Financial Incentives and Support Schemes: Boosting Competitiveness of Indian Rubber

By AdminPublished On: February 20, 2025Categories: Rubber Board0 Comments

India’s rubber industry plays a pivotal role in the nation’s economy, serving as a backbone for various sectors such as automotive, healthcare, and manufacturing. To enhance the global competitiveness of Indian rubber, the Rubber Board of India has implemented a series of financial incentives and support schemes aimed at bolstering exports and ensuring sustainable growth. This article delves into these initiatives, providing detailed facts and figures, and explores how Altus Exports can collaborate with Indian manufacturers to expand their global footprint.

Financial Incentives by the Rubber Board

The Rubber Board of India, operating under the Ministry of Commerce & Industry, has introduced several schemes to support rubber exporters. These initiatives are designed to encourage quality enhancement, market expansion, and adherence to international standards.

Export Incentive Scheme for Sheet Rubber

In March 2024, the Rubber Board announced an export incentive scheme to boost the export of sheet rubber. Under this scheme, exporters are granted an incentive of ₹5 per kilogram for sheet rubber exported between March 15 and June 30, 2024. This initiative aims to align domestic prices with international markets and stimulate exports. To qualify, exporters must possess a valid Registration-Cum-Membership Certificate (RCMC) issued by the Rubber Board and be registered to use the Indian Natural Rubber Logo. The Board reimburses exporters upon submission of the required documentation, which also covers branding costs.(The New Indian Express)

Incentive Scheme for Branded Natural Rubber (NR)

To promote the export of branded natural rubber, the Rubber Board offers financial assistance to exporters. The incentive is set at ₹2 per kilogram dry rubber content (drc) for Centrifuged Latex (60% drc). This scheme encourages exporters to focus on quality and branding, thereby enhancing the reputation of Indian natural rubber in global markets. Exporters are required to apply in the prescribed format to avail of this benefit.

Support for Rubber Wood Exporters

Recognizing the potential of rubber wood in international markets, the Rubber Board provides financial assistance to exporters for developing new markets. This support includes aid for participation in international trade fairs, market study tours, and assistance in obtaining international certifications. The objective is to build global marketing capabilities and enhance the competitiveness of Indian rubber wood products.

Impact of Financial Incentives

The introduction of these financial incentives has had a measurable impact on the Indian rubber industry:

Export Growth: The export of natural rubber during the fiscal year 2020-21 was valued at $16.67 million (₹123.28 crore). While there was a slight decrease compared to previous years, the implementation of targeted incentives is expected to boost export figures in subsequent periods.(Rubber Board)
Price Stabilization: The export incentive of ₹5 per kilogram for sheet rubber aims to stabilize domestic prices by encouraging exports, thereby reducing surplus stock in the local market. This move is anticipated to benefit both producers and exporters by ensuring better price realization.
Market Diversification: Financial support for market development activities has enabled exporters to explore new regions, reducing dependency on traditional markets and spreading risk.

How Altus Exports Can Assist Indian Manufacturers

Altus Exports is committed to facilitating Indian manufacturers in reaching global markets efficiently and effectively. By partnering with Altus Exports, manufacturers can leverage a range of services designed to simplify the export process and enhance market presence.

Expertise in Identifying International Buyers

Altus Exports excels in pinpointing potential buyers across various international markets. Utilizing a deep understanding of market trends, buyer behavior, and industry demands, Altus matches products with the right clientele, ensuring a higher success rate in export ventures.

Access to Comprehensive Market Intelligence

With subscriptions to numerous databases and information sources, Altus Exports provides up-to-date market intelligence. This access enables manufacturers to identify new opportunities, understand market dynamics, and stay ahead of competitors.

Skilled Marketing Team

The marketing team at Altus Exports employs a blend of traditional and digital marketing techniques to promote products internationally. From creating compelling marketing materials to executing targeted campaigns, the team ensures that products gain maximum visibility in the global arena.

Extensive Network of Contacts

Over the years, Altus Exports has built a vast network of contacts, including distributors, agents, retailers, and other key stakeholders. This network facilitates smoother market entry and quicker establishment of products in new territories, providing manufacturers with a competitive edge.

Partnership Model

Altus Exports offers a collaborative partnership model where they act as an extension of the manufacturer’s business. This includes handling export documentation, ensuring compliance with international regulations, and providing logistical support. By managing these complexities, Altus allows manufacturers to focus on their core operations while expanding globally.

To explore partnership opportunities and learn more about how Altus Exports can assist in exporting products, manufacturers are encouraged to visit their Manufacturer Partnership page.

Conclusion

The financial incentives and support schemes introduced by the Rubber Board of India are pivotal in enhancing the global competitiveness of Indian rubber. These initiatives not only provide monetary benefits but also encourage quality improvement and market expansion. By collaborating with experienced export partners like Altus Exports, Indian manufacturers can navigate the complexities of international trade, capitalize on available incentives, and establish a robust presence in the global market.

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Financial Incentives and Support Schemes: Boosting Competitiveness of Indian Rubber