KOCHI(Commodity Online): Rubber is losing its charm in the south Indian state Kerala as the sale of rubber saplings are showing a declining trend. Private rubber nurseries have reported 30-50% decline in sales.
Upset over the falling price scenario prevailing for over a year, farmers have started looking for other crops which give better profits. Growers in Northern districts have already shifted their focus to coconut, arecanut, and pepper.
Kerala accounts for more than 90 per cent of the natural rubber produced in India. Replanting is on a decline. Large plantations have evinced no interest in replanting. Rubber prices are not likely to see a rebound in the next two-to-three years because of excess supply in the global market.
In Kerala, Rubber prices are languishing at five-year lows of Rs 121-Rs 122 per kg prompting many farmers in the state to leave tapping. Kerala Government has increased the support price for to Rs.5 a kg from Rs 2 per kg to procure more produce from the growers.
India Rubber Board has recently said they are planning to explore th ecountry’s North east states as there is no scope for further growth in Kerala.
North-East state Tripura is the second largest rubber producing country after Kerala where 67,730 hectares of land are under rubber cultivation with an annual turnover of Rs 476 crore and the entire North-East including Tripura, Assam, Nagaland and Meghalaya produce 46,000 tonnes of rubber annually covering an area of about 103,500 hectares of land.
– Commodity Online
