Economy Minister Akmal Nasrullah Mohd Nasir visited the IPR-INTAN Putrajaya Project with Nestle Malaysia on April 17, 2026, showcasing a successful farmer partnership strengthening national food security while creating sustainable livelihoods for B40 communities.
The initiative boosts farmer incomes by hiring them for high-yield chili farming to supply Nestle’s Maggi products, reducing dependency on imports.
Nestle Malaysia confirmed its Maggi Chilli Sauce now uses 100% locally sourced chilies, supported by their long-standing Chilli Club contract farming program established in 1995, reflecting its continued commitment to local sourcing and food system resilience.
The contract farming initiative supports 12 sites across Kelantan, Selangor, Putrajaya and Johor covering 146 acres of land, providing income security, skills development and stable market demand.
Nestle Malaysia chief executive officer Juan Aranols said supporting the livelihoods of local farmers is integral to both the value chain and the nation’s food security agenda.
“Long‑term partnerships with farming communities and government stakeholders, including our collaboration with IPR‑INTAN under the Ministry, reflect our shared responsibility to build a more resilient and self‑sufficient food system while empowering B40 households,” he said.
Farmers participating in the IPR‑INTAN Putrajaya project earn an average monthly income of about RM3,000.
In its fifth cycle (2026), the initiative has produced over 200 tonnes of chillies valued at about RM1.5 million, underscoring the role of structured smallholder farming in supporting B40 communities and national food security objectives.
The Nestle Chilli Club, established in 1995 in Kelantan with Pertubuhan Peladang Kawasan Bukit Awang and local farmers, ensures a sustainable, local supply of chillies for Maggi Chilli Sauce. It has since expanded to Terengganu, Selangor and Johor, strengthening the supply chain.
The company said the programme forms part of its broader Farmer Connect initiatives, which also cover crops such as rice, cocoa and coffee.
Nestle Malaysia’s commitment to food security and economic resilience is anchored in its Farmer Connect programmes, which foster sustainable, locally sourced agricultural supply chains, supporting farmers across its chilli, rice, cocoa and coffee initiatives.
