ABSTRACT

Plantation Management in South Assam:

A Study of the Rubber Plantation in Barak Valley

Thesis submitted to Assam University, Silchar for the award

of the degree of Doctor of Philosophy in the Department of

Business Administration.

By

Bimal Sinha Ph.d. Registration No: Ph.d./1037/2009

Dated: 29-10-2009.

DEPARTMENT OF BUSINESS ADMINISTRATION

Jawaharlal Nehru School of Management Studies

Assam University, Silchar - 788011.

1

Plantation Management in South Assam:

A Study of the Rubber Plantation in Barak Valley

Chapter: 1

Introduction

1. Introduction

1.1. An Overview of Natural Rubber Plantation Management

Natural Rubber is nature‟s most versatile vegetable product. This material has

multifarious uses and there is hardly any segment of life, which does not make use of

rubber-based materials. The rubber is an important cash crops and national wealth like

crude oil. During 20th century several epoch-making discoveries were made in the

processing, compounding and use of natural rubber, which resulted in tremendous

increase in the demand for this product. The future of Natural Rubber will also be

bright in view of its special qualities and its competitiveness among synthetic and

Reclaimed Rubber.

„The name “Rubber” is derived from the quality of the material rubbing black

lead pencil marks out of paper. Joseph Priestly the British chemist is said to have used

rubber for this purpose in 1770.‟1

With the growth of automobile industries, tyre manufacturing industries and

other rubber based industries in India, the demand for natural rubber has significantly

increased over the last two decades. As the land available for expansion of area in the

traditional rubber growing area is limited and to meet the domestic demand, many

schemes for rubber plantation have been implemented in non-traditional areas like

North Eastern Region considering region‟s vast resource of uncultivated hilly land

and favorable agro-climatic condition.

In North East India, the Rubber Board implemented a project for development

of Rubber plantation during the six year period from 1984-85 to 1989-90 under the

project 24,000 hectares of land for Rubber planting against this target Rubber Board

achieved actually 23,155 hectares of land. „An assessment made by the Rubber Board

indicates the rubber plantation can be raised in about 450,000 hectares of land in

North East India‟2

. „Total area under rubber plantation in Barak valley has increased

from 2672.17 hectare in 2006 to 3030.86 hectares in. 2007. The annual rubber

2

production has also shown marginal improvement from 6,77MT in in 2006 to 678MT

in 2007‟3

.

The Rubber Research Institute of India in 1954 evolved high yield clone that

is naturally suitable to agro climatic conditions of our country. And especially RRII

has recommended some high yield and naturally suitable clones for North Eastern

region i.e. a) RRII-105 b) RRIM-600 c) GT-1. (RRII).

„Plantation management generally refers to application of modern technique of

management such as planning, organizing, optimal use of resources, etc in agri-

plantation for increasing the productivity level and profitability'.4.

At present, most commonly used technique of rubber plantation is bud grafting

and poly bag method of planting. Land preparation and soil conservation are

necessary before planting rubber and plant is generally done during favourable

weather. Rubber plantation is suitable in tropical region and it takes about 6-7 years to

give latex which is used for manufacture of rubber.

Latex of rubber tree is obtained from the bark of the rubber tree by tapping.

The rubber tree tapping‟s are mainly three types namely Scientific tapping, High level

tapping and controlled upward tapping. For the rubber tree rain guarding can be

carried out during rainy season by fixing rain guard polythene above the tapping cut.

„The marketable forms of natural rubber are 1) Sheet rubbers 2) Crepe rubbers 3)

Preserved field latex and latex concentrates and 4) Block rubbers‟5

.

There are three types rubber used for industrial purposes. They are synthetic

rubber, reclaimed rubber and natural rubber. The synthetic rubber is the rubber made

from the petroleum byproduct. Reclaimed rubber is manufactured by treatment of old

and worn-out tyres, tubes and other used rubber articles with certain chemical agents

at a high temperature and pressure.

The most commonly used variety of rubber in India is “hevea brasiliensis”

due to high yield (latex) and resistance to diseases and adverse climatic conditions.

This variety of rubber is the native of the Amazon River basin of South America. „It

was introduced in tropical Asia in 1876.‟6

In India, rubber plantation was started in southern region in 1886.

