Smallholders want panel on pricing

Tuaran: The Pertubuhan Pekebun-Pekebun Kecil Bersatu Sabah (Usaha) urged the Government reconsider the policy on price of rubber based on dry rubber content (KGK) which will be implemented early next year.

Its President, Chua Men Nam, said the Government should also form a committee for determining the price of rubber based on KGK.

The Government should be serious in ensuring that the industry is capable of giving appropriate income to the rubber tappers even when the prices of rubber at international market is low, he said.

"The prices set by the Sabah Rubber Industry Board (LIGS) for the rubber smallholders in the State are inappropriate, which worries the rubber tappers," he said at Usaha's 10th Annual General Meeting held at Tun Hamdan hall in Tamparuli, here.

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Tuaran Assistant District Officer (Development) Awil Kamsari and LIGS Chairman Datuk Harris Mathews were also present in the meeting, which was attended by over 300 people from in and around the district.

Explaining further, Chua said Usaha has proposed to the Government to create a committee involving LIGS, Usaha, Agro-based Industry (MOA) and Malaysia Rubber Board (LGM).

"Latest, the Government has announced a rubber production incentive (IPG) that the floor price which will be implemented beginning Jan 1 next year is at RM2.50 per kilogramme for 50 per cent KGK.

"However, raw rubber material like Grade 1 rubber sheet is 75 per cent KGK. So meaning that the floor price for Grade 1 sheet is supposed to be RM3.75 per kilogramme," he said.

He also urged the Government to continue the subsidy for wet season particularly for the smallholders who work on their own farms and to have two sets of prices that is for factory and at buying centre.

Hoping the floor price for rubber based on the right KGK can be considered by the Government, Chua also advised smallholders to diversify their crops and not to solely rely on just rubber.

A rubber taper, Mohd Zawawi Jaffar, said his income has reduced to 50 per cent that is to only RM500 per month due to the decline in rubber market price to under RM2 apart from weather factor.

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"Luckily, I have another source of income by working at a driving school. To rely solely on rubber is definitely not enough for my family, and this yet to include the cost for the education of two children still in school and another in the university," he said.

He hoped the previous assistance called Bantuan Kejatuhan Harga Getah (BKHG) and Bantuan Musim Tengkujuh (BMT) provided to the rubber smallholders will be continued because it did help in reducing their burden. - R Gonzales

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