demand is high. While digitisation provides the tools to address these goals, success will ultimately depend on everyone in the agro sector — from the smallholder farmers to the largest institutions — being open to the possibilities they offer and to have a shared vision for a stronger and more resilient agrofood industry. 

Collaboration is at the heart of piecing the food security puzzle together. At FarmByte, we recognise the significance of this and are working with both public and private sectors including banks, research institutions and technology companies, to ensure a food-secure future in Johor — and ultimately, Malaysia. 

Aiman Syed Jaafar is CEO of FarmByte Sdn Bhd