The rubber growing areas of the country have been divided in three zones i.e. -

1) Traditional Area - Kerala, Kanyakumari and district of Tamilnadu. 2) Non-

Traditional Area – including all states other than Traditional Area and North Eastern

3

Region. 3) North Eastern Region - including North Eastern Region and part of West

Bengal.

Rubber is being long gestation crop taking about 7 years to come to yielding;

the tribal families have to be supported during immature phase. To supplement the

income derived though wages additional income in Tribal families including women

by forming SHG (Self Helf Group), Co-operatives and RPS in Tripura under World

Bank assisted Rubber project 4000 families benefited through these activities and the

scheme has been successful.

The Govt. of India and Rubber Board have taken an initiative for “Settled

cultivation of Rubber” instead of hereditary “Jhum cultivation”. In addition to that

Govt. provides more priority to SC and ST for schemes and subsidies in North

Eastern Region.

In 10th plan total financial out lay of Rs.84 Cores has been approved by the

Govt. of India for the Rubber plantation development in North East India. The scheme

has the following Components for new planting and replanting, demonstration of

agro-management practices, education campaign programmes and farmers meeting,

quality up-gradation and human resource development.

1.2. Relevant of the study:

Over the decades, the importance of rubber in modern life has increased

considerably. Natural Rubber (NR), an industrial raw material of strategic importance

is among the most versatile agricultural products and finds use in about 50,000

products over the world. In India, around 35,000 products are made out of NR. From

an agro-ecological point of view, rubber is an eco-friendly tree species and reproduces

a stable ecosystem similar to natural forest, in addition to giving high economic

returns.

The cultivation of is chief means of livelihood for millions of people in many

rubber growing countries of the far east, who depend directly or indirectly on wages

or profits received from the production of rubber plantation7.

The nineteenth century witnessed rapid growth in the automobile industry

which led to an ever growing demand for NR and paved the way for tremendous

advance in the scientific and technical know-how in NR processing. Annual

consumption of NR expanded to thousand tonnes8.

4

Demand for natural rubber showed a sudden increase in the 20th

century,

because of the rapid growth in automobile industry with its demand for tyres. This

intensified search for new sources and encouraged efforts to cultivate rubber yielding

plants9.

The main objectives of growing intercrops in the immature phase of rubber

plantations are ancillary income generation. Intercropping is recommended in the first

three years of planting as rubber canopy takes two or three years to shade the inter

row areas. It is popular among the smallholders and is normally determined by the

asset levels, nature of labour, alternative sources of income, relative agronomic

suitability and profitability of the intercrops10

.

Popular intercrops in India are „nendran‟ banana, non-„nendran‟ banana,

pineapple, ginger, turmeric and tapioca. The benefit-cost ratio of intercropping with

banana in the first three years of rubber planting ranged from 1.51 to 1.60 lakhs, with

ginger from 0.84 to 3.02 lakhs and turmeric from 1.52 to 2.47 lakhs11

.

An economic analysis of pineapple intercropping in the first three years has

shown a benefit cost ratio of 2.27 lakhs12

.

Rubber seed cake is rich in protein and has been evaluated as a source for

cattle and poultry feeds13

.

The current industrial use of the seed oil is confined to soap manufacturing

industry14

.

Though rubber seed oil can be used as a substitute for linseed oil in the

manufacture of paints, the easier availability of linseed oil and its lower price are the

major factors preventing a large-scale substitution of linseed oil in the paint

manufacturing industry. Epoxidized rubber seed oil is used in the formulation of anti-

corrosive coatings, polymer additives and alkyd resin casting15

.

Organized commercial exploitation of honey from rubber plantation in India is

a relatively recent development under the auspices of Khadi and Village Industries

Commission (KVIC). The estimates on the production of apiary honey provided by

KVIC underline the importance of rubber plantations as a source of honey. In 1980s,

the estimated relative share of rubber honey in the total apiary honey production in

India was about 40 percent16

.

The steady growth in the commercial importance of rubber wood since the

1980s has been influenced by the development in the world timber market

5

characterized by geographical concentration of demand and supply, uncertainty over

the potential sources of supply and efforts to identify environment-friendly types of

wood17

.

In 1968, Rubber Small Holdings Economics Enquiry Committee appointed by

the Ministry of Commerce, Government of India conducted a study on economics of

rubber small holdings in India. The committee observed that small growers react more

quickly to price changes than large growers. The potential of the small holding sector

as the source of employment and livelihood to a sizable section of the population is

emphasized in the study18

.

