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1. Executive Summary
·        Objectives *Discuss*

·        carry out scouting study and evaluate the current Brunei agricultural industry

·        acquire the agriculture and agri-food development as Export Market

·        total investment requirement for this program is projected at B$ 1Billion Dollars

·        Phase 1 for attaining One Hundred Percent (100%) Self Sufficiency Levels for Brunei is
estimated at B$162 million with a return of investment pegged at 40%.

·        The second phase is projected to bring in annual export revenue of B$ 463 million with a
return on investment at 77%.

·        employments estimate 7K

·        forecasted to contribute to approximately National Gross Domestic Product (GDP) B$ 10

billion by 2035.

·        projected Return-On-Investment (ROI) of 40% for Phase 1, and 77% for Phase 2.

·        rice production is still at low figure within 8% to 10% SSL (Self Sufficiency Level)

2. INTRODUCTION

·        Negara Brunei Darussalam

·        The climate of Brunei dropping into the mid-70s F (about 23 °C) and rising to about 90 °F
(32 °C) on a daily basis

·        About three-fifths of the country is Brunei’s economy is almost totally dependent on the
exploitation of its vast reserves of petroleum and natural gas.

·        self-sufficient in the production of poultry and eggs and was approaching self-sufficiency in
vegetables/ locally grown rice still fell far short of domestic need, production had eventually
increased markedly (SS in eggs, low in rice production)

·        KBBB has taken proactive initiatives as a sequence of reduction of food import dependency
by proposing an Integrated Agriculture, Livestock and Aquaculture development program
·        Quranic Concept with clear Quranic principles

·        The program will be developed to meet four important elements:

1.      Strict adherence and obligation to Halalan Thayibban principles

2.      Avoidance of Syubhah (status unsure or doubtful) from manufacturing and

handling processes

3.      Demonstration of compliance towards cleanliness and

4.       Establishment of good systematic Halalan Thayibban management system and

processes

·        The significant impact of this Project Development

·        (3) ultimate national goals firstly

·        The identification of thirteen (13) strategies to assist in achieving National Vision W2035

·        In 2020, the total population of all ASEAN states amounted to an estimated 661.5 million
inhabitants.

·        Unemployment Rate in Brunei is expected to reach 9.60 percent by the end of 2021,
according to Trading Economics global macro models and analysts’ expectations.

·        A total job creation for the local for Phase 1 and Phase 2 estimate 7000.

3: Current Brunei Food Security

·        Brunei still has huge gaps in achieving towards 100% Food Self Sufficient.

·        The first strategy - ensure that local producers of rice, vegetables, fruits, poultry, beef and
mutton, fisherman, and fish and prawn breeders continue to expand their production

·        The second strategy - to ensure that local entrepreneurs continue to import products such as
chilies, tomatoes, pumpkin, radish, beans, capsicum, lemon and avocados that cannot be grown
locally or that could be produced locally but are still insufficient.

·        Brunei's food industry roadmap has identified key challenges in agriculture, such as limited
basic infrastructure, lack of financial resources, technologically and in research and
development (R&D)

·        more holistic and sustainable agricultural development framework to meet the growing
needs of Brunei’s population
·        curtail heavy food importations which contributed to the sharp decrease of Brunei’s current
account to GDP.

·        the Research and Development (R&D) and use of latest technology’

·        The latest and most suitable fertilizer for paddy from Ammonium sulphate implementing
biofortification

4: Proposed Key Development Strategies

1.      Green Technologies and Environmentally Friendly Business Principles

2. Halalan Thayibban Rice Production

3. Highly Diversified Halalan Thaiybban Aquaculture Production.

4. Institutional Policy for Halalan Thayibban Quality Management & Research

Development (R & D) Approach to High Value Fruits include Fruits cited in AlQuran and
Vegetable Production.

