Rubber producers pin hopes on ending price disparity as polls approach

Thiruvananthapuram: As the rubber price in the international market is shooting up and has reached around Rs 220 per kilogram, the rubber producers in Kerala are pressing the centre to initiate steps to hike the domestic rubber price, which still remains at around Rs 170 only.

With the Lok Sabha polls coming up and BJP making desperate attempts to make inroads into the Christian vote banks, the rubber planters in Kerala are expecting a favourable decision from the centre as majority of the planters are from the Christian community. Even a Catholic bishop in Kerala had earlier offered to help BJP open an account in Kerala in the next election, provided the price of rubber is increased to Rs 300 per kilogram.

The visit of Prime Minister Narendra Modi to Kerala on Friday and a meeting of exporters convened by the Rubber Board, which is also incidentally taking place on Friday, are giving much hope to the planters.

Sensing the mood, Kerala Congress (Mani), a regional party having much influence among the Chrsitian vote banks of central Kerala, has shot off a letter to the Prime Minister the other day seeking urgent steps to enhance domestic price of rubber in proportionate with the international price.

BJP's coalition partner in Kerala, BDJS's leader Thushar Vellappally also stated that he would contest the polls only if rubber price is enhanced.

Producers lament over poor govt intervention

While the Rubber Board is exploring the option of exporting rubber to enhance the domestic price, many rubber growers are of the view that a decision of central and state government agencies to procure rubber at a fair rate from the domestic market for export could compel the dealers to offer better prices in the domestic market.

National Consortium of Rubber Producer Societies general secretary Babu Joseph told DH that the dealers' lobby were deliberately offering lower prices for rubber in the domestic market. The centre and state government's could easily foil this manipulation by directing various government agencies to procure rubber from the domestic market at a higher rate in proportion with the international market price and try to explore it. It will force the dealers to offer a higher price in the domestic market.

Rubber Board chairman Dr Sawar Dhanania said that a meeting of exporters will be held on Friday to discuss the scope of exporting rubber.

Rubber prices in India was hit after the import of rubber at lower prices from other countries subsequent to the ASEAN agreement. But over the last couple of months rubber prices in the international market fell owing to the fall in production in some countries. This has fresh hopes for Kerala, which is the largest rubber producing state in India.