Is the Rubber Industry on verge of extinction?

According to Mr. J.S. Ranasingha, in his article in The Island of 28th Sept the Rubber Industry is on the verge of extinction, with the annual rubber production on a decline for the last eight years. According to Central Bank reports, the annual production of rubber in the country has declined from 153 million kg in 2010 to 74.8 million kg in 2019, the lowest annual rubber output in the country. The average yield too has decreased from 1561 kg/ha in 2010 to 66.5 kg/ha in 2019. At present, around 138,000 ha is under rubber and about 65 % of rubber lands are cultivated by small holders.

Various projects were implemented during the last few decades to improve rubber production in the country. The Smallholder Rubber Rehabilitation Project 1 (SRRP 1) funded by the World Bank was implemented in the late 1980s. This project emphasized replanting of mature rubber areas, providing improved extension services, and the establishment of group processing Centres (GPC). With regard to extension, a separate Dept. identified as Advisory Service Dept. (ASD) was established, which was responsible for the communication of research findings to smallholders, and to medium size estates. ASD officers also assisted in the operation of GOSL’s replanting scheme, by inspecting rubber for registration purposes and authorizing replanting payments. A Processing Advisory Division (PAD) was established within ASD to provide technical and managerial advice to both private rubber processors and GPCs.

A major change in the rubber sector was the amalgamation of the Rubber Control Dept. and Rubber Advisory Services Dept. and the establishment of Rubber Development Dept. (RDD) in 1994. The extension activities hitherto carried out by the Advisory Services Dept. was entrusted to RDD. According to Mr. J.A.A.S. Ranasingha, a Productivity Specialist and former CEO of ASD, in his piece “Is rubber sector in the doldrums” published in The Island a few months ago, this amalgamation has neither brought any tangible benefit to the country/industry nor to the rubber smallholders that constitute 65% in the rubber sector.

The Ministry of Plantation Industries, a few years ago came out with the Sri Lanka Rubber Industry Master Plan 2017 – 2026, A National Agenda for Rubber Industry Development of Sri Lanka. The Rubber Master Plan (RMP), has 10 programmes and 25 projects costing Rs. 75 billion and is expected to last in the year 2045. Who developed the RMP and what happened to it remains unknown to the public.

Rubber plays a very important role in the economy of the country. In the year 2019, this sector earned nearly Rs. 4 billion in foreign exchange. In view of the current economic situation the country is facing, it is a sine qua non that action is taken to revive the rubber industry. Deterioration of the rubber sector will exacerbate the financial and social problems we are facing. The annual trade deficit stands at around 10 billion US $ and unemployment among the rural plantation community is increasing. In view of these critical issues faced by the country, it is necessary that the relevant authorities led by the Ministry of Plantation Industries develop a holistic national plan to resurrect the rubber industry.

A number of factors can be attributed to the current decline in the rubber sector. Among these are aging rubber crops , soil degradation due to erosion, nutrition depletion, loss of biodiversity, etc. A realistic plan to increase rubber production needs to include strategies to increase the average yield, which could be achieved by an increased supply of quality budded plants, increased rate of replanting, implementing effective management activities including better fertilizer and pest management practices, reducing soil degradation and providing better extension services by a qualified trained staff. Around 65% of the rubber holdings belong to the smallholder sector. There are nearly 100,000 rubber smallholders (RSH) who need to be provided with technical know-how of the activities involved from land preparation to processing,  so that the rubber production is increased qualitatively and quantitatively.  

In this regard the extension activities are important. It is essential that a better extension service by a trained staff is provided to the RSH. In the 1980s there were nearly 150 rubber extension officers, working for the Advisory Service Department of the Rubber Research Board to assist the Rubber Smallholders in the eight districts,  to grow, process and market rubber.  However, at present there are only around 20 extension staff  in the Rubber Research Board and as a result the rubber extension programme appears to be very weak .

Dr. C. S. WEERARATNA

Former Director, Advisory Services Department

csweera@sltnet.lk