Aiming to curb cheap imports and develop self-reliance in the field of natural rubber production, the Union Government has increased the outlay by 23% for the development of the natural rubber sector for the next two financial years.
The outlay has been increased from ₹576 crores to ₹708 crores for the Financial Years (FYs) 2024-25 & 2025-26 and intends to improve the quality as well as prices for locally produced rubber under the natural rubber sector scheme.
As per the scheme, the Rubber Board provides subsidies to growers for new rubber plantations as well as to replant senile plantations. The allocated funds aim to support the plantation of rubber, generation of planting material, rubber research and training, formation of rubber producers’ societies, and productivity enhancement.
The plantation of rubber will be undertaken in 12,000 hectares in the traditional areas of Karnataka, Kerala, and Tamil Nadu, where the rate of assistance has been enhanced from ₹25,000 per hectare to ₹40,000 per hectare to help cover the increased cost of production and ensure more incentives to growers.
Additionally, 3,752 hectares will be brought under rubber cultivation in FY 2024-25 and FY 25-26 in non-traditional areas of the North-East, Odisha, and Andhra Pradesh.
With over 13 lakh rubber growers in India, Kerala accounted for a major chunk of production at 8.39 lakh tonnes in FY 2022-23. However, to meet India’s demand of 13.5 lakh tonnes in FY 2022-23, the consumption shortfall was met by imports from Southeast Asian countries like Vietnam and Malaysia.
