JAKARTA — The head of Indonesia’s main rubber producers’ group has warned that the industry faces decline unless President-elect Joko Widodo takes urgent action to improve the country’s infrastructure. Daud Husni Bastari, chairman of the Rubber Association of Indonesia, said Widodo must deliver on campaign pledges to improve infrastructure. “We need ports, we need roads,” Daud told the Nikkei Asian Review.
JAKARTA – A five year slump in rubber prices has hit Indonesia’s 2 million rubber farmers hard, slashing their incomes almost in half and prompting some to look at switching to other crops. “In the current price scenario of continuous fall in prices, small growers across regions are expected to respond through controlling natural rubber supply, irregular tapping plus accelerated clearing of aging trees and a shift to other crops like oil palm,” said Lekshmi Nair.