Policy mooted for rubber industry
Ramani Kangaraarachchi
COLOMBO: Rubber production is likely to be a lucrative
enterprise in the immediate future. The National Plantation Industry
Policy (NPIP) has revealed that following the escalation of petroleum
prices, current rubber prices have risen encouragingly.
Rubber records the highest profit among the plantation crops.
According to predictions of the International Rubber Study Group , world
demand for natural rubber is likely to double during the next two
decades to 36 million tons.
Project Director National Plantation Development Project, Raja
Premadasa said the rubber product industry in the country has recorded a
remarkable development and at present 70 per cent of the natural rubber
production is used locally in the local rubber manufacturing and value
addition industries.
Although rubber production continued to decline upto 2002 due to
unfavourable international prices and low productivity , with the
economic recovery in the Asia-Pacific region , the natural rubber prices
are becoming attractive for investment. Growing of rubber coupled with
parallel commercial crops provides the ideal combination to assure the
sustainability of the sub-sector, Premadasa said.
The present deficit between demand and supply of natural rubber is
expected to continue as projected by the international Rubber
Organisation, that by 2020 world's natural rubber demand will exceed
supply thus further increasing the rubber prices according to NPIP.
Since the Natural Rubber industry needs to be supported by a National
Policy to ensure its long term survival and to meet the international
and domestic growing demand the Policy for the rubber sub-sector will
consider all aspects relevant to planting,harvesting, processing,
manufacturing and marketing, Raja Premadasa said.
The objectives of the policy mix are achieving competitiveness
through improving productivity and quality, reducing costs of production
meeting the growing international and domestic demand, increasing
profitability ensuring the sustainability of the rubber sub sector and
minimising the adverse effects on the environment in order to ensure
environmental sustainability. |