The study was to examine the living conditions of the plantation workers. The

major conclusion are that 61.1 % of the expenditure of the plantation workers is

incurred on food articles and that the net difference between income and expenditure

of families surveyed was found to be positive19

.

The management practices in the large number of the rubber plantations under

various organizational set up widely differ from each other. It was observed by the

study that the rubber plantations offer tremendous opportunities to implement modern

management techniques to improve both production and productivity20

.

However, only few studies have been revealed the aspects of the rubber

plantation. A brief glance over the related literature shows that analysis so far has

been the following aspects.

Firstly, the number of rubber based materials in the world and India; it‟s

utilization in the modern world.

Secondly, rubber cultivation is ancillary income generation which has greater

role in millions of people livelihood and its economic upliftment either

directly or indirectly.

Thirdly, living conditions of rubber plantation labour and its income,

expenditure of families are able to carry in full swing.

Finally, it is revealed that large number scopes to apply modern and scientific

management skills to promote the both production and productivity.

The present study would help the rubber plantation in Barak valley and concerned

authority as well as the academician for their further study.

6

1.3. Statement of the problem

In North East India the rubber plantation started at Barak valley more than two

decade earlier. But there were no significant improvement in production as compare

to other region. As per the available records of Rubber Board, there are about 3709

rubber plantation units in Barak valley giving total annual rubber production of about

678MT in 2007. Most of the existing rubber plantation units in Barak Valley are

small growers ranging from 0.5 to 2.0 hectare. Annual production of rubber per

hectare of plantation is 1200kg in Barak valley as compare to 1500kg in traditional

areas like Kerela and southern parts of the country. Therefore, it is important to know

why there is low productivity of rubber in Barak valley as compare other region in

spite of favourable climatic condition and various governments.

The rubber plantation units play an important role in the society for generating

income and livelihood of the poor section of the society. It also offers huge

employment opportunities for local labours and also contributes to the overall

economy of the state. Since, rubber plantation is labour intensive, labour management

is very sensitive and critical for success. Thus, plantation management generally

focuses on the effective management of labours. Thus, it will be important to study

the implication of current management practices which enhances the productivity and

growth of this sector in Barak valley.

Barak Valley being non-traditional rubber plantation area, there is no any

marketing infrastructure and storage facility for Dry Rubber Content (DRC) which

also hampers the healthy growth of rubber plantation in this part of the country.

Therefore, some of the basic questions raised for better understanding this sector are:

What are the problems and issues being faced by these units? What are the key

priority areas for improving management practices for increasing productivity and

profitability? The proposed study aims to find answers for these questions. The

findings of the study on plantation management will be useful not only for rubber

plantation units but also for the policy makers (govts.) and academician.

1.4. Review of Literature

Some of the literatures reviewed for the purpose of the study are presented

below. Reddy (1950) focused the problems of the small growers; it insisted the need

7

for an efficient marketing organization in the small holding sectors and to support to

receive the real price of rubber sheet.

Baptiste (1962) highlighted the tapping is a skilled work which needs proper

training and guidance. A genuine tapping is one which gives the highest production at

the lowest tapping cost, satisfactory growth and bark renewal and the lowest

incidence at the bark of the tree.

Rae (1977) revealed the static analysis for a given year may be sufficient for

seasonal or annual crops but perennials like rubber require inter-temporal analysis. As

cost and income flows occur in different years, any financial analysis should be based

on the present values of the cash flow rather than the actual values.

Dand (1983) forecasted the prices of RSS 1 and RSS 2 sheet rubber using the

box and Jenkins technique. Starting with a generalised forecasting model, he worked

out the forecasts after completing the steps involved such as identification, estimation

and diagnostic checking.

Chew (1984) estimated the rate of technological change in Chinese rubber

small holdings in Peninsular Malaysia under the frame work of a production function.

The study concluded with the observation that the technological change in Chinese

rubber small holdings is the capital-augmenting type. The estimated rate of progress

was about 1.2 percent per annum.

Blencowe (1989) studied different rubber tapping techniques for increasing

the rubber yield and productivity. The study found that the main factor leading to

declining profit per hector of rubber plantation were labour problems and increasing

wage rates.

