Smallholder Rubber Farmers Research Articles

Marketing channel assessment of natural rubber: Insights from Kanyakumari district, Tamil Nadu

The study investigates the marketing dynamics of natural rubber in Kanyakumari district, Tamil Nadu, a traditional region for rubber cultivation in India. Utilizing a multistage random sampling method, data were collected from 150 respondents, including 120 rubber growers and 30 intermediaries, through structured questionnaires and personal interviews conducted between November 2023 and August 2024. The research aims to map the value chain of natural rubber, analyze marketing costs, margins, and price spreads, and identify production and marketing constraints faced by farmers. The findings revealed four primary marketing channels: direct sales to primary dealers, rubber producer societies, collection agents, and processing units. Each channel exhibited distinct marketing costs and efficiencies; notably, channels involving direct sales to dealers were more cost-effective for producers compared to those utilizing collection agents. However, intermediaries achieved higher margins in the latter. Key constraints identified include adverse weather conditions, fragmented landholdings, high production costs, lack of government subsidies, and inadequate access to technology. Marketing challenges such as poor standardization and grading practices exacerbate price volatility and reduce farmers' earnings. The study emphasized the need for improved marketing strategies and infrastructure to enhance the profitability of smallholder rubber farmers. By addressing these constraints through targeted interventions, stakeholders could foster a more sustainable and economically viable natural rubber sector in Kanyakumari district, ultimately benefiting the livelihoods of thousands reliant on this critical agricultural industry.

Rubber Farmers' Strategies to Face Unstable Market Trends (Case Study of Smallholder Rubber Farmers in North Sumatra)

Rubber Farmers' Strategies to Face Unstable Market Trends (Case Study of Smallholder Rubber Farmers in North Sumatra)

Assessing the determinant factors of risk strategy adoption to mitigate various risks: An experience from smallholder rubber farmers in West Kalimantan Province, Indonesia

Abstract Over the past decade, smallholder rubber farming experienced significant issues related to risks of rainy season, rubber diseases, and price decreases. The risk exposure will reduce agricultural productivity, income, and sustainability. Farmers are expected to mitigate various risks by adopting the appropriate risk strategy. Efforts to support the risk strategy adoption are constrained by the lack of scientific research in rubber farming, especially for simultaneous risk strategy adoption. This study aims to identify the risk strategy adoption in rubber farming and analyse the determinant factors by considering farmers’ socioeconomic, rubber farm characteristics, and risk perception. The data were collected from 200 rubber farmers in West Kalimantan, Indonesia, and analysed using a multinomial logit model. The study results show that the most selected strategy was income diversification. The multinomial logit model indicates that farmers’ age, family members, rubber age, rubber clones, and rainy season risk perception positively affect the adoption of risk strategy. In contrast, experience, farm area, and farm distance have a negative effect. The results also indicate that family members, farm area, and farm distance variables significantly affect all choices of risk strategy adoption. The results of this study suggest several implications for government and policymakers in providing assistance and counselling, capital assistance, input access, and improving transportation, road access, and communication.

Evaluation of technical, allocative and economic Efficiencies of rubber-cassava based farming system In edo state, nigeria

