Local company in talks to takeover NFC, says minister
INTERVIEW | A local company has expressed interest in buying over and reviving the troubled National Feedlot Corporation (NFC) project that was started under the previous administration, said Agriculture and Agro-based Industry Minister Salahuddin Ayub.
He said a series of negotiations had taken place with the company, the latest of which was just last week...
INTERVIEW | A local company has expressed interest in buying over and reviving the troubled National Feedlot Corporation (NFC) project that was started under the previous administration, said Agriculture and Agro-based Industry Minister Salahuddin Ayub.
He said a series of negotiations had taken place with the company, the latest of which was just last week.
However, Salahuddin said NFC would only be sold if the company agrees to service the RM250 million loan provided to NFC by the Finance Ministry (MOF).
“Now there is a company that wants to takeover NFC. The ministry is facilitating the matter and we looked into the relevant legal terms.
“However, I was informed that one of the terms of the deal is that the company must be willing to repay the loan provided by the MOF before this.
“If the company taking over NFC can repay the loan to MOF, I think that’s quite good.
“Surely with an investment so big, I’m confident that the new company would be able to rebuild the ruminant project,” he said.
He was speaking to reporters in an interview at Menara Lembaga Pertubuhan Pelandang in Kuala Lumpur today.
Salahuddin said the ministry is also prepared to facilitate the transfer of NFC land in Negeri Sembilan to the company.
“We will help if MOA needs to advise the state government, but the right to give (the land) is the Negeri Sembilan government’s prerogative,” he said, adding that he wants the NFC takeover to be settled as soon as possible.
The NFC project was intended to develop a planned, integrated, and sustainable beef industry to increase local beef production by 30 percent and reduce reliance on imported beef.
However, an audit found that the project was not meeting its targets, while NFC chief executive Mohamad Salleh Ismail was investigated and charged for alleged criminal breach of trust amounting to RM49.7 million.
He was subsequently acquitted of all charges on Nov 25, 2015.
In June last year, Salahuddin had said his ministry was taking steps to rebrand and revive the NFC project in wake of the controversy.
He said the rebranding needs to be done immediately in order to reach the government’s goal of boosting local beef production and reducing dependency on imported beef.
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