Press Information Bureau

Government of India

Ministry of Commerce & Industry

05-September-2012 15:13 IST

Growth of Rubber Cultivation

Rubber cultivated area increased by 3.6% in 2011-12 over the previous year. The annual growth rate of rubber cultivated area in 2011-12 is comparable to the growth rates recorded in the two previous years at 3.6% and 3.7% respectively. Decision on planting rubber is mainly influenced by rubber prices.

During 11th Five Year Plan, subsidy for new planting and replanting of Rubber was 20% of development cost of raising rubber plantations in traditional regions (Kerala and Tamil Nadu) and 25% of the development cost in non-traditional regions including North East. However, the Twelfth Plan proposals have not yet been finalised.

The rate of subsidy for new planting and replanting of rubber in traditional regions during 11th Plan was Rs.19,500 per ha. The rate of subsidy of new planting and replanting of rubber in non-traditional regions including North East during 11th Plan was Rs.22,000 per ha.

As per the Rubber Board studies, the estimates of development/cultivation cost per ha of rubber plantations at 2011-12 prices in traditional, non-traditional other than North East and North East regions are Rs.3,13,000, Rs.2,30,000 and Rs.2,14,500 per ha respectively.

This information was given by the Minister of State of Commerce and Industry, Shri Jyotiraditya M. Scindia in a written reply in the Rajya Sabha today.

DS/GK

Rubber cultivation subsidy policy influences planting decisions and ties regional subsidy rates to development costs per hectare. Rubber area rose 3.6% in 2011-12 and planting is driven by rubber prices. Under the Eleventh Five Year Plan a targeted subsidy for new planting and replanting was provided as a percentage of development cost-lower for traditional regions and higher for non traditional regions including the North East-with fixed per hectare rates applied; development cost estimates per hectare at 2011-12 prices were published for traditional, non traditional (other than North East), and North East regions. Twelfth Plan proposals were not finalised.