Marketable and marketed surpluses of padi in the Kemubu Irrigation Project, Malaysia

Abstract

The Kemubu Irrigation Scheme was designed around the objectives of increased national self-sufficiency in rice and the promotion of more equitable development among the regions in Malaysia. This study attempts to measure the short term responses of marketable and marketed surpluses of padi in the Kemubu Project as a result of investments in the scheme. This is made possible by available cross sectional data for a comparison of farms outside (without) and inside (with) the project. The study uses quadratic multiple regression to measure the determinant causality of marketable and marketed surpluses according to aggregate level, tenancy groups, net padi operational area size groups, total farm operational area size groups and districts. As was found in other studies it is observed that total padi production, net padi production (minus rent, wages and religious contributions), total off farm income and family size has significant effects on the surpluses. It is shown that there is a narrowing of differences between farmers in the tenancy groups of pure tenants, owner-operators and mixed owner operators inside the project as compared with the outside. The study indicates that the farmers attempted to increase both the marketable and marketed surplus of padi and non padi income. This raises the problem of choice in the allocation of their available supply of labour. It was found too that the existing level of crop diversification does not reduce the responsiveness of farmers in production of padi surpluses.