KOTA KINABALU: The federal government has introduced the Rubber Production Incentive (IPG) to increase the income of small farmers in 1 September.
The state Minister of Agriculture and Food Industry, Datuk Seri Panglima Hj. Yahya Hussin, IPG will be given if the average monthly price for SMR 20 latex in the global market dropped below RM5.20/kg or the average monthly price for grade 2 scrape latex (dry) is less than RM2.00/kg.
“IPG will be paid to all small farmers registered with the Sabah Rubber Industry Board (LIGS) monthly (after the drop) after considering the difference in price,” he said during the DUN Assembly.
He was responding to Limus Bin Jury (BN-Kuala Penyu), who inquired on the more comprehensive action by the government to help small-scale rubber tapers who are affected by the drop in value for the commodity.
He also said LIGS will announce the IPG rate at the first week of the month if the previous price is qualified for IPG implementation.
The prerequisites for individuals to receive IPG are they have to be a Malaysian citizen, registered with LIGS as a landowner or rubber taper, have a rubber plantation less than 100 acres, and sell their products to LIGS. -SayangSabah