Latest news with #RM523.4
The Sun
22-07-2025
- Business
- The Sun
Rubber production incentive benefits 239,053 smallholders with RM523.4 mln payout
KUALA LUMPUR: The Rubber Production Incentive (IPG) has provided financial support to 239,053 smallholders, with total payouts reaching RM523.4 million from September 2015 to June 2025, the Ministry of Plantation and Commodities (KPK) confirmed. The incentive, designed to stabilise smallholder incomes when rubber prices drop below a set threshold, was raised to RM3 per kilogramme in 2024. KPK also noted that 221 tonnes of latex have been produced under the Latex Production Incentive Project (IPL+) as of June 2025. 'This figure is projected to grow as the programme expands to Negeri Sembilan, Pahang, and Selangor in 2025,' the ministry stated on the Parliament's website. 'This effort also reduces reliance on imported latex.' The update followed a query from Datuk Awang Hashim (PN-Pendang) on measures to stabilise rubber prices and protect smallholder earnings. KPK further revealed that the Malaysian Rubber Board (LGM) is building three centres under the National Rubber Industry Transformation Program (TARGET), set to open by mid-2026. TARGET aims to integrate smallholders into the supply chain, eliminating middlemen. 'It streamlines production and allows farmers to process higher-value crepe rubber with 80% Dry Rubber Content (DRC),' KPK explained. 'Cooperative participation also ensures profit-sharing among members.'
Malaysian Reserve
22-07-2025
- Business
- Malaysian Reserve
IPG benefits 239,053 rubber smallholders, with RM523.4m total payout
KUALA LUMPUR — The Rubber Production Incentive (IPG) has benefited 239,053 smallholders, with total payments amounting to RM523.4 million from its implementation in September 2015 up to June 30, 2025, according to the Ministry of Plantation and Commodities (KPK). The IPG, aimed at ensuring the welfare of rubber smallholders by providing a fair income when rubber prices fall below the activation price level, has been increased to RM3 per kilogramme starting in 2024. Meanwhile, KPK also reported that 221 tonnes of latex have been successfully produced through the Latex Production Incentive Project (IPL+) as of June 2025. 'This amount is expected to rise with the expansion of the programme to three additional locations — Negeri Sembilan, Pahang and Selangor — currently underway in 2025. 'This initiative is also an initial step toward reducing dependence on imported latex,' KPK posted on the Parliament's website on Monday. The ministry was responding to Datuk Awang Hashim's (PN-Pendang) question regarding its strategic measures to ensure rubber prices remain stable and do not decline to levels that would negatively impact the income of smallholders. KPK highlighted that the Malaysian Rubber Board (LGM) is currently constructing three centres for the National Rubber Industry Transformation Program (TARGET), which are expected to be operational by the second quarter of 2026. The implementation of TARGET aims to increase the income of small rubber farmers by enabling them to be directly involved in the industry supply chain without relying on middlemen. 'It shortens the supply chain and enables smallholders to produce value-added crepe rubber with a Dry Rubber Content (DRC) of around 80 per cent, which provides higher returns. 'If implemented through cooperatives, the profits are also distributed as dividends to members,' the ministry added. — BERNAMA
Barnama
22-07-2025
- Business
- Barnama
IPG Benefits 239,053 Rubber Smallholders, With RM523.4 Mln Total Payout
BUSINESS KUALA LUMPUR, July 22 (Bernama) -- The Rubber Production Incentive (IPG) has benefited 239,053 smallholders, with total payments amounting to RM523.4 million from its implementation in September 2015 up to June 30, 2025, according to the Ministry of Plantation and Commodities (KPK). The IPG, aimed at ensuring the welfare of rubber smallholders by providing a fair income when rubber prices fall below the activation price level, has been increased to RM3 per kilogramme starting in 2024. Meanwhile, KPK also reported that 221 tonnes of latex have been successfully produced through the Latex Production Incentive Project (IPL+) as of June 2025. 'This amount is expected to rise with the expansion of the programme to three additional locations -- Negeri Sembilan, Pahang and Selangor -- currently underway in 2025. 'This initiative is also an initial step toward reducing dependence on imported latex,' KPK posted on the Parliament's website on Monday. The ministry was responding to Datuk Awang Hashim's (PN-Pendang) question regarding its strategic measures to ensure rubber prices remain stable and do not decline to levels that would negatively impact the income of smallholders. KPK highlighted that the Malaysian Rubber Board (LGM) is currently constructing three centres for the National Rubber Industry Transformation Program (TARGET), which are expected to be operational by the second quarter of 2026. The implementation of TARGET aims to increase the income of small rubber farmers by enabling them to be directly involved in the industry supply chain without relying on middlemen. 'It shortens the supply chain and enables smallholders to produce value-added crepe rubber with a Dry Rubber Content (DRC) of around 80 per cent, which provides higher returns.
