Treat natural rubber as farm product, fix MSP: Dinesh Gundu Rao to Centre

Dinesh Gundu Rao, the in-charge Minister of Dakshina Kannada, connected December 2 wrote to Piyush Goyal, the Union Minister for Commerce and Industry, requesting that contiguous steps beryllium taken to adhd earthy rubber tothe database of mandated cultivation crops and that minimum enactment terms (MSP) oregon Fair and Remunerative Price (FRP) beryllium fixed.

Mr. Rao said successful the missive that Ramnath Thakur, Union Minister of State for Agriculture and Farmers’ Welfare replied successful the Lok Sabha connected July 30, 2024, that earthy rubber cannot beryllium treated arsenic an cultivation merchandise since it is exclusively utilized arsenic a earthy worldly for concern purposes. This has resulted successful farmers being babelike lone connected the marketplace and immoderate flimsy fluctuations effect successful sedate adverse fiscal effects and distress to rubber growers.

He said that earthy rubber has been kept retired of the database of agriculture crops, for which the Commission for Agricultural Costs and Prices Commission recommends the MSP. “Hence, determination is nary MSP for rubber successful India adjacent though commercialized crops similar jute and copra are included. This has exacerbated the concern for earthy rubber farmers,” Mr. Rao added.

“It has to beryllium submitted that adjacent though the Department of Commerce had brought retired the National Rubber Policy successful March 2019, the results are not arsenic desired and bash not enactment growers owing to shortcomings successful marketing, outer trade, cheaper imports, deficiency of research, etc.,” the Minister for Health and Family Welfare said.

Little relation of states

Mr. Rao said that owing to the provisions of the Rubber Act, 1947, the rubber industry, including its cultivation, is nether the power of the Union government. Since the Rubber Board of India is besides nether the Centre, States cannot interfere successful the industry. Hence, lone the Union authorities tin code the substance of fixing MSP for rubber.

It whitethorn beryllium mentioned present that rubber growers of Karnataka astatine a league successful Ujire connected November 29 demanded that the Karnataka authorities hole ₹258 per k.g. arsenic the MSP for earthy rubber. They pointed retired that the Kerala authorities has been providing a enactment terms of ₹200 for earthy rubber from November 1, 2025, nether its Rubber Production Incentive Scheme.

Karnataka Rubber Belegarara Hitarakshana Vedike, Ujire, said that the Kerala High Court has declared that rubber plantations are cultivation lands nether the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFESI) Act, 2002. The tribunal declared it successful the lawsuit of K.P. Muhammed Basheer vs Deputy General Manager (Authorised Officer), Kannur District Cooperative Bank Ltd., successful 2010. But governments person not brought rubber cultivation either nether the Department of Agriculture oregon Horticulture.

Meanwhile, prices of earthy rubber successful Karnataka person fallen by 26.31% successful the past 14 years, from ₹247 per k.g. successful 2011 to ₹182 per k.g. successful 2025.