THE government in the state of Sabah, East Malaysia, has given out a RM30 million rubber production incentive to some 23,378 rubber smallholders, rubber settlement scheme settlers and participants of Rubber Community Plantation in Bengkoka, Pitas. The incentive aims to equal the rubber prices offered in West Malaysia, which the local farmers could also enjoy as well.
The rubber price differences are due to various factors such as extra costs in transportation, handling, processing and logistics. The payment, which will be made in cash, is based on dry rubber content and the types of rubber produced. Smallholders are also encouraged to employ good agricultural practices through the use of fertilisers and to increase output to 1,800 kg/ha from the current 1,600 kg/ha. (PRA)
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