Rubber growers will receive subsidy from the Indonesian government this March 2019, as per President Joko Widodo’s directives, according to Governor Herman Deru of South Sumatra. The subsidy aims to help the rubber growers to improve the quality and price of the product in the form of cash assistance and production facilities.
To, the government will subsidise rubber growers in early March. Governor Deru said during a meeting held recently in Palembang that the government pays high attention to the price of rubber at farmer’s level. He coordinated with the Agriculture Ministry and proposed cash subsidy to increase productivity and reduce production cost.
In addition, he said that the Public Works and Housing Ministry bought rubber, which will be later added to asphalt, from Betung farmers amounting to IDR 5,500 per kilogramme.
Several ministers including Agriculture Minister Amran Sulaiman, Public Works and Housing Minister Mohammad Basoki, Moenarji Soedargo Hadimoeljono, Chief of the Indonesian Rubber Producers Association (Gapkindo) Moenarji Soedargo, Gapkindo Deputy Chief Alex K. Eddy sat at the residence of Coordinating Minister for Maritime Affairs Luhut Binsar Panjaitan to polish up the plan.