Showing posts with label dividend. Show all posts
Showing posts with label dividend. Show all posts

Friday, September 2

Oil palm dividends only 0.17 sen per acre per year?

KUCHING: For the past 13 years, the native landowners have been taken for a ride by the oil palm companies through the joint venture concept as the amount of dividends given to them per acre per year is about 0.17 sen, asserted a Sarawak DAP leader.

Based on figures given by Land Development Minister James Masing two years ago, Chong Chieng Jen, Sarawak DAP Secretary said that landowners who received RM2.3 million as dividends from one million acres of their NCR Land planted with oil palm through JV with companies were actually about 0.17 sens per acre per year.

“After 13 years, the landowners received that much and it sounded big. But if you do a simple calculation by dividing RM2.3 million by one million acres and by 13 years, the amount of dividend per acre per year is about 0.17 sens.” Said Chong at a Dayak Reawakening Seminar organised by Dayak Consultative Council over the week-end in Kuching.

He said that Alfred Jabu, Deputy Chief Minister, who is also Rural Development Minister tried to argue that some of the oil palm were not matured yet, resulting in low productivity.

“Assuming that it takes six years for the oil palm to mature, the amount of dividends would come to only 0.34 sens per acre per year,” Chong said.

Compared with Sarawak Oil Palm (SOP), he said that SOP had planted 70,000 acres of oil palm, and after three years it had a clean profit of RM230 million last year even though some of the oil palm were still not matured.

“So per year earning for an acre is between RM1,500 and RM2,000 given the current price of RM300 per acre per month,” he said, pointing out that that is the general profit of oil palm plantation.

“Yet the joint venture plantations that the BN government has been encouraging native landowners to do for all these years have paid out as dividends 0.17 sens per acre per year.

“The government has been saying that the oil palm plantations through the JV concept have been very successful.

“Judging by these dividends, are the Dayak landowners not taken for a ride?
” he asked.

Chong, who is also the state assemblyman for Kota Sentosa said that the government has not done much in elevating the economy status of the Dayaks through the oil palm plantations.

“For the Chinese community, you cannot say this is a Dayak problem nor can you laugh at it.

“I can tell you that if the Dayaks have no spending power and no income the Chinese shopkeepers and businessmen will also suffer.

‘Likewise, if the Dayaks are rich, the Chinese also will be well off,”
he said, pointing out that the country cannot progress when a single community is left behind.

“I give you the figures and statistics to show you thus far the BN government has failed to improve the economy and the education of Dayak communities,” he said.

Chong said that when the Pakatan Rakyat (PR) comes to power, it will start with a pilot project of 100,000 acres of NCR land.

“We will survey it and issue title to the respective community and the target community will decide what crops they want to plant on their land.

“And the government will give all assistance including seeds, fertiliser, technical know-how and financial support.

“For this project, NCR landowners develop their land and the government will not collect even a sen of the proceeds of the crop.

“All the proceeds from the land will go to the landowners on one condition, that is, the landowners must cultivate the land themselves.

“Ask you sons and daughters to return home from Semenanjong Malaysia to help in the cultivation of your land. There are more than 120,000 Dayaks.

“It is when young people start to come back to help in the plantation only then we can ensure our economy vibrant. For instance, one acre can yield RM300 for oil palm and if you have 300 acres, you will earn some RM90, 000. Even 50 acres will bring about an income of RM15, 000 per
month,” he said.

Chong estimated that to develop 100,000 acres, it may cost the government about RM100 million.

“That is not much for the state government to throw the money at the project, because we strongly believe that this is the creation of a large group of middle income stake holders who will form the backbone of the state economy.

“This is one how we can sustain our economy and keep it rolling and vibrant,”
he said.

Speaking of revenue, Chong who is also the MP for Bandar Kuching said that Sarawak’s annual revenue is about RM4.9 billion.

And the state collection from the oil royalty will also increase from 5% to 20% when Pakatan Rakyat forms the next government.

“This is extra money with which we can subsidise the Ibans, the Bidayuhs and the Dayak communities to develop their own land.

“So far the BN government does not have such a policy to help the natives. What you see now is that your lands, and most of them, are given to their cronies. And if you join venture with them, then you are subject to account manipulation.

“They say that they don’t make profits. No dividends. That is how you get only 0.17 sens per acre per year,”
he said, pointing out that the Dayaks particularly the Ibans remain one of the poorest in the state.

According to facts and figures given by Alfred Jabu, there are 13,349 Iban families categorised as hardcore poor representing 47.8%, as compared with 2,925 Orang Ulu families representing 10.5% and 2,757 Bidayuh families constituting 9.8% out of 27,902 hardcore poor families among the Bumiputera.

These are the families who receive less than RM520 per family per month, he said.

Friday, February 19

Oil Palm small holding

In Julau last week YB Joseph Salang suggested that oil palm developers should adopt concept of “sewa pajak” (mortgage) to develop native customary rights land.

Under this concept, the Deputy Minister of Information, Communication and Culture explained that the land is rented to the developers and involved the setting up of mini estates instead of large scale land use.

“Not all NCLs are suitable for large scale cultivation like oil palm plantation because of terrain and soil condition.

“In addition, not all land owners like long term joint ventures (of 60 years),”
he said when meeting the people of Rumah Mauwa in Nanga Masit, Julau.

He said that land owners and interested parties could work out a mechanism for rent payment. It could be based on a number of trees planted like the case of rubber.

The other option is for the land owners to develop their land under small holding schemes just like they planted rubber under the rubber planting schemes.

In fact under this scheme land owners earn more money than they go for joint venture with big companies or even with SALCRA where their earnings/dividends/bonus are just like “ikan bilis”.