According to Pillai (1989) the modern management practices are followed in

other industries has not properly use in rubber plantation in India. There was wide

variation in management practices followed by rubber plantation units depending on

type of organizational set up.

Webster and Wilson (1989) observed seed of a number of crops, including

rubber, tea, coffee and cocoa loses viability fairly rapidly on storage and it is therefore

desirable to sow it as soon as possible after it is harvested. However, this is not always

practicable and the viability of some seeds can be maintained for considerable periods

under appropriate conditions of storage.

8

The study of Jayagopal (1990) showed that on the unorganized sectors there

was rapid growers and labours development, the psycho-social analysis, Human

resource development linkages, Human capital, Economic development, literary

program and Plantation industry and HRD strategies.

Joseph & Rajasekharan (1991) depicted that labour requirement in non-

traditional area for operations such as cleaning terracing and weeding is significantly

higher. In dry areas for life saving irrigation is required especially during the initial

years.

Keasey & Watson (1993) highlighted the role of small firm sectors for

restructuring large firm sectors in linking various inputs of production. Size of the

firm can be categorized in terms of employees, assets or sales.

Evans (1996) described that the tropical plantation species, negative and

positive factors of plantation development. Highlighting the some social and

economic factors is in tree plantation in rural development of developing countries.

Ghosh & Mitra (1997) described the common method of propagation of

rubber (Hevea Brasiliensis variety) through seed and compared with common method

of clonal planting in terms of production yield. The study reveals that polyamine (PA)

content was higher in rubber planted through seed.

The study of Goswami (1999) on industrialization in Assam during nineteenth

century found that the main reason for unsuccessful of rubber industry in Assam

during 19th century was labour problems i.e lack of labour supply and low wages.

Rubber plantations could have been developed extensively as Tea plantation if

adequate interest has taken at beginning.

Pothen. et.al. (2000) revealed that the plantation management practices in both

small and large holding sectors consists of planning, organizing, implementing and

monitoring different aspects of the plantation to secure optimum level of production.

The basic components of management in rubber plantation which are applicable to

both traditional and non-traditional area are material and processing management,

marketing management, financial management and labour management.

Speight and Wyle (2001) examined various forest management practices and

techniques of nurseries, planting and pest control for improving quality of tree

plantation.

9

Punnoose (2002) depicted that the potential of high yielding clones can be

realized only through scientific field management. The scientific practices in various

agro-management factors viz. planting materials, density of planting, soil

conservation, fertilizer and weed management, irrigation, intercropping and farm

mechanization.

Joshi, Wibawa, Benkema, Williams and Noordwijk (2003) found biodiversity

in Jungle rubber gardens is a result of farmer‟s management decisions that (implicitly)

determine the structure and composition of the vegetation, providing a habitat for

birds, mammals, insects and other organisms. Weeding is usually restricted to the first

few years after slash-and-burn when rice and annual crops are grown with the newly

planted rubber.

The study of Maithani (2005) on shifting cultivation in north east India

highlighted that importance and success of rubber plantation programmes in Tripura

in reducing the shifting cultivation.

The study of Kumar (2006) on immigrant tea plantation labourers found that

family migration of labour to the tea plantation was encouraged to make the labour

stable and settle permanently in the tea estates. Methods of recruitment, before the

amendment of Act 1915, there were two important methods of recruitment of labour

in Assam tea plantation, viz, Contractors system 1859-1915 and Garden Sardars

system 1870-1959.

Kurian (2006) revealed that the importance of forests in climate change

condition is discussed here in the context of CDM forestry activities with special

reference to natural rubber plantations.

Rangaswami & Mahadevan (2006) analysed yield pattern and disease of a

most popular variety “Hevea brasiliensis” which is also commonly known as “para”

rubber. It requires minimum of about 150 to 200 cm rainfall annually, together with

warm temperature and well-drained soil. In India the Western Ghats are well suited

for its cultivation.

Sinha (2006) studied the importance and roles of forestry for maintaining

ecology and socio-economic benefits to the people. He also described the various

strategies and methods for combating deforestation which are commonly practiced

many developed countries.

10

Bhatia (2007) studied various issues related to agribusiness management and

described various parameters for successful running of agribusiness firm like

defining the opportunity, identifying the organisers, setting goals for the business;

determine the market potential for the commodity, product or service, conducting a

detailed feasibility study, implementing plan etc.

