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Kerala planters oppose duty cut in natural rubber, warns of blow to farmers livelihood
2026-04-30 · via Business News Today: Latest Business News, Finance News
A view of the rubber plantation in Idukki district Kerala.

A view of the rubber plantation in Idukki district Kerala. | Photo Credit: H.VIBHU

The Association of Planters of Kerala (APK) has opposed the tyre industry’s demand for a reduction in import duties on natural rubber, warning that such a move would negatively impact domestic prices and farmers’ incomes.

APK said that nearly 12 lakh farmers depend on the natural rubber sector for their livelihood, and any fall in prices could seriously affect their survival and the rural economy.

Ajith Balakrishnan, secretary APK said that instead of offering import duty relief, the government should focus on long-term measures such as reducing production costs, providing technical support to improve productivity, ensuring price stability, and introducing incentive schemes for farmers.

Although natural rubber prices are currently above ₹250 per kg after 14 years, rising production costs—estimated between ₹210 and ₹220 per kg—are reducing farmers’ actual earnings. Expenses related to harvesting, inputs, and maintenance have increased significantly. In addition, adverse weather conditions, including irregular rainfall and floods, along with pest attacks, have led to lower yields. During 2026 alone, he said the price of Copper Oxy Chloride has increased by 200 per cent, the spray oil increased by 150 percent and wages by 12 per cent.

Meanwhile, tyre manufacturers have approached the government seeking relief in import duties to meet their production needs, citing concerns over domestic availability of natural rubber. APK cautioned that easing imports could disrupt the supply chain and harm the domestic rubber sector.

In this context, the association urged the government to take a balanced and careful approach, prioritizing the protection of farmers’ livelihoods while maintaining harmony between the agricultural and industrial sectors through pro-farmer policies.

Published on April 30, 2026