KUALA LUMPUR – The National Farmers Organization (NAFAS) has reached a significant financial milestone, recording its highest-ever profits for two consecutive years. The organization reported a net profit of RM227 million in 2024 and RM201 million in 2025, marking a successful turnaround from previous fiscal challenges.
This recovery follows a period of substantial losses, where the agency recorded deficits of RM421 million in 2022 and RM236 million in 2023. In a statement released today, NAFAS described this achievement as a pivotal turning point since its establishment in 1972, attributing the success to rigorous restructuring efforts initiated in 2023.
The financial rebound was driven by several strategic interventions, including the closure of loss-making subsidiaries that had accumulated nearly RM200 million in debt. This move alone generated annual savings of approximately RM5 million, allowing the organization to refocus its resources on high-potential sectors such as agricultural technology and agronomic services.
Furthermore, NAFAS secured a massive RM2.46 billion contract for the supply of agricultural inputs from 2025 to 2028. This deal, obtained through open tenders at the ministry and agency levels, is expected to contribute nearly RM1 billion to the group’s total revenue. The organization also took aggressive measures to recover over RM500 million in outstanding payments, significantly improving its cash flow.
Looking ahead, the agency has introduced the “NAFAS 2.0 Reform Plan (2026-2030).” The roadmap, themed “Transformation, Empowerment, and Competitiveness,” was recently presented to the Minister of Agriculture and Food Security, Datuk Seri Mohamad Sabu.
The five-year plan focuses on five strategic pillars:
- Enhancing organizational leadership and governance.
- Strengthening legal compliance.
- Improving procurement management.
- Ensuring financial sustainability and business modeling.
- Restoring public trust through transparent communication strategies.
With its strengthened financial position, NAFAS is now better equipped to distribute dividends to State Farmers Organizations and ensure the efficient supply of fertilizers to nearly 200,000 farmers nationwide, supporting Malaysia’s broader food security goals.
