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Thai farmers tap into sustainable rubber industry

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“RIGHT TIME, RIGHT MESSAGE”

Adopting more sustainable methods has enabled Wanida to sell her rubber at a higher price, earning her around US$650 a month instead of US$550.

Thailand exported nearly US$6 billion of rubber in 2021, the vast majority of it produced by small-scale farmers who sell to middlemen – so financial incentives are key to changing methods.

“When I talk about sustainable development for the first time, people look at me with a smile and a big question mark on their face,” said Maiprae Loyen, co-founder of Agriac, a rubber intermediary set up in 2019 to promote good practices among farmers in southern Thailand.

The firm works with roughly 1,000 small farmers – 60 per cent of them women – many of whom previously thought environmentally friendly methods were a “burden”, said Maiprae.

But they were convinced by both the financial returns – Agriac offers a 3 baht (US$0.09) bonus per FSC-approved kilogram (2.2 pounds) sold – and also the ecological benefits, she said.

Later she pointed to the cracked soil of another rubber plantation in Surat Thani, the result of unsustainable “chemical products”.

“It’s time that people start to understand that the value of things is not defined by price tag,” she said.

“It’s the right time, the right message.”

CHINA DRAG

But Agriac farmers are just a few leaves in the forest of Thailand’s rubber industry: Only 2 per cent of the nation’s roughly 3.2 million hectares of plantations are worked under FSC guidelines.

In December, the European Union agreed to ban the import of rubber deemed to contribute to deforestation, a move hailed as a milestone by green groups.

But the impact of this change on Thailand will be limited, said Krungsri Bank analyst Chaiwat Sowcharoensuk, because China – which accounts for almost half of the kingdom’s market – does not prioritise sustainability.

While medium and large firms do cater to Western consumers, he said, the shift was yet to trickle down to smallholders.

“But if one day China announces a plan about sustainable rubber, then local farmers would pay attention,” he said.

“If they can’t sell their rubber, then they would take action.”

Rosoman of Greenpeace said that with question marks hanging over certification schemes such as FSC, tougher regulation like that imposed by the EU will be key to sustainability.

The future of natural rubber should be “very bright” he said, as the alternative – synthetic rubber produced from oil – is highly polluting.

For Wanida, out tapping her trees at 3.00am with her faithful dogs yapping at her heels, rubber is in her blood.

Passed down from her grandfather to her father, the plantation might be taking a new direction under her care.

But, she says, “I’m still a rubber farmer through and through”.

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