LIGS Launches V2050 Plan to Transform Sabah’s Rubber Industry

8 January 2026

KOTA KINABALU: The Sabah Rubber Industry Board (LIGS) today launched its V2050 Strategic Direction Plan, a policy document to guide the transformation of the state’s rubber industry towards becoming modern, competitive and inclusive by 2050.

The plan also targets increasing the monthly income of rubber smallholders to RM5,000 by 2050.

The launch ceremony, held at Wisma Pertanian Sabah, was officiated by the Minister of Agriculture, Fisheries and Food Industry, Datuk Jamawi Jaafar, who said the plan demonstrates that LIGS is not only prepared to face current challenges in the rubber industry, but is also bold in setting a clear strategic direction for the next 25 years, in line with state development aspirations and national priorities.

He congratulated and expressed his appreciation to LIGS for successfully producing a comprehensive, visionary and forward-looking policy document.

Jamawi said the LIGS V2050 Strategic Plan fully supports the ministry’s agenda, including the target of raising rubber smallholders’ income to RM5,000 per month by 2050.

“The ministry is focused on four key agendas: sustainably increasing smallholder incomes, modernising the agricultural sector through technology and innovation, strengthening food security and downstream industries, and ensuring environmental sustainability as well as compliance with global standards,” he said.

He expressed confidence that the momentum currently being built would position LIGS as a leader in Sabah’s rubber industry and as a model institution in the transformation of government agencies into modern, progressive and future-oriented organisations.

Jamawi noted that Sabah’s rubber industry has been the backbone of rural development for more than a century, but is now facing challenges such as price volatility, global competition, labour constraints and increasing demands to comply with international sustainability standards.

“The V2050 Strategic Plan comes at the right time to transform the rubber industry from a traditional sector into a modern, high-technology and value-added industry,” he said.

He added that LIGS’ success today is no longer confined to the rubber sector alone, as it has demonstrated its true capability as a credible implementing agency through the development of MD2 pineapple plantations under the People’s Income Initiative, Farmer Entrepreneurs (IPR-INTAN) project.

“The success of the IPR-INTAN project has not only delivered tangible economic returns to participants, but has also set a new benchmark, proving that LIGS possesses strong technical capacity, disciplined project governance and efficient value-chain management from farm to market."

"More importantly, this achievement has given the Government the confidence to entrust LIGS with a new mandate to develop paddy cultivation projects, an area previously considered outside the scope of a rubber-based agency,” he said.

He emphasised that LIGS’ willingness to accept this new responsibility shows that the board is not merely managing commodities, but is actively building institutional capacity, reflecting the Government’s confidence in LIGS’ professionalism and implementation capability on the ground.

Jamawi also highlighted the activation of LIGS’ subsidiary, LIGS Solutions, which strengthens the board’s commercial functions and positions LIGS as a hybrid organisation, combining its role as a development agency with sustainable commercial capabilities.

“This approach does not sideline rubber smallholders. Instead, it opens up new opportunities through the expansion of the value chain, the development of downstream industries, logistics and market services, and active participation in a broader and more competitive economic ecosystem,” he added.

He expressed hope that these efforts would serve as a catalyst for a progressive, dynamic and competitive Sabah rubber industry by 2050.

Also present during the event were the First and Second Assistant Ministers of the Ministry of Agriculture, Fisheries and Food Industry, Datuk Haji Ruslan Muharam and Datuk Hendrus Anding; the Ministry’s Permanent Secretary, Datuk Leonard Stephen Poyong; the Deputy State Secretary (Administration), Datuk Norlijah Hj. Danin; the Chief Coordinating Officer and Senior Management of the Sabah Maju Jaya (SMJ) Secretariat, Datuk Haji (Datu) Rosmadi Datu Sulai; the General Manager of LIGS, Sabdil Tanjong; the Managing Director of LIGS Solutions Sdn Bhd, Eswadi Roslan; the Director of the Sabah State Ministry of Rural and Regional Development, Mohd Hamdan Sahari; and the Sabah and Sarawak Regional Director of the Malaysian Rubber Board, Haji Ismail Ibrahim.