Data story · Baling district

Baling works hard. Why is it still poor?

About one in 7 Baling households lives below the poverty line — the highest rate in Kedah. Yet almost everyone who wants a job has one. Baling's problem isn't a lack of work; it's low-paid work.

1. What the data shows

  • Absolute poverty is 14.7% (2024), against 8.4% for Kedah. Baling ranks #35 highest of 162 districts in Malaysia.
  • Median household income fell from RM3,583 (2019) to RM3,367 (2024) — 6% lower, before accounting for rising prices. Over the same years Kedah's median rose 13%.
  • Yet unemployment is only 1.8% (2024), and the number of employed residents rose from 60.8k (2020) to 67.0k.
  • Baling's economy leans on farming (26% of district GDP, more than twice the Kedah average) — much of it smallholder rubber. Manufacturing is only 15%, against 30% for Kedah.
  • Between 2015 and 2019, Baling's GDP grew 2.5% a year against 4.3% for Kedah. Shift-share analysis puts most of the gap on local performance (-5.4 points), not just industry mix (-2.7).

Median household income Official

RM a month, current prices

  • Baling
  • Kedah
Median income, Baling and KedahRM0RM2,000RM4,000RM6,000201920222024RM3,367RM4,895

Source: DOSM, Household Income & Expenditure Survey 2019, 2022, 2024.

Absolute poverty by district, 2024 Official

% of households. Vertical tick = Kedah.

Baling14.7%
Kuala Muda11.8%
Sik8.7%
Kulim8.5%
Padang Terap8.0%
Yan7.4%
Pendang7.3%
Pokok Sena7.2%
Langkawi6.0%
Bandar Baharu5.8%
Kota Setar5.5%
Kubang Pasu4.0%

Source: DOSM, Poverty by Administrative District.

The link between rubber prices and hardship in Baling is old — it sparked the Baling demonstrations of 1974. Five decades on, the district still depends on a commodity whose price is set far beyond its residents' control.

2. Three options the data supports

These are options to discuss, not prescriptions. Each comes with its evidence and what we don't yet know.

A. Connect Baling workers to better-paid jobs next door

Baling borders Kulim and Kuala Muda — two of Kedah's three largest economies. Kulim produces RM31,560 of GDP per resident against RM10,700 in Baling. Kulim Hi-Tech Park (KHTP) employed about 70,000 people in 2022 and the state expects 150,000 by 2035; in 2024 the federal government set up a permanent secretariat to tackle its shortage of skilled workers.

Steps worth considering: TVET training pathways in Baling designed with KHTP employers; commuter transport for factory shifts; and skills recognition for existing workers.

Worth knowing: If Baling residents commute to Kulim, the GDP is counted in Kulim — but the wages come home to Baling households. Poverty (measured where people live) can fall even if Baling's own GDP doesn't move. Either way, Kedah's GDP grows.

Unknown: how many Baling residents already commute, and which skills KHTP employers need most.

B. Earn more from rubber and fruit

Kedah has 47,855 registered rubber transaction permit (PAT-G) holders working more than 59,000 hectares of smallholder rubber (Ministry of Plantation and Commodities, September 2026). Kedah Rubber City in Padang Terap is the country's first dedicated rubber industrial park, targeting 14,500 jobs over 15 years. Its largest investment, a RM2.6 billion tyre plant, is due to start operating in 2027.

Steps worth considering: supply agreements between Baling smallholder cooperatives and Kedah Rubber City factories; higher latex grades for better prices; and high-value intercropping. 2017 crop data shows rambutan and durian among Baling's main fruit crops — a base for processing and marketing.

Unknown: whether Kedah Rubber City factories plan to buy local rubber (the investment announcements don't say), and what Baling smallholders actually earn.

C. Build a stronger local services economy

Services are already about 57% of Baling's GDP, but local services depend on residents' spending, which low incomes hold back. Baling has under-used assets: Gunung Baling and the Gunung Pulai caves, the history of the 1955 Baling Talks, and a border with Thailand.

Weaker evidence: we found no visitor data for Baling. This option is smaller and longer-term than A and B.

3. How big is the gap?

To reach the Kedah median, Baling's median household needs another RM1,528 a month (45% more). It's a big gap, and it has widened: in 2019 it was RM742.

Progress markers to watch in DOSM's next income survey: Baling's poverty falling below the Kedah average; median income growing faster than Kedah's; and — once Census data arrives — a rising share of Baling workers in manufacturing.

4. What we need to know more

  • Jobs by industry and occupation for Baling (Census 2020) — we are requesting this from DOSM.
  • Commuting flows between Baling, Kulim and Kuala Muda.
  • Rubber smallholder incomes by district (RISDA / Malaysian Rubber Board).
Note: our farm-jobs estimate for Baling (~11k) is probably too low, because the model assumes each farm worker produces Kedah's average output; smallholder rubber tappers usually produce less. Census data will correct this.

Sources

See Baling's full profile →