The Most Effective Holding Size for Small Scale Rubber Sector in Kegalle District, Sri Lanka

Abstract

The contribution of the rubber smallholding sector of Sri Lanka to the national rubber production is about 77% and Kegalle is a district where a higher number of small-scale rubber production land units are located. Therefore, a study was conducted in major rubber growing divisions of this district with the aim of identifying the most effective rubber smallholding size for the higher productivity. As the study was highly based on primary data, a field survey with 100 small scale farmers was conducted using the multistage random sampling technique. Results of the descriptive analysis revealed that male farmers are dominant (84%) in managing small rubber plantations and only 32% of farmers had 10-20 years of rubber farming experience. The mean productivity and the mean holding size respectively were 180.37 kg /ha/month and 1.27ha. Multiple linear regression using general linear model was used to explain the relationship between productivity with the explanatory variables such as the size of the land, availability of extension services and application of fertilizer and their impact on rubber productivity. The regression results revealed that there exists a significant inverse relationship between land size and the rubber productivity of rubber smallholdings. Regression analysis revealed that extension services for growers, income, and occupation of the household have significantly positive relationships (p<0.05) and age of the plantation and rubber variety have a significant inverse relationship with productivity (p<0.05). Response surface with a simple optimum result confirmed that the effective land size which yields higher productivity is 0.79 ha for small rubber holdings in Kegalle district. Hereafter the results imply that it is vibrant to take initiatives to promote small scale rubber plantations for more productivity than bigger estates.