The Case of Malaysian Rubber Board: The Rubber Production Incentive

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smallholders to register PAT-G as one of the requirements to claim IPG. Through "Program SembangGetah di Warung" conducted throughout Malaysia is a stimulus campaign to gain a better understanding of the IPG. Not only that, the seminars for farmers was also implemented in period of unstable rubber price in the first half of 2015 as well as a platform for smallholders to register PAT-G.

Total smallholders were 283,683 persons. Through the programs implemented, the owner PAT-G ownership seen rising from the 120,600 smallholders last year to 161,642 smallholders this year. Therefore, the objective of LGM to collect data while updating the number of rubber smallholders in addition to applying the proclamation of the Malaysian Rubber Board Regulations (Licensing and Permit) 2014 requires all farmers who sell rubber to own PAT-G has seen nearly reached.

However, the rubber smallholders are still waiting for incentive that has not yet been activated. Although it is look as a good progress in helping smallholders are increasingly caught dilemma in income, a problem that can be detected is IPG until now has not been activated because the average price of SMR 20 rubber still not fall below RM4.60. Table 1, 2, 3, 4, 5 and 6 show the average price of rubber in the month that proves IPG can’t be activate for this time.

Is it relevant to introduce IPG while until now, his dues yet to be felt by smallholders? The price of rubber is still considered low, although not below the RM4.60 level. Until now, it has been 6 months have passed from the date of implementation of the IPG. However, officially, IPG has not been implemented due to various conditions set for enabling IPG as well as a number of conditions that must be met to claim it.

Appendix 1

Table 1: Prices of SMR CV, SMR 20 and Latex Concentrate, Dec 2014

Table 2: Prices of SMR CV, SMR 20 and Latex Concentrate, January 2015

Table 3: Prices of SMR CV, SMR 20 and Latex Concentrate, February 2015

Table4: Prices of SMR CV, SMR 20 and Latex Concentrate, March 2015

Table 5: Prices of SMR CV, SMR 20 and Latex Concentrate, April 2015

Table 6: Prices of SMR CV, SMR 20 and Latex Concentrate, May 2015

References

Malaysian Rubber Board Digest, A monthly Publication of the Malaysian Rubber Board. December 2014. Malaysian Rubber Board.

Malaysian Rubber Board Digest, A monthly Publication of the Malaysian Rubber Board.January 2015. Malaysian Rubber Board.

Malaysian Rubber Board Digest, A monthly Publication of the Malaysian Rubber Board.February 2015. Malaysian Rubber Board.

Malaysian Rubber Board Digest, A monthly Publication of the Malaysian Rubber Board. March 2015. Malaysian Rubber Board.

Malaysian Rubber Board Digest, A monthly Publication of the Malaysian Rubber Board.April 2015. Malaysian Rubber Board.

Malaysian Rubber Board Digest, A monthly Publication of the Malaysian Rubber Board.May 2015. Malaysian Rubber Board.

Newspaper.Accessed on 21 May 2015.http://www.sinarharian.com.my/edisi/utara/penoreh-digalak-daftar-di-pat-g-1.299730

Digital reading.Accessed on 16 June 2015.https://ms.wikipedia.org/wiki/Pokok_getah

Company website. www.lgm.gov.my.