The study of Gangopadhyay (2007) on crop production systems management

discussed economics of farm management. According to him farm management

involves three elements Viz. the scarcity of resources, their alternative uses and the

objective of profit maximisation. Farm management also deals with the growth and

stability aspects of economics.

It is observed from the review of above relevant studies and literature that no

research study has been done on rubber plantation management in Barak Valley.

Therefore, the propose study intends to provide a comprehensive study of rubber

plantation management in Barak Valley covering labour management, propagation,

taping technique, productivity, marketing and profitability of rubber plantation unit.

Conclusion from the literature review

There is a need for an efficient marketing organization in the small holding

sectors and the support for receiving the real price of rubber sheet.

The tapping is a skilled work which needs proper training and guidance. A

good tapping enhances the productivity.

As cost and income flows occur in different years, any financial analysis

should be based on the present values of the cash flow rather than the actual values.

There are different rubber tapping techniques for increasing the rubber yield

and productivity. The study found that the main factor leading to declining profit per

hector of rubber plantation were labour problems and increasing wage rates.

The modern management practices followed in other industries have not

properly used in rubber plantation in India. There was a wide variation in

management practices followed by rubber plantation units depending on type of

organizational set up.

Size of the firm can be categorized in terms of employees, assets or sales. The

main reason for unsuccessful of rubber industry in Assam during 19th century was

labour problems i.e lack of labour supply and low wages. Rubber plantations could

11

have been developed extensively as Tea plantation if adequate interest has taken at

beginning.

The basic components of management in rubber plantation which are

applicable to both traditional and non-traditional area are material and processing

management, marketing management, financial management, labour management and

farm management involves three elements viz, the scarcity of resources, their

alternative uses and the objective of profit maximisation. Farm management also

deals with the growth and stability aspects of economics.

1.5. Research Gap

From the review of available literature it is found the research gap in the

following areas.

It is emphasised the need for an efficient marketing organisation in the small

holding sector.

There is a lack of proper cultural practices is one of the major reasons

affecting the productivity in small holdings.

The industry requires stable price at remunerative levels to sustain it and

expand.

It is observed by the study that the rubber plantation there is a lack of modern

management techniques to improve both production and productivity.

There is a lack systematic management practices and suitable production

management system in the rubber plantation. The management practices in rubber

plantations under different types of parameter i.e. ownership pattern, firm size,

acreage and production etc. have to be included.

In the growth of economy, increasing demand in the tyre industry ,

automobile industry and rubber based material manufacturing units in the

domestic market to fulfill that gap rubber plantation plays an important role.

12

1.6. Objectives of study

The main objectives of the proposed study are:

1) To draw a profile of the rubber plantation industry in Barak Valley in terms of

ownership pattern, firm size, acreage, production trend and profitability.

2) To examine the management practices of rubber plantation in Barak valley.

3) To assess the implications of the current management practices for actual

growth of the rubber plantation industry.

4) To identify the priority areas along which management development should

take place in rubber plantation industry in Barak valley.

1.7. Research Queries:

The proposed research work aims to address the following queries:

a) What are the management practices and its implications?

b) What are the key priority areas for improving management practices,

productivity and profitability?

c) What are the prospects and problems of the units?

1.8. Research Methodology

Research methodology adopted for the purpose of conducting the proposed study is

presented below under different headings.

i) Type of Research: The type of research followed was exploratory research in

nature for exploring and understanding the various management practices in

rubber plantation industry of Barak valley.

ii) Universe of the study / Population: The universe of the study consisted of all

those rubber plantation units in Barak valley which had the area of cultivation

0.5 hectare up to 10 hectare. The population size was3709 as given below.

Group of Area Number Of Plantation Unit

0.5 hectare up to 2 hectare 3347

2 hectare up to 5 hectare 200

5 hectare up to 10 hectare 162

Total 3709

Source: Rubber board, Silchar.

13

iii) Sampling Frame: The sampling frame consisted of all the rubber plantations

units in the Barak Valley.

iv) Sample Size: By using the sample size calculator, the sample size was found

to be 94 units at confidence level of 95% and at confidence interval 10%.

v) Sampling method: The sampling method used was stratified simple random

sampling method. From every stratum (size of the area), proportionate number

of units were selected.

