India is the second largest consumer of rubber in the world and its demand for natural rubber seems to be ballooning as years go by.
Despite being a huge consumer of natural rubber (NR) India lags far behind other countries in terms of production ranking 6th globally.
While the rubber board of India is looking to increase the cultivation of natural rubber in the Northeastern States of India it presents a great opportunity for Andhra Pradesh to capitalise on this sector.
Lets look at the overall numbers. As per AIRIA i.e. the all India Rubber Industries association India’s total area of rubber plantation is about 850,000 hectares out of this capable area is 743,650 hectares while actual production is 566000 hectares.
The average yield per hectare is said to be around 1482 kgs of rubber.
Domestic Demand
In terms of domestic demand, it is said to be 14,16,000 tons while our national production is only about 857,000 tones thereby leaving a glaring deficit of about 5.5 lakh tones which is being imported.
‘This is a great opportunity for us to get Atamanirbhar in this sector’ said Mr Shashi Singh, president of AIRIA speaking exclusively to Vizag Industrial Scan.Rubber in Andhra Pradesh.
Mr Shashi highlighted the state of Andhra Pradesh to have immense potential in enhancing its rubber production keeping in mind the desirable weather conditions (tropical climate) the state presents.
As per AIRIA estimates rubber plantation in AP in 2013-14 was being done on 600 hectares which had increased to 740 hectares in FY 23.
The state of AP roughly produces about 500 tons of rubber per year. ‘But AP’s natural rubber consumption is more than 1 lakh tones’ said Mr Singh.
He cited a low average yield per hectare production in the state and said ‘The state with its current rubber plantation should achieve production of 1096 tons but is getting only 500 tons’ pointed the president of AIRIA.
He has therefore urged the AP government to increase plantation of rubber in the state and reiterated the suitable climate present in AP for rubber production. ‘There is enormous scope to increase the farming land on a large scale’ opined Mr Singh.
It is informed that rubber plantation takes 7 years to produce latex which is used to make ballons, surgical blocks, mattresses etc.
Customs Duty
In order to protect the farmers from imports the GoI charges customs duty on imported natural rubber i.e. 25% of Rs 30/kilo whichever is higher.
