National Rubber Policy 2019: A Comprehensive Framework for Sustainable Growth of the Indian Rubber Industry

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Dated: 24.03.2026

National Rubber Policy 2019: A Comprehensive Framework for Sustainable Growth of the Indian Rubber Industry

The National Rubber Policy (NRP) 2019, formulated by the Department of Commerce under the Ministry of Commerce & Industry, Government of India, is a landmark initiative aimed at fostering the sustainable development of the Indian rubber industry. Recognizing the industrial, environmental, and strategic significance of natural rubber (NR), the policy outlines a roadmap to address challenges, leverage opportunities, and ensure the welfare of stakeholders across the rubber value chain.

Preamble and Objectives 

The policy acknowledges the vital role of NR, derived from the tree species Hevea brasiliensis, in industrial and economic progress. It emphasizes the need for targeted interventions to boost domestic production, meet growing demand, and protect the livelihoods of small and marginal growers. The overarching goal is to develop an environmentally sustainable and globally competitive rubber industry that contributes to national economic progress while ensuring stakeholder welfare.

The key objectives of the policy include:

Promoting sustainability across economic, social, and environmental dimensions.
Developing the entire rubber value chain, from upstream production to downstream manufacturing.
Expanding the area under NR cultivation without compromising forests, ecosystems, or food security.
Enhancing productivity through agro-management practices and systematic replanting.
Meeting domestic raw material requirements through increased production.
Ensuring processed NR meets international quality standards.
Supporting the growth of the rubber product manufacturing sector and promoting exports.

Global and Indian Rubber Industry Context 

Globally, NR is a strategic industrial raw material, with major producers including Thailand, Indonesia, Malaysia, Vietnam, China, and India. India ranks as the sixth-largest producer and second-largest consumer of NR, with a production capacity of 900,000 tonnes and consumption of 1.1 million tonnes annually. However, 40% of India’s NR consumption is met through imports, highlighting the need for increased domestic production.

The Indian rubber industry is characterized by the coexistence of a well-established production sector and a rapidly growing manufacturing sector. Kerala and Tamil Nadu dominate traditional rubber cultivation, while non-traditional regions like the North East, Odisha, and Karnataka offer significant potential for expansion.

Policy Interventions

The NRP 2019 outlines several policy interventions to address challenges and ensure the holistic growth of the rubber industry:

Status of Natural Rubber: The policy explores treating NR as an agricultural product for domestic policies, ensuring income from rubber production is considered agricultural income.
Sustainability in Production: The policy aims to meet 75% of NR demand through domestic production by 2030, requiring annual planting and replanting of 8,000 ha and 10,000 ha, respectively.
Complementary Growth of the Value Chain: Efforts will focus on synchronizing growth across all links of the rubber industry, including production, processing, manufacturing, and trading.
Centre-State Synergy: Collaborative planning and execution of rubber development programs will be promoted, with the formation of State Task Forces to address regional issues.
Import-Export Policy: The policy seeks to balance NR imports to protect domestic growers while ensuring affordable raw material for manufacturers. Export promotion will focus on temporary demand-supply adjustments and branding Indian NR internationally.
Revamping Institutional Framework: The Rubber Board’s functioning will be aligned with policy requirements, emphasizing facilitation and promotion over regulation.
Livelihood Protection: Insurance and price support mechanisms will be introduced to safeguard small and marginal growers from price volatility.
Climate Change Integration: Research on climate-resilient technologies and mitigation protocols will address the impact of climate change on rubber plantations.

Operational Interventions

To achieve the policy’s goals, the following operational strategies will be implemented:

Area Expansion: Non-traditional regions, especially the North East, will be prioritized for rubber cultivation, with financial assistance and extension services provided to resource-poor communities.
Replanting Senile Rubber Areas: Systematic replanting of aging plantations with high-yielding, disease-resistant varieties will be undertaken.
Productivity Enhancement: Quality planting materials, agronomic practices, and extension strategies will be promoted to boost productivity.
Addressing Labour Shortages: Initiatives like Tappers Banks and skill development programs will tackle the shortage of skilled rubber tappers.
Rubber Processing: A gradual shift from sheet rubber to block rubber will be encouraged, with support for group processing centers and automated grading systems.
Market Interventions: Cooperative marketing societies and grower forums will be strengthened to increase their share in rubber trading. Futures trading and auction systems will be explored for fair price discovery.
Price Safety Mechanisms: Programs to address market uncertainties and protect smallholders from price volatility will be developed.
Rubber Consumption and Export Promotion: Efforts will focus on increasing per capita rubber consumption, promoting rubberized roads, and supporting MSMEs in manufacturing and exporting rubber products.
Commercial Utilization of Rubber Wood: Rubber wood will be promoted as a sustainable alternative to conventional timber, with harmonization of legal provisions for harvesting and marketing.
Substitutes and Alternatives to NR: The policy supports increased production and consumption of synthetic and reclaimed rubber while exploring alternative sources like Guayule and Russian Dandelion rubber.
Carbon Market: Rubber plantations’ high carbon sequestration potential will be leveraged to explore carbon trading opportunities under mechanisms like the Clean Development Mechanism (CDM).

Research and Training 

The Rubber Research Institute of India (RRII) will lead research efforts across the rubber value chain, focusing on genetic improvement, climate resilience, sustainable farming systems, and technological advancements in rubber product manufacturing. Coordinated research among institutions and industry participation will be emphasized to align research with industry needs.

Training and skill development programs will address the shortage of skilled tappers and enhance the capabilities of growers, scientists, and field staff. ICT-based extension technologies and modern communication tools will be utilized to improve knowledge dissemination.

Financial Support

The policy calls for proportionate budgetary provisions to support global competitiveness, research, productivity enhancement, skill development, and the protection of smallholders and workers. Funds will be converged with other government programs like MGNREGA and Tribal Affairs for effective implementation.

Implementation and Review 

The Rubber Board, established under the Rubber Act 1947, will serve as the designated agency for implementing the policy. Synergy with various ministries, departments, and state governments will be ensured, with periodic reviews to assess progress and make necessary adjustments.

Conclusion

The National Rubber Policy 2019 is a forward-looking framework that addresses the challenges and opportunities in the Indian rubber industry. By focusing on sustainability, productivity, research, and stakeholder welfare, the policy aims to transform India into a globally competitive hub for rubber production and manufacturing. With effective implementation and collaboration, the policy has the potential to drive significant growth and innovation in the sector, contributing to national economic development and environmental sustainability.

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Source: Department of Commerce, Ministry of Commerce & Industry, Govt. of India

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