LIGS contributed to the people’s livelihood for 75 years

22 February 2025

KOTA KINABALU: The establishment of the Sabah Rubber Industry Board (LIGS) in 1950 stands as a testament to the government’s dedication in developing the rubber sector in Sabah, which at that time was one of the primary industries in the state's agricultural landscape.

Since its inception, LIGS has been a key driver in advancing the rubber industry in Sabah through various significant programmes aimed at reducing poverty and empowering the rural economy, particularly for the smallholder rubber farmers who form the backbone of this sector.

In his speech during the Diamond Jubilee Celebration of LIGS, Deputy Chief Minister Datuk Seri Panglima Dr. Jeffrey Kitingan remarked that LIGS is not merely a regulatory body but also a vital catalyst in empowering smallholder rubber farmers and enhancing the industry’s competitiveness.

“Over the past seven decades, LIGS has played a crucial role in transforming the rubber sector in Sabah from a basic industry into a high-value one,” he stated, adding that challenges posed by global price volatility have compelled LIGS to take proactive measures to ensure that smallholder farmers do not rely solely on income from rubber production.

Dr. Jeffrey, who is also the Minister of Agriculture and Fisheries, shared that one of the primary approaches introduced has been to change the landscape and mindset of smallholder rubber farmers, who previously depended entirely on rubber income, by encouraging diversification of income sources.

“The initiative to cultivate MD2 pineapples has emerged as a new source of income for smallholders. These initiatives not only enhance the incomes of smallholders but also ensure the long-term sustainability of Sabah’s agricultural industry.”

He highlighted one of LIGS’s significant successes in supporting smallholders and the rural economy: the People’s Income Project (IPR) — the Agricultural Entrepreneurs Initiative in Kampung Gana, Kota Marudu.

“The mandate provided by the Ministry of Economy has been effectively carried out by LIGS to ensure the success of this project, which can serve as an exemplary model for expansion into other districts as a more stable and profitable alternative income source. This project not only improves the living standards of the rural community but also creates opportunities for agricultural entrepreneurs to further their pursuits in modern agriculture,” he explained.

Projects like this exemplify how LIGS can drive meaningful change for smallholders and contribute to the overall economic development of Sabah, he added.

“LIGS plays a crucial role in the development of smallholders and has made significant contributions to the economy of Sabah through various achievements. I am confident that LIGS will expand its efforts by leading the downstream rubber and rubberwood industries, providing even greater contributions to the economy of Sabah, and enhancing the competitiveness of Sabah's rubber industry on both national and international stages.”

“The state government will continue to support the development of Sabah's rubber industry to ensure its ongoing relevance. I believe that with close cooperation between the state government, federal government, LIGS, and smallholders, the rubber industry in Sabah will continue to thrive and contribute to the prosperity of our state,” he emphasised.

Also present during the event were Datuk Hendrus Anding, Assistant Minister I Ministry of Agriculture, Fisheries and Food Industry, Senator Datuk Edward Linggu, JP, Chairman of Sabah Rubber Industry Board

Datuk Leonard Stephen Poyong, Permanent Secretary in the Ministry of Agriculture, Fisheries and Food Industry, and Sabdil Tanjong, the General Manager of LIGS.