Let me illustrate a story told to me when I was at Melayu Ili, Betong two weeks ago about a grandfather receiving RM700 dividends from SALCRA after seven years of planting. He was proud receiving the dividend and showed a cheque for that amount to his grandson.

“Reti nya aki, nuan semina nerima RM100 setaun tauka RM8.33 sebulan,” ko uchu iya. (It means that his grandfather received RM100 per year or RM8.33 per month).

Compared the earnings of small holders like Tuai Rumah Masa of Tekuyong, Ubah, Pantu, who earns between RM1,500 and RM2,500 a day. His average income per month is around RM15,000.

Cobbold John Lusoi is another example. His daily income is around RM1,500 a day. There are few Ibans in Balai Ringin, Simunjan, Pantu and Sri Aman earning RM1,000 or more.

Previously, these small holders sell their oil palm fruits direct to SALCRA or Tabung Haji mills and are being paid weeks later.

But now they sell direct to a company, Century Garden Sarawak which is owned by Tedewin Ngumbang and friends.

Workers from this company go direct to small holders and buy the fruits and pay them on the spot. The small holders do not worry about transportation nor do they worry about late payment.
The company will then send the fruits to either SALCRA mill or Tabung Haji which one of them offers better services and facilities.

According to Tedewin, his company is prepared to help Ibans going into the planting of oil palm on small holding basis. – The Broken Shield

Source: www.thebrokenshield.blogspot.com

Wednesday, April 29

Jabu under fire over NCR scheme ~ Malaysiakini

Taken from http://www.malaysiakini.com/news/103229

By Tony Thien Apr 28, 09 12:38pm

A Miri-based Dayak NGO has taken Sarawak's most senior Dayak minister Alfred Jabu to task for 'once again shortchanging the community' through one of the state government's most praised native customary land development schemes’ commonly known as 'konsep baru' or new concept.

It cited the latest incident which involved the Iban communities from Rumah Belili and Rumah Ranggong situated at Ulu Niah, Miri Division.

Borneo Resources Institute Malaysia (Brimas) executive director Mark Bujang said last Thursday, Jabu (right) handed out a total of RM436,708.20 in dividends and bonuses to 226 participants of the Ulu Niah NCR Joint Venture Project.

At first glance, he said, the total amount seems reasonable if the payment of dividends and bonuses are for the year 2008, but upon checking with the participants, it was learnt that this is the first time in 10 years that the JV project has paid out dividends or bonuses.

“If we were to make the assumption that the dividends and bonuses are divided equally among the scheme participants, each participant would receive about RM1,932,” he added.

Divide that by 10 years, he said, each participant would only get RM193 per year. This, he added, is a far cry from the government's promise that the scheme would uplift the socio-economic status of the Dayaks.
Snek Bagat, one of the residents of Rumah Ranggong, said: "I was looking forward to receiving the dividends and bonuses from our investment (in the JV project). But I was shocked to find out that our investment only yielded 50 cents per month after 10 years. Not enough to buy a cup of coffee."
Why the sudden need to do so?
Meanwhile, Bujang questioned the need to hand out dividends and bonuses after 10 years. "Why does the government and the JV company have a sudden interest with the NCR landowners after they have been neglected all these while?"
"Is it because that the community of Rumah Belili and Rumah Ranggong are suing the private investor BLD Resources Sdn. Bhd. for not keeping its end of the bargain?" he asked.
Previously, in 1999, a Memorandum of Understanding (MoU) was signed between BLD Sdn. Bhd (sister company of BLD Resources), Sarawak Land Development Board (SLDB) and the NCR landowners at Ulu Niah, where Rumah Belili and Rumah Ranggong were the participating longhouses, to develop the Ulu Niah NCR land based on the ‘konsep baru’ scheme.
Jabu and the then Sarawak Minister for Housing Celestine Ujang handed out the 10 percent upfront payment worth RM294,990 in 2001.
However, in 2008, a resident of Rumah Ranggong, Changgai Dali was sued by BLD Resources for allegedly trespassing into BLD’s plantation. When Changgai and his longhouse folks disputed this they discovered to their horror that their NCR JV project was cancelled - reason given was the government made a mistake saying the land is NCR.
Commenting on the dividends and bonuses received, Changgai said: "We thank Jabu for handing out the dividends and bonuses to us, but we are not happy with the amount."
"How come after all these years, this is all we get? Jabu not once mentioned the status of our land during the ceremony. When I asked Jabu if he could withdraw the provisional lease of the company, he replied that he does not have the authority," he added.
Problems in other schemes
In another case, Jabu also handed out dividends amounting to RM52 million to 16,480 participants for the year 2008 in another NCR land development scheme managed by another state government agency, the Sarawak Land Consolidation and Rehabilitation Authority (Salcra), where Jabu is also its chairman.
According to an article sourced from a blogsite, Anilnetto.com, Salcra should have netted profits amounting to RM292 million for 2008 taking into account the price of oil palm that year. Jabu announced that another RM22 million had been set aside for loan repayments.
The article went on to say that the net balance after dividends and loan repayments should have amounted to RM218 million, or RM13,240 per participant.
The article questioned Salcra on where the balance of the money went. The article went on to state that even if 50 percent is withheld to allow for reinvestment and replanting, that would still amount to RM109 million or RM6,620 per participant to be accounted for.
In another NCR JV scheme in Suai, Miri Division, the Penans from Kampung Ugos threatened to withdraw from the said scheme launched by Jabu himself in 1998 if the state government agency the Sarawak Land Development Board (SLDB) did not disclose transparently the official documents, records, JV agreements and statement of accounts of the company.

The Penans also complained that they do not know how SLDB arrived at the amount of dividends paid which is exactly RM500,000 and they do not know which private investor company is in the JV. Some of the scheme participants have died not knowing what will happen to their land and their investment.