Need to speed up home Natural Rubber manufacturing: Arun Mammen, Chairman, ATMA

India’s Natural rubber (NR) consumption is projected to succeed in 20 lakh tonnes by 2030 and there’s a have to speed up home manufacturing, Arun Mammen, Chairman Automotive Tyre Manufacturers Association (ATMA), stated.

“In FY25, home NR manufacturing stood at 8.7 lakh tonnes, whereas consumption was 14.1 lakh tonnes, leading to a deficit of over 5 lakh tonnes,” he stated in an interview.

“This underscores the necessity for sustained long-term investments in plantation growth, tapping, and productiveness enhancement,” Mr. Mammen stated.

Accelerating home pure rubber (NR) manufacturing is a nationwide precedence, given the strategic significance of NR to a number of sectors, particularly the tyre trade. Bringing further space underneath rubber cultivation—particularly in non-traditional areas just like the North East—is essential. Several North Eastern state governments are proactively supporting this agenda, he stated.

Mr. Mammen identified in a first-of-its-kind public-private partnership, the INROAD (Indian Natural Rubber Operations for Assisted Development) mission was launched by ATMA member firms (Apollo, CEAT, JK Tyre, and MRF) in collaboration with the Rubber Board of India.

The mission goals to develop two lakh hectares of recent rubber plantations throughout the North East and West Bengal. Over 1.25 lakh hectares have been introduced underneath cultivation within the first 4 years. ATMA member firms have dedicated ₹1,100 crore to the mission, he stated.

A big alternative lies in enhancing manufacturing by tapping almost 2 lakh hectares of untapped rubber plantations, together with 1 lakh hectares in Kerala alone. Union Commerce & Industry Minister has not too long ago emphasised this chance throughout stakeholder consultations in Kerala, Mr. Mammen stated.

Rubber timber take roughly six to seven years from plantation to tapping, Mr. Mammen stated.

He additionally identified inverted responsibility construction on NR is likely one of the key challenges.

“While tyres may be imported at concessional or zero responsibility charges underneath varied Free Trade Agreements (FTAs), pure rubber—our main uncooked materials—attracts a Basic Customs Duty (BCD) of 25% or ₹30/kg (whichever is decrease). This is among the many highest globally and severely impacts price competitiveness, significantly when world rubber costs are low. Addressing inverted responsibility construction is crucial to assist home manufacturing and cut back reliance on imports of completed merchandise,” he stated.

In the final three to 4 years alone, the trade has invested roughly ₹27,000 crore throughout greenfield and brownfield initiatives. As per a PwC Vision Document, the trade is projected to develop at a CAGR of 11–12% until 2047, Mr. Mammen stated.