Rising Fertiliser Costs Push Malaysian Farmers Towards Efficiency-based Agriculture

By Nurunnasihah Ahmad Rashid

KUALA LUMPUR, June 11 (Bernama) -- Rising fertiliser costs and supply chain uncertainties are prompting Malaysian growers and plantations to adopt a more efficiency-driven approach to crop nutrition, shifting the industry’s focus from fertiliser volume to nutrient effectiveness.

Wastech Group Sdn Bhd executive director, Nicholas Hii said farmers are becoming increasingly selective in how they purchase and apply fertilisers amid higher raw material prices, logistics disruptions and labour challenges.

“We are seeing a clear shift in mindset across the market. The focus today is no longer just on buying fertiliser at the lowest cost, but on ensuring that every application delivers greater nutrient efficiency, improved crop response and better return on investment,” he said in an exclusive interview with Bernama, recently.

He said growers are increasingly looking at solutions that maximise nutrient uptake while reducing losses from leaching, runoff and over-application.

“This is especially important in the current environment, where farmers and plantations are dealing with higher raw material prices, logistics disruptions, supply chain uncertainty and labour challenges,” he said.

The impact of rising fertiliser prices varies across agricultural segments, and for smallholders and short-cycle crops, prolonged cost increases could lead some growers to delay purchases, reduce application rates or switch to lower-cost alternatives.

However, such measures could affect crop nutrition and long-term productivity if not managed carefully, said Hii, noting that for plantation crops such as oil palm, fertiliser remains a critical input for productivity and cannot be significantly reduced without affecting yields.

“Instead, many plantation operators are focusing on optimising applications, reducing wastage and improving nutrient uptake efficiency.

“Higher fertiliser prices should not only be seen as a cost challenge, but also as a catalyst for the industry to adopt better nutrient management practices,” he said.

Hii said technologies such as controlled-release fertilisers, precision irrigation systems, agronomy-driven nutrient programmes and customised fertiliser formulations are expected to play a larger role as growers seek to improve returns while managing rising costs.

He believes that the broader transformation of agriculture would increasingly be driven by technology, data and precision farming tools that help growers make more informed decisions on crop nutrition, irrigation and resource management.

“The industry is moving from a volume-based fertiliser approach towards a more efficiency-based approach, where the key question is not only how much fertiliser is applied, but how much of that fertiliser is actually used effectively by the crop,” he added.

-- BERNAMA