Start-up & Funding
Government Boosts Funding for Natural Rubber Sector Development
The Indian government has raised funding for the development of the natural rubber sector by 23%, allocating Rs 708.69 crore for the next two financial years to support plantation, productivity enhancement, and research initiatives.
The Indian government has announced a 23% increase in financial assistance for the Sustainable & Inclusive Development of the Natural Rubber Sector, raising the allocation from Rs 576.41 crore to Rs 708.69 crore for the next two financial years (2024-25 and 2025-26). This substantial funding is aimed at supporting the growth and self-reliance of the natural rubber industry in the country.
Key Highlights
- Increased Financial Assistance: The government has raised the allocation for the natural rubber sector by 23% to Rs 708.69 crore for the next two financial years, focusing on various aspects of sector development.
- Plantation and Productivity Enhancement: The funding will support the planting of rubber in traditional and non-traditional areas, rain guarding, and plant protection, aiming to enhance productivity and expand cultivation.
- Research and Training: A significant portion of the funding will be directed towards rubber research, training programs, and the establishment of nodal centers to promote innovation and skill development in the sector.
“The Indian government has raised funding for the development of the natural rubber sector by 23%, allocating Rs 708.69 crore for the next two financial years to support plantation, productivity enhancement, and research initiatives”
The increased funding will facilitate the planting of rubber in 12,000 hectares in traditional areas during 2024-25 and 2025-26, with a focus on providing higher assistance to growers to cover the increased cost of production and incentivize plantation. Additionally, measures such as rain guarding in 67,000 hectares and plant protection in 22,000 hectares will be supported to enhance productivity. The scheme also emphasizes the formation of Rubber Producers Societies (RPS) to empower growers and improve price realization for their produce.The government’s commitment to boosting the natural rubber sector is further underscored by its focus on research and training. An outlay of Rs 29.00 crore has been earmarked for rubber research over the next two years, with plans to establish nodal centers for training and skill development. This strategic investment aims to promote innovation, develop region-specific rubber clones, and expand cultivation to new areas, ultimately fostering self-reliance and reducing import dependence.
In conclusion, the government’s decision to significantly increase funding for the development of the natural rubber sector reflects its strong commitment to promoting self-reliance and enhancing the productivity and competitiveness of the industry. The comprehensive approach, encompassing plantation support, productivity enhancement, RPS formation, and research initiatives, is poised to drive sustainable growth and innovation in India’s natural rubber sector.