Proportion of sampling method

Area Unit Proportion Proportionate Size Sample size

5ha.up to 2ha. 3347 .90 .90*94=84.6 85

2ha. up to 5ha. 200 .05 .05*94=4.7 5

5ha. up to 10ha 162 .04 .04*94=3.76 4

Total 3709 94

vi) Data Collection Methods: The Data collection method used was scheduled

questionnaire for collecting primary data and library methods for collecting

secondary data.

vii) Area of Study: The study was conducted in three districts of Barak Valley.

viii) Period of Study: The study covered the period from 2000- 2010

ix) Report presentation format: The report of the study is presented using tables

and graphs for easy grasping of the findings.

1.9. Chapter plan

Findings of the research study is presented chapter wise as proposed below.

Chapter1: Introduction

The chapter with the caption “Introduction” presented a brief introduction about

rubber plantation industry, relevance of study, statement of problem, review of

relevant literatures, research gap objectives of study, research methodology and

chapter plan.

14

Chapter-2: Profile of rubber plantation industries in Barak Valley

The chapter with the title “Profile of rubber plantation industries in Barak Valley”

illustrated findings on the study of detail profile of existing rubber plantation

industries in Barak Valley in terms of ownership pattern, firm size, acreage,

production trend and profitability.

Chapter-3: Management practices of rubber plantation in Barak Valley.

The chapter with the heading “Management practices of rubber plantation in Barak

Valley” described various management practices followed by rubber plantation

industries in Barak valley related to rubber plantation, harvesting techniques, labour

management, marketing etc.

Chapter-4: Current management practices and its impact on growth of

Rubber plantation industry

The chapter with title “Current management practices and its impact on growth of

rubber plantation industry” portrayed the various implications of the current

management practices for actual growth of the rubber plantation industry in Barak

Valley.

Chapter-5: Priority areas of management development for rubber Plantation

industry in Barak Valley.

The chapter with the caption “Priority areas of management development for rubber

plantation industry in Barak valley” demonstrated priority areas along which

management development should take place in rubber plantation industries in Barak

valley.

Chapter-6: Summary of Findings and Recommendations

The summary of study findings and recommendations for future research is presented

in this chapter.

15

References:

1. Priestly, J.(1770), Familiar introduction to the theory and practice and perspectives,

London.

2. Rubber Board Bulletin, (2006),Vol-28,No-3, Rubber Board, 24.

3. Rubber Board, Regional Office, SRO/EXT/16/07/08 dated 25/04/2007.

4. Pillai (2004), Plantation management – A study of Rubber Plantation Industry in India

and Malaysia, Development of Plantation: Some Unique Feature. Published by Sonali

Publications, New Delhi, 54-61.

5. Rubber Growers Guide,(2007), Rubber Board,36-37.

6. Ibid, 3.

7. Varghese & et.al.(2006), Plantation Crop Vol-1,Rubber, NayaUdyog, Kolkata, 345.

8. Ibid, 358.

9. Ibid, 359.

10. George. P.J. & et.al.(2000), Natural Rubber: Agro Management and Crop Processing,

By Products and ancillary Sources of Income, RRII, Rubber Board, Kerala,508.

11. Sreenivasan, K. G & et.al.(1987), Economics of Intercropping in the first three years

among new/ replanted rubber, Rubber Board Bulletin,23(1), 13-17.

12. Rajasekharan. P.(1989), Pineapple intercropping in the first three years of rubber

planting in smallholdings: an economic analysis, Indian Journal of Natural Rubber

Research,2(2):118-124.

13. Amitkumar, M. N. & et.al.(1985), Effects of replacing cotton seed cake by rubber seed

cake in concentrate of cows on yield and composition of milk, Indian Journal of Animal

Sciences,55(2):1064-1070.

14. Hardjosuwito, B & et.al.(1976), Rubber Seed Oil analysis and its possible use, Merara

Perkebunan,44: 225-229.

15. Vijoygopalan, K & et.al.(1971), Epoxidisation of Rubber seed oil, Rubber Bord

Bulletin, 11:52-54.

16. George.P.J. & et.al.(2000), Natural Rubber: Agro Management and Crop Processing,

By Products and ancillary Sources of Income, RRII, Rubber Board, Kerala,511

17. Ibid, 512.

18. Rubber Small Holdings Economics Enquiry Committee (1968),Government of India,

New Delhi.

