KOCHI: The United Planters’ Association of South India (UPASI) said that rubber production in the country has become uneconomical owing to low prices and high cost of production.
It added that India has shown the maximum negative growth in production of minus 21 per among other rubber producing countries.
According to UPASI President N Dharmaraj, rubber production for 2015-16 is expected to be below 600,000 tonne since large areas are being abandoned due to unremunerative prices. India has produced 6.45 lakh tonne of rubber in 2014-15.
“In 2014-15, import was to the tune of 76 per cent of production and 43 per cent of consumption. At the end of October 2015, the stock with the growers were only 66,000 tonne, this is an insignificant quantity if one consider that there are 12 lakh growers involved in growing natural rubber. Whereas those with dealers, processors and manufacturers were 1,62,000 tonne. It is high-time that the government should step in to introduce necessary safeguards to limit rubber imports. Dwindling production will not only affect the income of the growers but also lead to higher imports, draining the exchequer of the valuable foreign exchange,” said Dharmaraj.
UPASI understands the need for imports to bridge the gap between consumption and production, but unbridled imports beyond this gap are clearly causing harm to the domestic growing industry, the association said.
DWINDLING PRODUCTION
■ Rubber production for 2015-16 is expected to be below 600,000 tonne as large areas are being abandoned due to unremunerative prices.
■ Total rubber production in 2014-15 was at 6.45 lakh tonne
■ In 2014-15, import was to the tune of 76% of production and 43% of consumption
■ Dwindling production will not only affect income of the growers but also lead to higher imports
“The recommendations of the department related Parliamentary Standing Committee on Commerce on Rubber Industry in India had clearly mentioned that uncontrolled imports are causing harm to the domestic growing industry. The industry strongly suggest that the recommendation of the Parliamentary Standing Committee be implemented in total since they have considered the views and ascertained facts from all stakeholders,” said UPASI.
