Bioeconomy Community Development Programme (BCDP) is a component of the Bioeconomy Transformation Programme (BTP) as mentioned by the Honourable Prime Minister during the National Budget 2014 under paragraph 71.
The programme is set to drive the country’s socio-economic position to greater heights by working with relevant stakeholders to utilise idle lands for contract farming to provide new streams of income to the farmers.
The main objectives of BCDP are:-
- To increase the production capacity of BioNexus Status companies and/or BTP projects through contract farming
- To increase farmers income and production through the use of biotechnology
- To maximise the economic potential of idle lands
- To develop bio-entrepreneurship skills for farmers
As the lead component of the Bioeconomy Malaysia Accelerator Programmes (Bio-Accelerators), BCDP exemplifies the multi-dimensional impacts of bioeconomy development. The BCDP will enable idle lands to be developed through the application of biotechnology as well as for contract farming to increase the value-added of the agro-based industry and income of farmers, subsequently increasing the competitiveness and the contribution of bioeconomy to economic growth.
The programme involves the enlistment of rural farmers or settlers to cultivate crops or raw material as inputs for BioNexus Status companies and BTP Trigger Projects. The produce will then be sold to these companies with a“guaranteed buy-back” mechanism.
BiotechCorp will provide facilitation via inter-agency cooperation at the operational level. The role of each relevant stakeholder is critical to ensure the successful implementation of the programme.
Example of BCDP Mechanism – complete value chain
- BiotechCorp/Other Agencies disburses funding for BCDP to Cooperative/BioNexus Status companies/BTP Trigger Project owner
- Cooperative/BioNexus Status companies/BTP Trigger Project owner will utilise funding to offset the cost of necessary farming purchases for their contracted farmers and distribute the supplies accordingly
- Guaranteed buy-back by BioNexus companies/BTP Trigger Project owner and farmers will get guaranteed income
- Cooperative/BioNexus Status companies/BTP Trigger Project owner will pay back the soft loan to BiotechCorp/Other Agencies