Rubber manufacturers in North Sumatra threatened to stop the operation, due to the drag supply of raw materials in the last month. Yet all this time, rubber manufacturers in this region only produce 50% of installed capacity of 800 thousand tons per year.
"Entrepreneurs are complaining about the depletion of raw material supply, which is only enough for 3-4 days," said Executive Secretary of Indonesian Rubber Association (Gapkindo) Sumut Edy Irwansyah in Medan.
Employers are worried that this will disrupt the fulfillment of rubber export contracts for the end of 2017 and early 2018.
Edy as quoted from Antara revealed, the difficulty of raw materials due to lack of supply from collecting merchants. Farmers are reluctant to tap rubber into the garden, because the price of rubber latex does not benefit them.
The price of rubber or bokar materials in North Sumatra is only around Rp 5,000 to Rp 7,000 per kilogram. The farmers rate a decent price for their rubber latex, at least Rp 10,000 per kg.
The price is considered farmers are too low so it can not cover the cost of the garden and the necessities of life. "Farmers choose not to tap the sap and switch professions like a construction worker."
He admitted, all this time to cover the shortage of supply from North Sumatra, entrepreneurs bring bokar from Aceh, Lampung, Kalimantan and Sulawesi. "Supply bokar from other regions to maintain the confidence of buyers from abroad and avoid fines," said Edy
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