5. Integrated Halalan Thayibban Poultry Production and Hub Meat Production to ensure
self-sufficiency by meeting the current production deficit on poultry meat;

6. Regenerative Halalan Thayibban Livestock Farming Model Livestock (Goat and

Cattle) raising, to curb its import dependency on these varieties of meat.

7. New venture of Corn Plantation and its byproducts. (Example Cooking Oil, Chicken
Feed and Corn Flour etc).

8. Develop an incentive Sustainable Development program on Local Farming Product for

Export Market and obtain Agricultural International Standard Certification of
Organization (ISO).

·        ‘Whole Government Approach’

·        ‘Whole of Nation Approach’

5. Economic Drive and Challenging

·        In 2020, the share of agriculture in Brunei Darussalam's gross domestic product was 1.22
percent, industry contributed approximately 59.13 percent and the services sector contributed
about 41.45 percent.

·        Share of economic sectors in gross domestic product (GDP) from 2010 to 2020. Agriculture
and Agri-food are the major source of the primary resources and agri-food processing based on
agriculture sectors.

·        Create the investment opportunities and local businesses in the agriculture and agri food
sectors which will ultimately contribute to the creation of local employment.

·        Market access [for farmers] is a real problem in Brunei

·        KBBB will develop an intensive Sustainable Development program for Local Farming
Product to support the Export Market.

·        Conforming with one of the Eight Component Key Strategies particularly complying with
International Standard of Organization (ISO) and Global G.A.P.

·        allow the imports of raw materials

·        a new paradigm is expected

·        The health costs that are faced upstream and along the supply chain are a safety issue for the
consumer, and its absence would generate costs for individuals and for the system as a whole (in
this case the public health)

·        agricultural and food enterprises are involved in processes of transformation of the

production system

·        Environmental Aspects and Impacts

·        The mitigation of CH4 emission

·        Controlled irrigation

·        SRI (System of Rice Intensification) Production System Nitrogen

·        ‘Drip Irrigation’

·        The use of fertigation and hydroponic

·        growth in agriculture industry is said to be 200% more effective in increasing prosperity and
income than any other industries
6. Brunei Halalan Thayibban Agricultural and Agri Food
Products
·        Negara Brunei Darussalam owns a comprehensive standard and law to fulfil the needs of the
local and international halal food industry.

·        Brunei Halalan Thayibban standards is incomparable because it employs 100% Islamic

operational practices, employing personnel who follow 100% Islamic customs and traditions,
and uses 100% Halal inputs to production and processing

6.1. Value Chain Model for Rice Production

·        ASEAN rice supply in 2020/21 is forecasted at 152.34 million tons, up 0.07 million tons from
the previous year although stock from the previous year is low and the aggregate import
decrease. Meanwhile the rice export of ASEAN is expected to shrink by 7.65 percent to 16.47
million tons from last year.

·        Cultivate Rice through Drip Irrigation

·        Drip irrigation reduces water use through a precise water supply to the crop. So, for the one
kilo of rice that you used to grow in 5m3 of water conventionally, you now need only 1.5-1.6 m3.
On a large scale, you achieve a higher crop yield in lesser water.

·        The advantages of Drip Irrigation is that in paddy farming, rice roots remain submerged.
They consume heavy metals and increase the arsenic in the crop, thereby reducing the crop's
market value.

·        Options to accelerate will have to be validated and assessed on the ground through detailed
feasibility studies to ensure that production is tailored to meet Brunei’s demand and to fill in the
92% gap in attaining yield target of 9 metric ton per year.

6.2 Cash Crop for Corn Plantation

·        Vision for KBBB diversifies Corn Plantation as a Cash Crop as animal feeds and meal, high-
oil feed corn for cattle, poultry and fish.

·        maize export from ASEAN countries is projected to shrink by 66.54 percent to 1.02 million
tons in 2021, whereas the import grows by 9.01 percent, resulting in the rise of ending stock by
38.07 percent.
6.3 Integrated Hub for Poultry Industry

·        The creation of a high tech Halalan Thayibban Hub for its poultry production will generate
surplus for export.

