Rubber production incentive activated for Sabah and Sarawak smallholders

LocalBusiness & Finance
1 Apr 2026 • 9:43 AM MYT
The Sun Daily
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The Rubber Production Incentive is activated for March 2026 in Sabah and Sarawak due to low farmgate prices, with payments scheduled from April 1-30.

KUALA LUMPUR: The Rubber Production Incentive has been activated for rubber smallholders in Sabah and Sarawak for March 2026.

The Malaysian Rubber Board stated this follows lower average farmgate prices for cuplump rubber in both states falling below the RM3.00 per kg threshold.

The average farmgate price for March was RM2.95 per kg in Sabah and RM2.85 per kg in Sarawak.

The incentive is not activated in Peninsular Malaysia where the average price was higher at RM3.30 per kg.

MRB said the IPG rates for cuplump rubber in Sabah are set at five sen per kg for 50% dry rubber content and 10 sen per kg for 100% DRC.

In Sarawak, the rates are 15 sen and 30 sen per kg respectively for the same DRC levels.

Meanwhile, the IPG rate for latex has been fixed at 90 sen per kg for latex with 100% DRC.

This latex incentive will be activated concurrently with the cuplump incentives.

Eligible smallholders in Sabah and Sarawak will receive the IPG payments from April 1-30, 2026.

Payments are based on their documented rubber production for March 2026.