This paper evaluated the technical, allocative and economic efficiency of rubber- cassava intercrop system among smallholder rubber farmers in Edo Sate Nigeria through a survey of 160 rubber farmers in a multi stage purposive and simple random sampling techniques. Data collected were analyzed using budgetary techniques and stochastic frontier production function analysis. Budgetary analysis reveals an average total cos/ha of 93350. S583.44) with N169,560 (S1,059.75) accrues to the farmer as revenue and N76210(S476.31) as gross margin with a net farm income of N70,710(S441.94). The rate of return and return per capital invested were N1.82 and N0.82 showing both viability and profitability of rubber- cassava farming. The Maximum Likelihood Estimate (MLE) of the parameters of the stochastic frontier production function of the sampled farmers revealed that planting materials, agrochemicals, labour and farm size were significantly related with cassava output. The mean technical efficiency (TE) of respondents' was 0.82 with the scope of improving their efficiency by 18%. Education and extension contact were the significant factors that increase the technical efficiency of farmers. The estimates of the parameters of stochastic cost frontier also showed that the cost of planting materials, agrochemicals, depreciation, cost of labour and output were significantly related with cost of production with mean allocative efficiency (AE) of 0.67. Age, education, farming experience and extension contact enhance the allocative efficiency of rubber farmers. The economic efficiency index ranged from 0.18 to 0.85 with the mean of 0.55 indicating wide differentials between the least and efficient farmer with the scope of improving economic efficiency among rubber farmers by 45% in the short-run. Recommendations to improve efficient allocation of resources in a rubber cassava based farming system have been made in the study in the study.

Determinants of Smallholder Farmers’ Income-Generating Activities in Rubber Monoculture Dominated Region Based on Sustainable Livelihood Framework

The rapid expansion of rubber plantations in Xishuangbanna, China, has severely decreased rubber prices in the last several years. The income loss and other adverse environmental impacts have brought livelihood challenges and opportunities to develop and adopt more diversified and environmental-friendly income-generating activities (IGAs). To better understand the constraints and opportunities for smallholder rubber farmers to sustain or improve their livelihoods, this study investigates which IGAs are applied by local farmers and the factors that determine their adoption, using the sustainable livelihood framework as the theoretical guideline. The qualitative approach is applied using semi-structured interviews and thematic analysis. Five directions of changes in IGAs (i.e., intercropping, other cash crops, livestock raising for marketing, part-time job, and land renting) are identified, and local farmers are categorized into three groups (i.e., rejective, affirmative, and hesitate groups) based on their attitudes towards these IGAs. The results reveal that the main adoption motivations of certain IGAs are closely related to price shock, economic return, information, and extension service. Based on the results, suggestions are provided to enhance farmers’ motivation to make changes and improve the adoption of emerging IGAs with attention given to vulnerability contexts, livelihood assets and institutional assistance.

Understanding farmers' risk perception and attitude: A case study of rubber farming in West Kalimantan, Indonesia

<abstract> <p>Indonesian rubber farming has the largest area in the world, but its implementation faces various risks that decrease productivity and farm income. This study is designed to specify the risk perception, risk attitude and determinant factors for smallholder rubber farmers. The research location was in four subdistricts in West Kalimantan Province, with a sample size of 200 farmers. Data collection was carried out by interview using a structured questionnaire. The risk matrix, Holt and Laury's method and the logit model were used to identify risk perception, risk attitude and determinant factors. The study results showed that most rubber farmers were risk-averse and perceived climate change, plant diseases and price change as high risks. The logit model found that farmers' age, education, rubber plantation size, rubber age, distance and use of rubber clones had a positive and significant effect on farmers' risk perception, while the family size and farming experience had a negative effect. Regarding risk attitude, the logit model found that rubber age, distance and risk perception of price change had a positive and significant effect on farmers' risk aversion, while farmers' age and use of rubber clones had a negative effect. This study recommends providing informal education to the farmers through training and counseling, encouraging the farmers to replant old or damaged rubber trees and adopt rubber clones. Furthermore, it is also necessary to improve road facilities and infrastructure, communication and transportation access to facilitate farming activities.</p> </abstract>

IMPACT OF CREEPING VEGETABLE COVER CROPS ON MINERAL N AND MICROBIAL GROUP POPULATION OF A SANDY LOAM ULTISOL UNDER IMMATURE RUBBER PLANTATION IN SOUTHERN NIGERIA

