SIK: The Malaysian Rubber Board (MRB) has inked a memorandum of understanding (MoU) with the Malaysia Rubber Development Corp Bhd (Mardec) to explore a new and more systematic rubber smallholders development model which is expected to help boost the smallholders’ incomes.
Plantation Industries and Commodities Minister Datuk Zuraida Kamaruddin (pix) said the year-long collaboration will ensure that rubber smallholders can enjoy the Latex Production Incentive (IPL), become more productive and have a bigger stake in the upstream rubber industry that would give them commensurate returns.
“The MoU aims to ensure that the rubber industry remains sustainable for a long time. Currently, 40% of rubber smallholders are not active so we are losing out in terms of production,” she said.
She said this to reporters after officiating the Keluarga Malaysia Agricommodity Roadshow programme involving rubber smallholders in the northern region here on Oct 5, which also saw the signing of the MoU between MRB and Mardec.
The collaboration is expected to produce a more effective smallholder development model which will be implemented as a pilot project in the northern region before being expanded to other states.
“It will be implemented as a pilot project in the northern region because Kedah is the nation’s biggest rubber producer,” the minister said.
Zuraida is optimistic that better management of rubber plantations will boost smallholders’ incomes by increasing yields and producing more downstream rubber products for exports.
“I believe that by improving the management (of the rubber plantations), our rubber yield will increase and provide sufficient materials to produce more upstream products which can then be exported while allowing us to control rubber prices,“ she added. – Bernama
