Rubber production incentive activated for January 2023

KUALA LUMPUR: The Rubber Production Incentive (IPG) for smallholders has been activated for Peninsular Malaysia, Sabah and Sarawak beginning from Feb 1-28, 2023, based on the production for January 2023.

The Malaysian Rubber Board (MRB) in a statement said the average price at the farm level for cup lump or scrap rubber in January 2023 was RM2.30 per kg for Peninsular Malaysia, RM2.00 per kg for Sabah and RM1.95 per kg for Sarawak.

It said the activated IPG for cup lump and latex for the month in Peninsular Malaysia is at the rate of 20 sen per kg for 50 per cent dry rubber content (DRC) and 40 sen per kg for 100 per cent DRC.

In Sabah, the rate is 50 sen per kg (50 per cent DRC) and RM1 per kg (100 per cent DRC), while in Sarawak, the rate is 55 sen per kg (50 per cent DRC) and RM1.10 per kg (100 per cent DRC).

MRB said the activated IPG latex is at 90 sen per kg for 100 per cent DRC.

Since January 2019, IPG has been activated when the average monthly price for ‘Standard Malaysian Rubber’ (SMR) 20 free on board is at RM6.10 per kg or the farm-gate price of cup lump is RM2.50 per kg or less.

IPG latex would be activated if IPG cup lump is activated.

IPG latex rate is fixed at 90 sen per kg for 100 per cent DRC. -Bernama