Meanwhile, the Ministry of Plantation and Commodities will refine the proposal to increase the Rubber Production Incentive (IPG) rate, the Dewan Rakyat was told today.
Its deputy minister Datuk Siti Aminah Aching, however, said any decision regarding the matter is subject to the government’s financial position.
She said for the moment, the ministry will implement the IPG activation price level of RM2.70 per kilogramme as announced in Budget 2023.
“The government is always concerned about the welfare of rubber smallholders whose income will be affected if the rubber price drops.
“Therefore, the Prime Minister in Budget 2023 has agreed to raise the activation price level of IPG from RM2.50 to RM2.70 per kilogramme involving an allocation of RM350 million,” she said during the question-and-answer session.
She said this in reply to a question from Muhammad Ismi Mat Taib (PN-Parit) on whether the government plans to increase the Rubber Production Incentive (IPG) rate from RM 2.50 to RM 4.50.
