KOTTAYAM: With the procedures for setting up a `300 crore price stabilisation fund for the procurement of rubber, announced in the State Budget by Finance Minister K M Mani, in its final stage, rubber farmers in the state are curious of the prospect of yet another rescue package from the State Government.
Even as Chief Minister Oommen Chandy has called for a meeting of rubber farmers on Wednesday before finalising the package, there are mixed feelings among farmers over the way in which the package is going to be implemented.
As per the reports, it won’t be a procurement initiative; instead, the Government will directly give income support for the farmers, by fixing a support price for natural rubber with grade four and five as `150 per kg, and the difference between the support price and the daily reference price approved by the Rubber Board will be credited to the bank account of the farmer.
This will be on the basis of the sales bills duly certified by the field officer of the Rubber Board. In the meantime, citing the failure of the previous attempt of the government, in assistance with tyre companies and dealers, to procure natural rubber from domestic market at 25% rate higher than the International (Bangkok) price, experts point fingers towards loopholes in the new initiative. “With the field officer unable to check entire transactions in the dealerships, ensuring physical transaction will be a difficult matter and chances are high for forging false bills to gain the benefits. Either the government agencies will be entrusted to procure rubber or strict monitoring system, should be brought in place to avoid malpractices,” said Pius Scaria Pottenkulam, a plater and a dealer. Even though, the farmers and experts wholeheartedly accept the initiative, which is expected to give solace to the farmers, who are in severe financial crisis owing to the fall in price, such short-lived efforts are not going to make any difference in the market price of rubber. “Apart from price fall, the dip in revenue should also be addressed, for which price as well as productivity must be enhanced. Instead of impromptu measures, long term initiatives like crop insurance should also be implemented,” said Tharian George, joint director RRII.
According to Suresh Koshy, president of the National Federation of Rubber Producers’ Societies (NFRPS), the government should ensure the involvement of tyre companies in the process and procurement should be made through government agencies like RPS, Rubber Mark or other organisations to make sure that intermediaries do not go away with the government funds.
