Rubber smallholders windfall

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Datuk Yahya Hussin

The Minister of Agriculture and Food Industry Sabah,  Datuk Seri Panglima Hj Yahya Hussin today express his happiness for the rubber smallholders in the state for the higher income enjoyed by them. 


Yahya said,  the International price of Standard Malaysian Rubber 20 (SMR 20) has increased from its low of RM4.70 cents per kilogram early last year to today at RM9.68 per kilogram.  The increase in price is due to a short supply in the world market due to flooding in Southern Thailand.  He expressed his hope that the International rubber price will be maintained.

Yahya said, as a result, the smallholder rubber prices in Sabah  has increase from a low of RM1.50 per kilogram for cuplumps at 50% dry rubber content to a high of RM3.75 per kilogram as of today.  The increase has resulted in rubber smallholders earning between RM2,500.00 per month to RM7,000.00 per month.

Yahya reminded the smallholders that the government has a social safety net policy in place for rubber smallholders called the Rubber Production Incentive (IPG). The IPG is paid when the farm gate price falls below RM2.20 per kilogram for cuplumps (50% dry rubber content) or when the international SMR20 price is below RM5.50 per kilogram.  It means that if the actual price of cuplumps (50% dry rubber content) is RM1.50 per kilogram, the Government will top up the difference of 0.70 cents per kilogram.  The Federal Government has paid RM22,001,182.00 to rubber smallholders in Sabah from September 2015 to October 2016 through Sabah Rubber Industry Board under this programme. 

Yahya thank the Federal Government specially The Prime Mininter, Dato’ Seri Mohd Najib Tun Abdul Razak for assisting rubber smallholders in Sabah during the difficult times.   A total of 13,426 smallholders benefit from this policy.

Yahya also gave examples of the earnings of smallholders in December 2016 in the various districts.

Districts                      Smallholders                                    Amount
                                                                                      RM
Tuaran                       Podok bin Sualan                            6,476.75
Nabawan                   Angkimis Ampait                              6,935.30
Tenom                      Tham Swee Min                               5,946.35
Keningau                  Michael bin Asang                             8,547.95
Kota Marudu              Patrik Kambingi                                5,823.75
Kota Belud                Sail bin Serlesig                                4,971.90
Sipitang                    Alis bin Baru                                      4,035.45

Yahya also expresed his thanks to Prime Minister for giving funds to rubber smallholders for replanting and newplanting of rubber through the Sabah Rubber Industry Board amounting to RM321,217,238.00  from 2012 to 2016 to plant  26,518 hectares of rubber in Sabah.  A total of 8,540 smallholders were assisted under the National Key Economic Area (NKEA) programme.-AG

In 2017, the Federal Government has allocated RM65,500,000.00 to further replant  and new plant 3,856  hectares and maintain planted areas through Sabah Rubber Industry Board.  A total of 1,285  additional smallholders will be assisted in 2017.

Yahya thank the Prime Minister for all assistance provided to Sabah Rubber Smallholders through Sabah Rubber Industry Board.


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