KUALA LUMPUR: The government has disbursed over RM515.93 million to 230,851 to rubber smallholders under the Rubber Production Incentive (IPG) since its inception in September 2015 to May 31 this year.
In a parliamentary reply, Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani said the implementation of IPG was aimed at guaranteeing the welfare and easing the burden of rubber smallholders during the uncertainty of rubber prices and ensure that they continue rubber tapping activities to generate income.
"As announced in the 2024 Budget, the activation pricing level (PHP) for IPG has been increased to RM3 per kg from January this year, with an allocation amounting to RM400 million.
"Apart from helping to ease the burden of smallholders, the grant of IPG by the Madani government is also an incentive for them to continue improving their yields," he said in response to Muhammad Ismi Mat Taib (PN-Parit ).
Ismi inquired about to what extent the IPG has helped the daily lives of rubber tappers.
Johari said the government is always concerned with the welfare of rubber smallholders, whose income will be affected when the price of rubber declines.
"Like other commodities, natural rubber is export-oriented, where the price depends on the agreement between the buyer and seller, and it is beyond the government's control."