KUCHING: Sarawak is pushing for a large-scale sago cultivation to boost production given the strong demand for sago starch in the global market.

       The state exported 37,884 tonnes of sago starch worth RM78.3mil in 2021.

       Peninsular Malaysia is the single largest export market for sago starch, which absorbed 51.27% of Sarawak’s total export volume while another 35.47% of the exports went to Japan.

       Sarawak is the world’s largest exporter of sago flour and has maintained its global market position for sago starch.

       “To remain competitive, the government must ensure and sustain its comparative advantage over this market segment and price dominance,” said Sarawak’s Modernisation of Agriculture and Regional Development minister Datuk Seri Dr Stephen Rundi Utom.

       He noted that sago starch has diversified uses in both food and non-food applications. It is widely used in the making of sago pearls, fish crackers and fish balls, noddles (vermicelli and kuay tiow), sago pellets and cookies.

       Sago starch is also being used as thickener, filler, binder and stabiliser such as in soups (canned and powdered), instant desserts, custard powder and confectioneries.

       Sago is too used an an ingredient in certain food and fermentation industry for the production of monosodium glutamate and sweeteners as well as in alcohol production.

       Rundi pointed out that the sago industry is dominated by smallholders, who accounted for some 92% of Sarawak’s total planted areas of 32,329ha.

       Based on Sarawak Agriculture Department data, about 32,000 smallholders are involved in the sago industry in central region of Melanau heartland, mostly in Dalat, Mukah, Balingian, Pusa and Igan areas

       The Land Custody and Development Authority has embarked on large-scale sago plantation, having developed some 1,000ha over the years.

       The agency has engaged over 5,000 smallholders in Sebakong and Dalat while another 5,812 smallholders are involved in sago smallholders satellite estate development.

       Rundi said there are currently eight sago processing factories in Sarawak, with an average production of one to 1.5 tonnes of sago starch per hour.

       He said as smallholders are relying on traditional approach of cultivation of sago palms, this has resulted in inconsistent sago logs production as the raw materials for the downstream industry.

       “The state government is promoting and expanding the development of sago on a commercial basis due to its potential as a food source through the establishment of Sago and Nipah Development Board (SNDB).

       “The potential of sago industry has not been exploited as an economic and commercial viability mainly due to its long gestation period.

       Based on the study of the Food and Agriculture Organisation, sago has the potentials for food production and food security to meet the demand of growing population in the future.

       “Sago is not only a food crop but also has diversified uses in the production of adhesive materials while sago cellulosic biomass could be turned into bio-degradable packing, animal feeds, bio-fertiliser and biofuels,” he added when tabling the Sago and Nipah Development Board Bill, 2022, which was approved by the state legislature last week.

       The new law will pave way for the setting up of SNDB to assist the government in its planning towards ensuring the future viability and sustainability of the sago and nipah industries.

       Rundi said SNDB will facilitate and develop the sago and nipah industries as a new frontier to maxminise economic returns and increase the income of smallholders.

       The board’s areas of jurisdiction cover all activities in the upstream and downstream of the industries, including the planting of sago and nipah palms, processing and utilisation of sago and nipah, production of sago starch and nipah sap products and its derivatives.

       Rundi said nipah palm cover an area of 111.351ha in Sarawak as a natural component of mangrove forests and covers extensive areas along the coast, estuaries and riparian zones of rivers.

       Like sago, nipah palm is a perennial crop and can be tapped four years after planting and keep yielding for more than 50 years.

       Local farmers have been producing “gula apong” or nipah palm sugar products from nipah palm for exports to several countries such as Hong Kong, South Korea, New Zealand and Canada.

       Sarawak also exported RM1.93mil worth of nipah palm sugar products last year, while local sales amounted to RM3.38mil.

       According to Rundi, nipah palm sugar is considered a healthy organic substitute for synethic sugar and ideal for diabetics, overweight people and the health-conscious.

       It is also used as a sweetener and ingredient in food and confectionery products such as pastries and local delicacies.

       Recent studies by Centre for International Forestry Research have shown that nipah palm has a significant potential for the production of biofuel in the form of bioethanol.

       He said the government is also promoting to increase the production, consumption and marketing of nipah palm sugar for the domestic and export markets.