Govt increases support for rubber smallholders to address challenges

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PUTRAJAYA: The government is committed to providing assistance and support to rubber smallholders.

The Ministry of Plantation and Commodities, along with related agencies, has enhanced the proposed increase in the Activation Price Level of the Rubber Production Incentive and other aid for smallholders.

Additionally, they have addressed the challenges faced by the rubber sector.

To facilitate transactions for small-scale rubber producers, the Malaysian Rubber Board (LGM) now requires them to obtain a free Rubber Transaction Authority Permit (PAT-G) for any rubber transaction activity.

This permit is also a prerequisite for accessing incentives and assistance. To further streamline transactions, the use of the RRIMNiaga app by rubber licence holders is mandated, ensuring transparency and maintaining accurate transaction records.

The distribution of aid has been simplified, enabling automatic processes and direct payment incentives to be channelled into the smallholder’s bank account, making it easier for them to receive support.

The implementation of the Rubber Production Incentive (IPG) began in September 2015 and continued until June 2023, with the government investing RM457,526,196 into the programme.

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In addition to the IPG, the ministry has introduced various projects and incentives to help small businesses improve their income. These initiatives include the Latex Production Incentive (IPL), the National Rubber Industry Transformation Project (TARGET), and the My Rubber Online (MyRol) programme.

The government remains proactive in addressing the drop in rubber prices by increasing incentives and assistance for smallholders.

They urge all smallholders to promptly register with LGM through PAT-G to ensure they receive government incentives and support for their rubber farming activities.

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