Rubber production incentive activated for January 2020

Rubber production incentive activated for January 2020

KUALA LUMPUR: The Malaysian Rubber Board  (LGM) says the Rubber Production Incentive has been activated for January 2020 for 440,000 rubber smallholders in Peninsular Malaysia, Sabah and Sarawak.

In a statement, LGM said this follows the farmgate rubber price for the month at below RM2.50 per kg.

It said the average farmgate price for cuplump or scrap rubber for the month for the peninsula, Sabah and Sarawak was RM2.25, RM1.95 and RM2.05 per kg respectively.

LGM said the incentive comes with a cuplump payment of 25 sen per kg for Peninsular Malaysia, 55 sen per kg for Sabah and 45 sen per kg for Sarawak.

“Smallholders may make their IPG claims based on the January 2020 production from Feb 1,” it said.

Effective January 2019, the IPG was activated when the average monthly SMR 20 FOB was at a level of RM6.10 per kg or the farmgate price was at RM2.50 per kg and below, it added.

— BERNAMA


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