The use of forage legume species as cover crops in the management of immature rubber plantation soils is not attractive to smallholder rubber farmers (owners of about 75% of the global acreage under rubber production). We sampled immature rubber plantation soils under the following respective creeping vegetable cover crops: Vegetable cowpea (Vigna unguiculata L., Walp. Ssp. Sessquipedallis.), Egusi melon (Cucumeropsis manni Naaudi) and Broadleaf pumpkin (Cucurbita pepo) and a forage legume species (Centrosema pubescens) for four consecutive years at the Rubber Research Institute of Nigeria, Benin. The samples were analyzed for mineral N (NO3- and NH4+) content, and microbial group populations at the onset and end of rains, as well as selected physical and chemical properties. Generally, the result showed that the creeping vegetable cover crop species had a comparative positive effect on the soil properties assessed relative to the forage legume species. The two sampled period mean values of NO3- and NH4+ (10.62 and 8.18 mgkg-1, respectively) obtained from the plantation that had vegetable cowpea were significantly (P≤ 0.05) higher than those of the Egusi melon and Broadleaf pumpkin, but slightly (not significant) lower than that of the Centrosema pubescens. The soil microbial groups (Fungi, Bacteria and Actinomycetes) populations were significantly affected by the cover crop species. At the onset and end of rains, plantations that had vegetable cowpea and Centrosema pubescense cover crops had the maximum number of bacteria (29.58 and 29.50 C.fug-1drywt.soil ×10-6, in that order), while the maximum number of fungi was found in the broadleaf pumpkin (23.66 C.fug-1drywt.soil ×10-6) and Egusi melon (22.92 C.fug-1drywt.soil ×10-6) cover crop plantations. The broadleaf pumpkin and Egusi melon had significant positive effect on the soil surface layer (0-15cm) pH, Org. C, base cations, bulk density and percentage water filled pore space. These findings suggest that the creeping vegetable cover crops could be considered as alternative to the forage legumes in the management of immature rubber plantation soils.

THE EFFECT OF MARKETING MIX STRATEGY ON MARKETING PERFORMANCE OF SMALLHOLDER RUBBER FARMERS IN GUNUNG TOAR DISTRICT, KUANTAN SINGINGI REGENCY

The development of the plantation sub-sector with a marketing mix strategy approach is a comprehensive and sustainable solution for the development of human and economic resources in rural areas. Marketing performance is used to determine the level of marketing success. The purpose of this study was to analyze the effect of marketing mix strategy consisting of differentiation of agricultural products, functionalization of elasticity of agricultural products, added value and resonance on the marketing performance of smallholder rubber farmers in Gunung Toar District, Kuantan Singingi Regency. The population in this study were smallholder rubber farmers with a sample of 34 farmers who were determined by the simple random sampling method. The data analysis method used is multiple linear regression using SPSS software. The results showed that the marketing mix strategy consisting of agricultural product differentiation (X1) and agricultural product elasticity functionalization (X2) had a significant effect, and added value (X3) and resonance (X4) had no significant effect on marketing performance. smallholder rubber farmers in Kab. Mount Toar, Kuantan Singingi Regency.

THE INFLUENCE OF CUSTOMER VALUE ON MARKETING PERFORMANCE FOR SMALLHOLDER RUBBER FARMERS IN KUANTAN MUDIK DISTRICT, KUANTAN SINGINGI REGENCY

The success of customer value can affect the marketing performance of rubber. The research was conducted in Kuantan Mudik District, Kuantan Singingi Regency, Riau. The purpose of this study was to determine the effect of customer value on emotional value, social value, quality value, and price value on smallholder rubber farmers. The population in this study were 205 farmers, the sample was taken 15% of the population of 31 farmers selected by simple random sampling technique. Analysis of the data used is multiple linear regression analysis with SPSS application. The results of the study explain sig.t value for X1 is 0.003, sig.t value of X2 is 0.014, sig. t value of X3 is 0.021 which is smaller than the 0.05 level of significance. This means that X1, X2, and X3 partially have a significant effect marketing performance. While sig t value of X4 is 0.216 which is greater than the significant level, means price value partially has no significant effect marketing performance. f-test results sig.f value of 0.000 is smaller than the significant level of 0.05, meaning that the customer value seen from the emotional, social, quality, and price values simultaneously has a significant effect on increasing marketing performance.

