Union Minister of State for Tourism and IT K.J. Alphons has said the key to overcome the present crisis in the rubber plantation sector lay in finding strategies to cut down on the cost of production and increase natural rubber consumption.
Speaking to the stakeholders at a brainstorming session organised by the Rubber Board at the Rubber Research Institute of India at Puthuppally, near here, on Saturday, Mr. Alphons pointed out that most of the remedial demands being made were unrealistic and impractical. The demands being made, like imposing dumping duty or putting an end to imports, were unrealistic under the various trade agreements entered into. One of the ways to reduce cost of production was exploring the possibility of extending the Mahatma Gandhi National Rural Employment Guarantee Scheme to (MGNREGS) rubber plantation related works. He asked the Rubber Board to send a report on the issue to him so that he could take it up with the authorities concerned.
Meanwhile, former Rubber Board chairman P.C. Cyriac, said the Central government could impose a ‘safeguard duty’ on rubber imports as per the provisions of international trade agreements. He alleged that a demand for imposition of the safeguard duty had been hanging fire following technical reasons.
'Rubber earnings crucial'
Mr. Alphons pointed out that imposition of the safeguard duty would result in a steep increase in the import of tyre. According to him, he too came from a rubber growing area of the State and was convinced that earnings from the rubber plantations were crucial for the economic security of the State.
As part of increasing the consumption of natural rubber, the Surface Transport Ministry would be approached seeking use of natural rubber in the road rubberisation initiative while developing new highway networks.
Another suggestion came up during the interaction was that rubberwood and rubberwood products and the Rubber Producer Societies (RPS) be exempted from GST registration. Another major demand, that the Central government should come up with a clear national rubber policy, would be taken up with the Ministry of Commerce, he said.
Demands like ploughing back a share of the rubber import duty to the rubber plantation sector, promotion for farm tourism, increase in subsidy for rubber replanting, and establishment of welfare board for tappers, were also raised during the session.
Rubber Board executive director A. Ajith Kumar, secretary N. Rajagopal, and board members were present during the interaction in which selected farmers, representatives of the RPS and other organisations functioning in the Natural Rubber sector participated.
