KUALA LUMPUR (June 3): The Rubber Production Incentive (IPG) for May has been activated for Peninsular Malaysia, Sabah and Sarawak, and smallholders may apply for the payments based on their May production from June 1-30.
In a statement today, the Malaysian Rubber Board (MRB) said the IPG was activated based on the average farmgate rubber price for cuplumps in May 2020, which stood at RM1.65 per kilogramme in Peninsular Malaysia, RM1.35 per kg in Sabah and RM1.50 per kg in Sarawak.
MRB said the IPG comes with a payment of 85 sen per kg for Peninsular Malaysia, RM1.15 per kg for Sabah and RM1 per kg for Sarawak.
Effective January 2019, the IPG would be activated when the average monthly SMR 20 (Standard Malaysian Rubber) free on board (FOB) price is at RM6.10 per kg, or when the farmgate price goes below RM2.50 per kg.
Source The Edge Markets