Government Increases Financial Aid for Rubber Sector by 23% to Rs 708.69 crore

The government has announced an increase in funding to promote the rubber business. Under the ‘Sustainable & Inclusive Development of Natural Rubber Sector’, the financial aid has been raised by 23%, soaring from Rs 576.41 crore to Rs 708.69 crore for the upcoming two financial years, spanning 2024-25 and 2025-26.

Expansion of Rubber Plantations and Support for Growers

To further support the rubber industry, the government plans to initiate rubber planting activities in both traditional and non-traditional areas. With an outlay of Rs 43.50 crore, rubber plantation will be undertaken across 12,000 hectares in traditional regions during the aforementioned financial years. Additionally, the rate of assistance for growers has been increased to Rs. 40,000 per hectare, up from the previous Rs 25,000 per hectare. This step aims to offset the rising production costs while providing growers with added incentives for rubber cultivation. Moreover, 3,752 hectares will be brought under rubber cultivation in non-traditional regions, with an outlay of Rs 18.76 crore during the same period.

Initiatives to Enhance Productivity

The government's scheme encompasses various measures to enhance the productivity of rubber cultivation. Support will be provided for rain guarding in 67,000 hectares and plant protection in 22,000 hectares, spread across traditional, non-traditional, and North Eastern regions. An allocation of Rs 35.60 crore is designated for this purpose over the next two years. Furthermore, the scheme emphasizes the formation of Rubber Producers Societies (RPS) to empower rubber growers. Assistance will be extended for the establishment of around 250 new RPSs, with increased financial support aimed at promoting farmer education, capacity building activities, and overall stakeholder benefits.

Investment in Research, Digitalization, and Training Initiatives

In a bid to foster innovation and research in the rubber sector, an outlay of Rs 29.00 crore has been earmarked for the next two years. This investment will focus on developing rubber clones suited to various agro-climatic regions, thereby expanding rubber cultivation to meet the growing demand. Additionally, efforts to enhance service delivery through digitization will be intensified, with the Rubber Board allocating Rs 8.91 crore for overall digitization efforts. The establishment of three nodal centers of the National Institute of Rubber Training (NIRT) in the North Eastern region is also proposed, with an outlay of Rs 5.25 crore. These centers will primarily promote MSMEs by providing training in product manufacture and quality control.

Welfare Measures for Rubber Workers

The government's initiatives also extend to improving the quality of life for rubber workers. Various welfare measures, including educational stipends, women empowerment schemes, assistance for house construction, group life insurance, personal accident insurance, and pension schemes, have been allocated Rs 7.02 crore for the next two years. These measures aim to retain existing workers and attract more individuals, particularly women, to the rubber tapping profession.

The government's augmented support for the rubber sector underscores its commitment to fostering sustainable growth, enhancing productivity, and improving the livelihoods of stakeholders within the industry.