Fund is not an issue for rubber procurement: Minister

Kerala Finance Minister K M Mani today said Rs 10 crore have been earmarked for rubber procurement in a bid to help farmers who were reeling under crisis due to sharp fall in prices of the commodity.
"Funds are not a problem for procurement", Mani said while replying to a submission moved by P C George, government Chief Whip, on problems faced by rubber growers in the state.
Mani agreed with George's demand to procure rubber by paying Rs 5 per kg more than the daily domestic market price of rubber.
The agencies deputed for procurement has been asked to strengthen rubber purchase from growers, he said, adding the market price of rubber was not sufficient when cost of production was taken into consideration.

Intervening on the matter, Agriculture Minister K P Mohanan said a meeting would be convened in consultation with Chief Minister Oommen Chandy to take a decision on the revised procurement price.
The price of natural rubber in 2011 was Rs 245 per kg is now Rs 131 per kg.
The area under rubber cultivation in the state would come to around 6.59 lakh hectares. There were about 11.5 lakh rubber farmers and of these, 10.2 lakh farmers were small and marginal farmers.
The annual requirement of natural rubber in the country was 9.70 lakh tonnes.