RM2.3 billion losses due to switch from rubber: MP

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RM2.3 billion losses due to switch from rubber: MP
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Kota Kinabalu: The government needs to transform the rubber industry to ensure that the price of the commodity is more competitive, said Tenom MP Riduan Rubin.

He said the drop in the price of rubber to around RM2.80 resulted in many tappers switching to other crops. As a result, the country suffered a loss of approximately RM2.3 billion because of no rubber output from the 425,000ha plantations.According to him, the problem started from rubber prices that are influenced by middlemen as well as world market prices which were difficult for the government to control.

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“I believe such initiatives can increase the use of domestic rubber and will indirectly increase the price of rubber to a more competitive rate,” he stressed.

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