Risda Plans To Venture Overseas

MARANG (Terengganu, Malaysia), Nov 3 (Bernama) -- The Rubber Industry Smallholders Development Authority (Risda) will expand its operations overseas in such countries as Vietnam, Cambodia and Laos, its chairman Rahim Tamby Chik said. "Risda will send a delegation to countries with potentials for rubber plantation to see if we can go in there. "But we will first have to look at the law whether we can do this," he told reporters after handing over contributions to non-governmental organisations and handing over Risda replanting assistance scheme, here. He said Risda would not rush into the venture, saying that what was important was to ensure the viability of such undertaking. The fact-finding mission would take place next year, he said, adding that the agency would then brief the prime minister on whether there was potential for such project. Meanwhile, he said Risda allocated RM157 million (US$49.8 million) from its own fund and from government allocation for the replanting scheme covering an existing area of 51,000 hectares and new areas of 3,000 hectares. With the increase in areas for rubber plantation, the government targeted a production of 1.8 million tonnes of rubber a year from 1.1 million tonnes at the moment, he said. Among the challenges faced in the replanting scheme was the reluctance among some smallholders who wanted to continuously tap their old rubber trees. "This is not the way, we should look into the future. I foresee the price of rubber to remain good," he said, adding that the price was determined by producing countries like Malaysia, Indonesia and Thailand, thus giving it stability. There would be continuous demand for rubber from new economies such as India, China, Russia and Brazil, he said. -- BERNAMA