In money terms, production cuts as the falling rubber price’s mirror effect has meant losses in the range of Rs.7,500 crore this year, says George Valy, president of the Indian Rubber Dealers’ Federation.
He says the quantum of production loss has been pegged at about five lakh tonnes.
Big spenders
Rubber farmers are usually big spenders, mostly splurging in Kochi. But the losses they suffered this year will likely plunge the entire Kerala economy into trouble, Mr. Valy says, pointing out that last year too the rubber farmers suffered losses to the tune of about Rs.6,000 crore. The cumulative effect, he says, is `stunning.’
