West Kalimantan's Rubber Industry Holds Firm Amid Climate Challenges and Expanding Palm Oil Plantations
West Kalimantan, October 25, 2025 — West Kalimantan's natural rubber industry continues to face mounting challenges as climate change disrupts production while the rapid expansion of oil palm plantations draws farmers away from rubber cultivation. Despite these pressures, several rubber processors remain committed to sustaining the industry through partnerships with farmers and cooperatives.
Heavy rainfall associated with increasingly erratic weather patterns has significantly disrupted latex tapping activities, reducing both production and latex quality.
"When it rains, I can't tap the trees because the latex doesn't flow into the collection cup," said Rawatrony, a rubber farmer from Mekar Raya Village, Simpang Dua District, Ketapang Regency.
According to Rawatrony, prolonged rainfall also increases termite activity, causing greater damage to rubber trees. He noted that oil palm plantations are generally more resilient to extreme weather than rubber and coffee, prompting many farmers in the village to shift toward other crops.
Aging Farmers Prefer Rubber, Younger Generation Turns to Palm Oil
Martinus Singer, one of the customary community leaders in Mekar Raya Village, said he still prefers tapping rubber over cultivating oil palm.
"I'm getting older, so harvesting oil palm is physically demanding. Younger people prefer oil palm because they have the strength to handle the work," he explained.
He added that the annual durian season also temporarily reduces rubber production because many villagers abandon tapping to collect fallen durians in nearby Tembawang forests, where earnings can exceed those from rubber.
Rubber Processing Plants Struggle with Raw Material Shortages
The shortage of raw rubber has led to a dramatic contraction of West Kalimantan's rubber processing industry.
Over the past five years, ten rubber processing factories have reportedly ceased operations, leaving only five processing plants still operating in the province.
To maintain production, several remaining factories have begun importing raw materials from other Indonesian provinces and even from overseas.
However, industry leaders warn that long-term sustainability remains uncertain if local raw material supplies continue to decline.
Despite these challenges, West Kalimantan's rubber processors continue to serve export markets. PT Bintang Borneo Persada, for example, exports processed rubber products to Japan.
Declining Farmer Motivation Becomes a Major Challenge
Merly, Director of PT Bintang Borneo Persada, said the company continues operating despite limited government support but acknowledged that declining farmer participation has become one of the industry's greatest obstacles.
"Our biggest challenge is declining farmer motivation. Many have switched to other commodities, particularly oil palm, which currently offers better returns. Younger people are also reluctant to work in rubber because tapping requires patience and daily commitment," she said.
Climate change has further aggravated the spread of leaf fall disease and root diseases, reducing latex yields. Productivity has also declined because many rubber trees in West Kalimantan are now more than 20 years old.
Cooperatives Help Strengthen the Supply Chain
To address raw material shortages, PT Bintang Borneo Persada has developed partnerships with cooperatives and village-owned enterprises (BUMDes).
One example is its collaboration with Koperasi Juring Jaya Sejahtera, whose members include rubber farmers from Mekar Raya Village. The company purchases latex directly from the cooperative while also providing technical assistance to maintain product quality.
"Direct cooperation between factories and cooperatives enables farmers to receive better prices for their rubber," Merly explained.
Traditional Farming Practices Limit Production
According to Triana, Program Coordinator for Mobilizing More for Climate (MoMo4C) at Tropenbos Indonesia, most rubber cultivation in West Kalimantan remains traditional.
Many plantations have been inherited across generations rather than developed as modern commercial estates, meaning rubber farming is often managed as a supplementary livelihood rather than a full-scale agribusiness.
"Demand for natural rubber still exists, and prices have improved. In fact, processing factories are facing raw material shortages. West Kalimantan has plenty of rubber plantations, but not enough people willing to tap them. Many farmers remain cautious after the sharp decline in rubber prices several years ago and now see oil palm as the more profitable option," Triana said.
She believes that revitalizing rubber plantations through agroforestry systems could provide a sustainable solution. Integrating rubber with complementary crops such as coffee would diversify farmers' incomes while helping secure long-term raw material supplies for the province's rubber processing industry.
Although climate change, aging plantations, labor shortages, and competition from oil palm continue to pressure the sector, industry stakeholders remain optimistic that stronger farmer partnerships, plantation rejuvenation, and diversified farming systems can help preserve West Kalimantan's position as one of Indonesia's important natural rubber-producing regions.