19. Krishnankutty, P.N. &et.al.(1976), Family Budget of Rubber Plantation Workers in

Kozhikode District Report of a survey, Rubber Board, Kottayam.

20. Pillai,P.S.(1989) Management of Rubber Plantations in India: An Overview,Indian

Manager Vol. XIX, No.2, 55-63.

16

Chapter-2

Profile of Rubber Plantation Industries in Barak Valley

This chapter briefly describes the brief profile of 94 samples of rubber

plantation in Barak valley under the study. The profile of rubber plantation was

composed of both primary data collected through questionnaire and secondary data

from the published sources. The profile consists of brief profile of rubber plantation

industry, ownership pattern, firm size, acreage, production and profits per unit of the

rubber plantation is highlighted in this chapter.

In the Barak valley, the pattern of ownership is found to be 74.5% individual,

18.1% proprietorship and 2.1% group. Further it is also found that ownership patterns

do not depend on Gender of owners but the ownership pattern depends on educational

qualification of growers.

Findings also revealed that out of 94 units the amount of land 2.471 Acres

group represent 64%, 3.706 acres group represents 19%, 4.942 acres group 8% , 7.413

acres group 2% and other acres group represent only one single unit each. It reveals

that 2.471acre group represents the maximum number of units which belong to

smaller size of firm

It is also found that in spite of fluctuation in the total area of cultivation, over

the years, the average percentage change over the previous year is 21.9 % which

indicates the increase in the total area of cultivation.

Chapter-3

Management Practices of Rubber Plantation in Barak valley

The present century witnessed the evolution of management as a distinct work

and as a function. It is a young discilpline and an area of study which can make far

reaching results. According to Peter Drucker, “ Management may be the most

important innovation of this century”.

Management includes planning, organising, leading and controlling the

performance of people in carrying out a task. The success and failure of an

organisation depends on its effectiveness in obtaining its resources and using them.

The process or work involved in combining and directing specified objectives is

called management. All organisations, big or small have a specific need for

17

management and managers. According to economic development specialists, the

constraining factor in the economic development of the under-developed countries is

not the lack of capital or technology, but the lack of quality and vigour on the part of

managers. This comment is equally improtant in the case of plantations in our

country.

Efficient management of rubber plantations, in both estate and small holding

sectors, essentially consists of planning, organising, implementing and monitoring

different aspects of the plantation to achieve optimum output. The basic components

of management in a rubber plantation are material and processing management,

marketing management, financial management and labour management.

This chapter portrays the growers present application of management practices

of rubber plantation in Barak valley which includes Harvesting (tapping) techniques,

Labour management, Financial management and Marketing management. As the

plantation was started and developed in India by the British, during that colonial

period planters have adopted a process of „trial and error‟ in their attempt to acquire

wisdom of the techniques of production crops. It is beyond controversy that

management is a factor of production today whose contribution is so significant that it

doesnot require too much elucidation.

The present study reveals that the existence and application of modern

management principles in the rubber plantation in Barak valley, which are of great

importance in the development of rubber plantations in North Eastern Region of

India. To enhance its efficiency advances in production, tapping and management it

needs to proper research backup from the rubber board of India, speedily follow the

guidelines and implementation of the rubber plantation. However, number general

studies; have been made on different aspects of the rubber plantation. But those

studies do not focus adequate attention to the management practices. It is in this

context the present study on the management practices in rubber plantation in Barak

valley is undertaken.

Further findings revealed that that types of tapping techniques do not

depend on categorization of districts Also the tapping time preference of growers do

not depend on and the districts categorization of Barak valley..

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Chapter -4

Current Management Practices and its implications on Growth of

Rubber plantation in Barak Valley as per opinion of Growers

The study revealed that the implications of current management practices on

the growth of rubber plantation in Barak valley as per the opinions of the growers are

in terms of satisfactory production, maintenance of annual sale record of rubber sheet,

category of buyers of rubber sheet, satisfaction of present market price, ranges of

annual income, problems in receiving subsidy rate of financial assistance and

financial problem even after receiving financial assistance which are described in this

chapter. In regards, the management to make best possible result the optimum use of

available resources. Since natural rubber is purely an agricultural produce, land is an

inevitable factor and its optimum use should be ensured for high yield.

