Northeast Rubber is making an outstanding growth with rubber plantation, having the highest international rubber plantation. India's widening demand-supply gap in natural rubber has triggered hopes for further expansion of rubber plantations in the Northeast region. Official data tabled in the parliament highlights the grim reality for tyre manufacturers and other rubber industries in the country, as demand is poised to increase manifold over the next five years, which traditional rubber-growing areas like Kerala will not be able to meet.

This brings an opportunity for the region to tap the potential for boosting rubber production and generate more livelihood avenues. It is heartening to know that under the initiative of the tyre manufacturers' association, natural rubber has already been planted in 1.51 lakh hectares of the targeted two lakh hectares in the region. The region's climate is favourable for growing rubber, which can be leveraged to expand the area under it to tap the potential of becoming a key production centre for meeting the country's goal of reducing import dependence of tyre manufacturers and other rubber-based industries. The availability of vast tracts of unutilised wasteland in the region is another strength for boosting rubber production. With the new initiative of rubber expansion in the region coming from tyre manufacturers, the growers have fewer worries of marketing and remunerative prices. Imparting training and skills to the rubber growers in the region to match the industry's quality requirement needs to be prioritized to reduce rejection of processed rubber. The tyre manufacturing industry reducing import dependence is vital for preventing global price shocks and conflict-related supply shocks impacting the production targets in the country.

The region is no stranger to spikes in vehicle demand growth. Significant expansion of national and state highways, expansion of the cities and towns coupled with a rise in disposable income, and more vehicles have come on the roads. Naturally, the tyre demand has also increased in the region along with the increase in vehicle sales. The rubber growers in the region can be easily convinced to expand the area under rubber by drawing their attention to significant growth in vehicle sales and rising tyre demand.

As the Indian rubber based industry is grappling with the problem of rising demand and domestic supply constraints, the northeast region, realizing its potential as a new growth frontier, can bring transformative changes to the region while increasing its share in national production.