The ₹500-crore relief package for rubber farmers announced in the Kerala budget has brought little cheer to the sector. The farmers feel that the decision would not have any positive impact, especially for the revival of falling prices.

N Radhakrishnan, Adivsor, Cochin Rubber Merchants Association, said the government had come out with a similar ₹300 crore package for the rubber sector in the last budget, but disbursed only ₹70 crore. During that period, prices was hovering at ₹120 per kg and soon after the announcement of the scheme, it come down to ₹90/kg.

The authorities have not shown any interest in disbursing the money to the beneficiaries, who are bearing the brunt of steep fall in prices, he said.

‘Temporary relief’ “Today’s announcement of the package in the budget will bring only a temporary relief to farmers,” said PC Cyriac, President, Indian Farmers Movement (Infam).

As long as the incentive scheme remains, he said, the market price of rubber will not go up as the industry is aware of the government support to the sector. The permanent solution to arrest the falling prices, he said, is to control the flow of imports for which the Centre has a major role to play.

He also suggested rubber procurement by Central government agencies at ₹150/kg.

However, a spokesperson of the Indian Rubber Dealers Federation said farmers has resumed tapping following the ₹150/kg incentive scheme announced earlier by the government. With the ₹500-crore budget package announced today, he said, there would be further revival in the sector.

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