Before the present century, there was virtually no development of agricultural

management techniques in the tropics. The only significant developments are related

to the introduction of new plants, some of which soon became important

economically. For example, the introduction of rubber from Brazil into Sri Lanka in

1876 by Sir Henry Wickham led to the birth of a thriving rubber plantation industry in

South Asia. Many other plantation crops such as tea, coffee, cardamom oil palm and

cocoa similarly spread throughout the tropics where conditions were suitable. In

addition to these plantation crops coconuts, areca nut, date palm and such spices as

pepper, nutmeg, cloves, cinnamon, ginger and turmeric also received attention from

the point view of management practices. In traditional cropping systems, mixtures and

rotations were developed by farmers over years of experience by trial and error to suit

specific ecological and socio-economic conditions with a view to attain stability,

while modern scientific cropping systems, genotypes, geometry of planting and

management practices are designed to increase the productivity per unit area per unit

time, simultaneously making efficient use of available resources and stabilizing

yields. Thus the traditional agriculture aimed at increasing the production through two

dimensions, viz. expanding the cultivated area and increasing the yield per unit area

of the crop.

In today‟s economic un-certainty, the estate manager is under increasing

pressure to improve productivity. He has to make better use of existing resources and

19

to embrace technological innovations. According to Mr. S.D. Ferranti, “at best hard

work will bring about marginal increase in output. The output per worker is generally

more closely related to the tools and facilities he is provided than to the effort he

uses.” Thus planning and controlling are the most important of all estate management

functions. In most of the areas where plantations were opened up labour was scare

and the major problem was one of recruiting and keeping workers. It is pertinent to

note that the plantation management system development before came to be regarded

as a specialized activity in its own right worthy of careful investigation and analysis.

The considerable amount of research on management in recent year has had

comparatively little impact on the plantation industry.

It is revealed from the study that the scientific management practices have

good implications towards the development of the rubber plantation in Barak valley.

But it is necessary that the rubber board and RRII should provide full technical,

financial and research support for the development of the extensive rubber plantation

area. The growers of the area must take full initiatives for speedy implementation of

instructions of RRII; they are main key stakeholders who improve the productivity,

income of the rubber plantation. The overall economic viability of rubber plantations

has to be improved through systematic management and harvesting to extract the

optimum production.

Further, the findings also revealed the following

a) There is no significant relationship between the satisfaction of the growers and

there is no significant relationship between the Maintenance of Annual Sales

Record of the growers and the categorization of the districts of Barak valley.

b) There is significant relationship between the category buyers and there is no

significant relationship between the Problems in Receiving Financial

Assistance at Subsidized rate and the categorization of districts of Barak

valley

c) There is no significant relationship between the Problems in Receiving

Financial Assistance at Subsidized rate and the categorization of districts of

Barak valley

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Chapter-5:

Priority areas of management development for rubber Plantation

industry in Barak Valley.

Management development is a systematic process of growth and development

by which managers develop their ability to manage. It is a planned effort to improve

current or future managerial performance. In this chapter it is described that

management development priorities of growers are in terms of participation of

training, strengthening RPS (Rubber Producers Society), quality up-gradation of

produce, maintenance of quality grade of rubber sheet, participation of nursery

development programme and participation of pest management programme etc.

The training and participation played an important role during last decade. On

an average it has trained nearly 5000 persons annually. The feedback from the

trainees indicates satisfaction in the course content and execution of the programmes.

The follow up survey reveals that the participants have, to large extent, utilized the

skills acquired at the training for the management development of their farms and

other activities in rubber plantation of Barak valley.

Further the findings of the study revealed the followings;

a) There is no significant relationship between growers becoming member of the

RPS and there is no significant relationship between the participation in the

quality up-gradation of its products and management development programme

and the categorization of districts in Barak valley.

b) There is no significant relationship between the Maintenance of Quality Grade of

sheet and there is no significant relationship between plantation owner‟s

Participation of Pest Management Development programme and the

categorization of districts of Barak valley.

Chapter -6

Summary of Findings and Recommendations

The production of natural rubber in India has been steadily increasing over the

years. The potential for improvement in rubber production remains vast, as it is a crop

that is well suited to large plantations as well as small remote farmers operating on

their own.