·        The target broiler production output 750 mt per year and 11 Kilo Tons per year of layer for
Self Sufficiency. To accommodate Export Market targeting at 1.5 M population, broilers and
layers target output per year at 45 Kt and 530 Kt respectively.

6.4 Regenerative Livestock Farming

·        The green agriculture for its livestock production can be pursued using a hybrid of Halalan
Thayibban and Regenerative Farming Model.

·        The application of the Regenerative Farming Model may be further explored in technical
detail in the feasibility study for its intended integration in the Halalan Thayibban agricultural
and livestock production processing cycle of Brunei.

6.5 Aquaculture Production with Multi Specie Fin Fish and Prawns

·        Brunei Darussalam has a fairly extensive fishing area, where Brunei Darussalam is heavily
dependent on fish imports, exporting only about B$ 1.63 million in seafood products and
importing B$73.6 million yet fisheries, along with agriculture and forestry, only contribute 1.2%
to the Brunei’s total GDP (2021).

·        In line with the national economic policy to diversify the country’s economy away from oil
and gas, offshore fishing is considered to have great future potential for expansion. Most of the
fishing grounds closer to land in Brunei are close to the mangrove swamps of the Brunei
estuaries where the abundant nutrients make it an ideal area for fish to reproduce.

6.6. High Value Vegetables with Seasonal Fruit Production

·        A total of 1k hectare of land will utilize for Self Sufficiency and 2K hectares for Export Market
for High Value Vegetables with Seasonal Fruits

·        Halalan Thayibban Fruit Juices may include banana, pineapple, sugarcane and coconut,
whenever applicable as well as other selected vegetable crops.

·        KBBB would like to extend the production program on the selected fruits that are mentioned
in the Holy Quran such as Dates, Olive, Grapes, Pomegranate and Fig regarded as High Value
Fruits.
7. Summary of Project Cost

Project costs are divided into two (2) Program Phases with four (4) modules per phase namely:

1.      Rice Production

2.      Livestock that is composed of Poultry, Goat and Cattle Production

3.      Aquaculture and

4.      High Value Vegetables which may include but is not limited to Broccoli, Cauliflower,
Lettuce, Onions and Garlic which will be integrated with High Value Fruits Production.

·        Total required project funding is set at B$ 1Billion. This is to lay down the basic ground
works and fundamental infrastructure needed for the production and initial operations of the
two (2) phases with four (4) modules of agricultural, livestock and aquaculture production.

·        The project is divided into two (2) Phases and it will be developed within the duration of 5
years by streamlining our Project Planning Process to properly use the SMART criteria planning,
aligned with the 11th National Development Plan Strategies Based on six Thrusts.

·        Please note that for the Self Sufficiency production, we are targeting the local population of
500K and 1.5 M population for Export Sale respectively.

·        For the export sales, we are targeting Rice Production at 1.5M population since this product
is a staple food and known to be highly consumed among ASEAN regions. Therefore, the net
export revenue contribution of Phase 2 is projected at B$ $462,935,200 with a Return-On-
Investment pegged at 77%

·        Job available is expected for the Project Development Phase 1 and Phase 2 estimate 7K
occupied from the position of managerial to unskilled workforce. Knowledge, Skill and
Technology knowhow transfer will be one of the main focus areas for Human Resource
Development.

8.    Conclusions
·        Investing in Integrated Halalan Thayibban Agricultural and Agri Food as proposed by KBBB
as a whole will be successful if both proposed project phases are economically sustained and
commercially scheduled at optimum production levels, using cross-cutting technologies
facilitated with fully competent and professional human resources, within industry payback
period is projected at 5 to 7 years.
·        If both proposed project phases are economically sustained and commercially scheduled at
optimum production levels, using cross-cutting technologies facilitated with fully competent and
professional human resources, the industry payback period is projected at 5 to 7 years. The
agriculture sector is forecasted to contribute to approximately National Gross Domestic Product
(GDP) B$ 10 billion by 2035.