THE ROLE OF CUSTOMER VALUE MEDIATE THE RELATIONSHIP OF MARKETING STRATEGY TO MARKETING PERFORMANCE ON RUBBER FARMERS IN SENTAJO RAYA DISTRICT, KUANTAN SINGINGI REGENCY

This study aims to analyze the role of customer value as an intervening variable/mediation of the influence of marketing strategy on the marketing performance of smallholder rubber farmers in Sentajo Raya District, Kuantan Singingi Regency. Sampling in this study was 15% of the population as many as 36 smallholder rubber farmer respondents with each sample must be taken proportionally according to the population in two villages, namely Jalur Patah Village and Parit Teratak Air Hitam Village in Sentajo Raya District. The sampling technique was done by random sampling. The data analysis tool used in this research is SmartPLS 3.0 Sobel test and VAF calculation. The results of this study indicate that the customer value variable cannot mediate the relationship between market strategy and marketing performance. While the customer value variable can mediate the relationship of marketing mix strategy to marketing performance where the role of the mediating effect of customer value is partial mediation of 0.540 or 54.0%.

Assessment of factors influencing natural rubber production among smallholder farmers in Liberia using Fuzzy AHP

Natural Rubber (NR) is an important agricultural product utilized in various sectors. NR is one of the world's biggest industries and a critical component in many industries such as automotive, manufacturing, and medicine. Liberia is a top producer of NR with over 127 years of production history. However, since 2014, Liberia's NR net production has decreased by 0.7% year on year and has fallen behind Sri Lanka. NR production in Liberia has experienced scant performance due to many factors. In this project, we employ mixed-method research to examine the factors influencing the decline of the Liberian NR supply chain and propose solutions that will further stimulate the industry's growth. We conduct an MCDM study among 34 smallholder rubber farmers from Grand Bassa, Margibi and Bong counties. Their grading of ten policy objectives and recommendations are programmed using Fuzzy AHP.

Does rubber expansion hinder the migration of rural labor? Evidence from southwest China?

AbstractThe expansion of agroforestry crops in South Asia has resulted in the reallocation of local agricultural resources, including labor force. Based on two‐wave panel data collected from more than 600 smallholder rubber farmers in southwest China, this study examines the impacts of rubber expansion on the migration of rural labor. The results show that smallholders planting more rubber plantations have significantly fewer migrant family members and lower likelihood of migration, revealing a significantly negative effect of rubber cultivation on the migration of rural labor. Given that the migration of rural labor is a major trend in rural economic transformation, rubber farming appears to result in the resource curse in rubber planting areas. In addition, a positive interaction effect between rubber cultivation and the price of natural rubber on the migration of rural labor reveals that the resource curse effect of natural rubber decreases with the decrease in the price of natural rubber. A period with a relatively low price of natural rubber provides an opportunity to foster the migration of rural labor in rubber planting areas.

Behavioral Factors Influencing the Adoption of 1/2S d/2 Tapping System by Smallholder Rubber Farmers in Moneragala District

The adoption of the 1/2S d/2 tapping system by rubber smallholders is far behind the expectation of the Rubber Research Institute of Sri Lanka in Moneragala District. This study has assessed the behavioral factors that influence the adoption of the 1/2S d/2 tapping system. Data were collected using stratified random sampling. A self-administrated survey was deployed among rubber smallholders (self-tappers) in Moneragala District during 2020. The conceptual model was developed based on the decomposed theory of planned behavior. Study variables were measured using validated research instruments. A two-stage model-building process was applied. The conceptualized model was tested empirically, using partial least square structural equation modeling (SMART- PLS 3.2 version). The composite six-predictor conceptual framework and structural model explained 79% of the variance in the adoption of the 1/2S d/2 tapping system by rubber smallholders. The adoption of 1/2S d/2 by rubber smallholders positively correlated with the behavioral factors, behavioral intention, and perceived behavioral control. There were positive relationships between; compatibility and attitude, relative advantage and attitude, perceived usefulness and attitude, perceived ease of use and attitude, subjective norms and behavioral intention, facilitating condition, and perceived behavioral control. These findings can help boost the behavioral intention of rubber smallholders in Moneragala District in using 1/2S d/2, especially by improving the aspects of attitude and subjective norms of tappers.

