Concerned about the deepening crisis caused by the sharp decline in rubber prices, CAMPCO—a cooperative organization representing farmers in Karnataka—has called on authorities to extend minimum price support for rubber growers in line with existing policy commitments.
Rubber Farming in Karnataka
Established under the Multi-State Cooperative Societies Act of 1973, CAMPCO has long worked to safeguard the interests of farmers cultivating cocoa, rubber, and pepper.
“At present, rubber growers in Karnataka are facing serious financial hardship due to plummeting prices,” said A. Kishore Kumar Kodgi, CAMPCO President. “Karnataka produces around 40,000 tons of natural rubber annually, while consumption stands at approximately 60,000 tons. In recent years, the price of natural rubber has fallen sharply—from ₹242 per kg in 2011 to ₹140 per kg in 2023.”
He added that most growers in the state own large rubber plantations. Nearly 60,000 rubber farmers cultivate approximately 55,000 hectares of rubber plantations across the state.
Key Rubber-Growing Regions
Major rubber-producing districts in Karnataka include Dakshina Kannada, Udupi, Uttar Kannada, Kodagu, Shivamogga, Chikkamagaluru, Hassan, and Mysuru. CAMPCO has urged the state government to step in and provide financial relief to struggling rubber growers.
Kodgi emphasized:
“We urge the Government of Karnataka to implement a minimum support price (MSP) for rubber growers, modeled after the successful scheme in the neighboring state of Kerala.”
Kerala’s Rubber Production Incentive Scheme
Under Kerala’s Rubber Production Incentive Scheme, a minimum price of ₹170 per kg is guaranteed for RSS 4 and RSS 5 grades. The price difference between the market rate and the daily reference price approved by the Rubber Board is directly credited to the farmers’ bank accounts, based on purchase invoices verified by authorized Rubber Producers’ Societies and field officers of the Rubber Board.
Kodgi noted that adopting a similar scheme in Karnataka could stabilize market prices and provide a crucial safety net for thousands of rubber farmers.