Falling price induced diversification strategies and rural inequality: Evidence of smallholder rubber farmers

Falling price induced diversification strategies and rural inequality: Evidence of smallholder rubber farmers

The role of rubber farming in household dietary diversity in the upper Mekong region, Southwest China

AbstractThe expansion of cash tree crops, such as natural rubber, in the tropical region of South Asia has resulted in an agricultural transformation from subsistence production to market‐oriented production, implicating the local ecological environment, economy, and household welfare. Based on representative household survey data collected from 611 smallholder rubber farmers in the upper Mekong region, Southwest China, this study examines the impacts of rubber farming on the household dietary diversity of smallholders and explores its potential impact channels through farm production diversity and household income. The results show that rubber expansion has significantly improved household income but negatively affected farm production diversity. While rubber cultivation always has significant and positive effects on dietary diversity, it also indirectly impacts on dietary diversity by the two channels, namely farm production diversity and household income. A set of heterogeneous analyses reveals that rubber cultivation contributes more to household dietary diversity for smallholders having relatively low household wealth or living in a village without a market. While the findings confirm the contribution of rubber cultivation to improving household incomes, food security, and nutrition, the potential risks under the background of falling rubber prices cannot be ignored. The findings of this study not only have important policy implications for improving the food security and nutrition of smallholder rubber farmers but also provide a better understanding of the welfare effects of cash tree crop expansion in tropical regions.

Location and economic resilience in rubber farming communities in southwest China

PurposeIn rural areas, geographic location is key to market access and labor mobility of farm households. This paper aims to investigate the opportunities and constraints of smallholder rubber farmers in southwest China to adjust to the changes in economic and institutional conditions, namely the declining rubber prices, emerging land rental markets and growing off-farm job opportunities.Design/methodology/approachThe empirical basis is a dataset of some 600 rubber farmers in Xishuangbanna Dai Autonomous Prefecture, Yunnan Province, collected in March 2015. The study uses instrumental variable and recursive bivariate probit models to account for possible endogeneity and selection bias.FindingsWith rubber prices in decline, the elevation of rubber plantations is an essential factor for the costs of access to the local factor markets and influences farm households' possibilities to adopt coping strategies. Notably, we find a U-shape type of relationship between the location and renting-out land due to the decline in rubber profitability. Rubber producers in low elevations are better bestowed with access to local markets. Households in high elevations, where rubber planting came in later, can shift to new crops like tea. However, the economic resilience of farmers in middle elevations is low due to their higher adjustment costs.Originality/valueThe paper provides a constructive basis for designing more location-specific development policies and can help avoid the past often ineffective blanket measures. Its implications have significant relevance for areas with similar conditions, for example, the remote, ethnic minority–dominated and mountainous rural areas in China.

Climate change and farmers’ perceptions: impact on rubber farming in the upper Mekong region

This article examines the impact of farmers’ perceptions of temperature change on implementing environmentally friendly agriculture practices on rubber plantations. Based on the data collected from 611 smallholder rubber farmers in Xishuangbanna Dai Autonomous Prefecture (XSBN) in the upper Mekong region, an endogenous switching probit model and an endogenous treatment effects model are applied to estimate the impacts of farmers’ perceptions of temperature change on implementing environmentally friendly rubber plantations (EFRP) proxied by the intercropping system. While the real annual average temperature in XSBN has been increasing, only 59% of respondents perceived an increasing trend, whereas over 38% perceived no change. Farmers’ perceptions of temperature change appear to hinge on their education and socioeconomic characteristics and the experience of shocks related to regional climate change. Improving farmers’ perceptions of increasing temperature can significantly foster their practice of EFRP. Hence, policies that promote awareness of regional climate change can effectively encourage the implementation of mitigation practices.

Do transaction costs influence smallholder rubber farmers’ choice of selling outlets? Evidence from Liberia

ABSTRACT This article determines the effect of transaction costs and socio-economic factors on smallholder natural rubber farmers’ decisions to sell at the farm gate to itinerant traders or in the alternative markets in Liberia. Cross-sectional data were collected from 200 smallholder natural rubber farmers through multistage sampling. The results indicate that transaction costs and socio-economic variables significantly influenced the choice of selling outlets. The study recommends that policy could aim at establishing market support services in the form of market information systems and affordable means of transportation to enhance access to up-to-date market information on trading partners and prices.

Rubber Agriculture Tapanuli in the Malaise Era, 1929 – 1939

Entering the early 1930s, people's purchasing power has decreased due to the sluggish world economy. This event was later called "The Great Depression" or better known as "Malaise". This decline also occurred in the automotive industry sector which uses a lot of processed rubber as a supporting component. Reduction of the amount of production in the automotive industry then results in reduced absorption of processed rubber . At the same time, the production of rubber precisely increased. As a result, the price of rubber has dropped dramatically. This condition has certainly hit rubber producers. Including smallholder rubber farmers in Tapanuli who also felt the impact of the economic crisis. This paper discusses the condition of smallholder rubber farming in Tapanuli during the malaise. The discussion starts from the situation of smallholder rubber farming before the malaise, continued with the economic depression and its impact on rubber prices, the policy of production restriction by the Dutch East Indies Government and its application, to the impact on rubber farmers in the region. From the results of this study, it can be said that smallholder rubber farmers in Tapanuli were also affected by the "malaise" but the impact was not significant because the community did not adopt a monoculture pattern.

The Description of Rubber Farmer Management in Sibiru Biru Sub-district, Deli Serdang Regency, North Sumatra and Its Response to the Introduction of Tapping Technology

Production of smallholder rubber in Indonesia is still very low, in the range of 600 - 900 kg of dry rubber/ha/year. Many factors influence it, such as non-clonal plants still being managed. Other factors such as agronomic aspects which include efforts to shorten the TBM period either through agronomic technology (canopy management, fertilization, or ground water management) are still ignored by smallholder rubber farmers, due to the limited access, capital, and even the perception that rubber plant production will not experience significant increase through tapping systems. The main and first approach that must be taken at this time on smallholder rubber is a new technology in tapping and management. This activity was carried out by four meetings and training in the garden of one of the trainees. Trainees consisted of rubber farmers in Sari Laba Jahe Hamlet, which also included rubber farmers from Peria Ria Hamlet - Sibiru Biru Sub-district (Deli Serdang Regency, North Sumatra). The package of tapping technology introduction consists of 3 main elements, namely: 1) tapping starts from the upper left to the lower right in each tapping field, 2) the application of 2.5% stimulant concentration is carried out in the tapping groove every 4 tapping times and 3) tapping in a month can be combined with tapping 1/S to the top using a pacekung tapping knife. Thus, in a month done 4 times of double cut tapping, namely 1/2S (in the lower tapping area using an ordinary tapping knife, downward: pull method) + 1 / 4S (upward using a pacekung tapping knife: shearing method). The results of this activity show that it can increase the production, thereby increasing the volume of sap sold. This activity also shows that the dominant farmers manage 1 hectare of land, and with the planting year and planting material that have the potential to be increased in production through tapping systems. The survey results show that general knowledge about rubber cultivation is dominantly obtained from this activity.