1.    INTRODUTION

The Rubber Outgrower Unit is the extension wing of GREL responsible for the implementation and management of the various schemes being operated by GREL, mainly the Rubber Outgrower Plantations Project (ROPP), the Self Finance Outgrower (SFO) Programme, the Community and Social Responsibility Farms (CSR) and the Extension of Farms Programme.
 

2.    VISION

Economic empowerment through rubber cultivation for sustainable rural community development to alleviate poverty.

3.    MISSION STATEMENT

•    To deliver quality extension services to rubber outgrowers through advance and innovative technology by our motivated staff.
•    To enable outgrowers have sustainable income, enjoy a better living and to contribute to national development.
•    To collaborate with all stakeholders to effectively and efficiently utilize public funds to improve the living standards of the rural communities

4.    RUBBER OUTGROWER PLANTATIONS PROJECT (ROPP)

The Concept:

•    Poor farmers are targeted and gender balance is also considered.
•    There is progressive capacity build up and this is done by progressively  increasing  the planted surfaces. It is also necessary to maintain an acceptable rhythm of progression so as to maintain the quality of the results.
•    The target is to have high yields in the farms in order to ensure a good income for the farmers and a capacity to refund the loan.
To achieve the above, GREL ensures the following: High quality of the planting material, good planting practices.
–    Close supervision to ensure good immature maintenance & fertilization.
–    Respect of the production schedule and stimulation in production.

Three (3) different phases of the ROPP have been successfully completed, with the fourth phase currently being implemented.

PHASE I

It was launched on 1st January 1995.

ACHIEVEMENTS

•     Four hundred (400) Outgrowers were assisted to plant 1200.28 hectares over a five (5) year period instead of six (6) years.
•     3500 hectares of old plantations of individuals and co-operatives were rehabilitated as against the target of 1300 hectares.
•    Purchases from Outgrowers peaked above 1000 tons drc per annum.
•  Forty-one (41) kilometers of roads were rehabilitated.

FINANCING

Financed by Agence Francaise de Developpement (AFD), IDA/World Bank and Government of Ghana an amount of 1.643 million euros.

PHASE II

It was launched on 14th September 2001.

ACHIEVEMENTS

•    Two thousand eight hundred and fifty-five (2855) hectares planted instead of
•    2800 hectares.
•    Five hundred (500) outgrowers were selected.
•    Rehabilitation of 20 km of road achieved.
•    The Rubber Outgrowers and Agents Association (ROAA) was organized to  become a major stakeholder in the rubber industry through a contract agreement with Institution and Development, a Non-Governmental Organisation.
•    Research on outgrower fields entrusted to CIRAD.  Eighty-three (83) trials, involving 73 outgrowers and 10 at GREL’s Factory were put in place.

FINANCING :
 
It was financed by AFD and Government of Ghana to the tune of 6.093 million euros.
  

PHASE III

The ROPP III became operational in January 2006.
The Project is being funded by the AFD, KFW and Ghana Government to the tune of €19.9 million.  The Project would involve the selection of additional 1750 outgrowers
to plant 7000 hectares between 2006 and 2010 according to the table below:
 

OBJECTIVES

•    Planting of 7000 ha for 1750 outgrowers in Western and Central Regions
•    Provision of credit facility to enable farmers develop their plantations
•    Applied research on Outgrower fields for increased productivity
•    Strengthening the Rubber Outgrower and Agent Association (ROAA)
•    Spot improvement of 70 km of roads

ACHIEVEMENTS TO DATE

•    1300 Outgrowers assisted to plant 5887.27 ha in Western Region
•    500 Outgrowers assisted to plant 1979.04 ha in Central Region
•    Cummulatively 1800 Outgrowers have been assisted to plant 7866.31 ha.

The Financial Operator is the National Investment Bank Ltd. whilst the Technical Operator is Ghana Rubber Estates Limited (GREL).
 

PHASE IV

This was launched in January 2010.

OBJECTIVES

•    Plant 10,500 hectares for 2750 outgrowers in Western , Central and southern part of Ashanti Regions.
•    Reduce rural poverty, through regular income derived from the sale of rubber and through the potential impact of rubber on rural development as a whole.
•    Contribute to increasing foreign exchange income.
•    To contribute to mitigate climatic changes through the carbon sequestration capacity of rubber plantations.

ACHIEVEMENTS AS OF 31ST JULY 2011

•    2250 Outgrowers assisted to plant 5906.95 ha in Western Region
500 Outgrowers assisted to plant 1110.44 ha in Central Region
•    Cummulatively 2750 Outgrowers have been assisted to plant 7017.41 ha.

CUMMULATIVE HECTARES AND NUMBER OF OUTGROWERS PLANTED SINCE 1995.

•     5,450 Outgrowers have been assisted to plant 18,952 ha.
•    868 outgrower farms involving 3516 ha are under tapping.

INCOME STATEMENT FOR A RUBBER FARMER
 
       (Standard holding per farmer – 4 ha or 10 acres)

Yield/ha/year        2931  (kg wet)
Gross income        €4015
Less Operational Cost        €800
Net Income        €3125
Total Income per year   = €3125 x 4 ha
                                =    €12,860
                Monthly Income              =   €1071.6
    
OTHER SCHEMES:

5.    SELF FINANCE  OUTGROWER PRORAMMME (SFO)

CONCEPT

Minimum qualification to enroll under the SFO programme is ten (10) hectares or twenty five (25) acres. Prospective farmers to be engaged under this programme would be required to pay for all inputs requested before they are supplied. However, technical assistance would be given to them free of charge by GREL.
You sign an agreement with GREL. Sample of agreement.
To date, 300 SFO’s have been assisted to plant 2000 hectares of rubber.

6.    EXTENSION OF FARMS PROGRAMME

CONCEPT

This programme was introduced in 2009. Under the programme, farmers under the Rubber Outgrower Plantations Project (ROPP) whose farms are in production and still have from 0.5 hectares to 4 hectares of land to be used for rubber plantation are assisted to do so. The total cost of inputs is spread over six (6) months period and deductions are made from their sale of cup lumps to GREL.
To date, 400 hectares has been planted.

7.    COMMUNITY AND SOCIAL RESPONSIBILITY FARMS

CONCEPT

Under this programme, communities which have a minimum of 20 hectares and wish to use it to plant rubber are assisted to do so by GREL. GREL would supply all the necessary inputs and technical assistance to such Community farms at no initial cost. Repayment arrangement is made between the two parties.

8.    COMMUNICATION

ROU holds sectorial quarterly meetings with the outgrowers in their various locations. Aside these meetings there is also a quarterly publication of our newsletters called the [PARAA]. Again, there is a yearly publication of outgrower handbook and leaflets to the outgrowers. Production guide is also printed to the outgrowers every year.

SOCIO – ECONOMIC BENEFITS

•     Diversification of agricultural product.
•    Tree planting thus contributing to afforestation in the project area and enhancing  the environment as well as regularizing the rainfall pattern.
•    Increase income levels for farmers and relatives as well as improving  their living standards
•     Employment opportunities in the project area thereby checking rural/urban drift
•    Supply of raw materials to the local factories dealing with rubber products.
•     Boosting rubber export thus earning foreign currency for the country.
•     Participation of women in the project thereby enhancing women emancipation.
•     Developments of access roads in the operating communities to assist other    farmers transport their goods to marketing centers.
•     Increased economic activities in these communities
•     Supply of rubber wood to the Timber industry thereby saving our scarce forest reserve.
•     Carbon absorption.

OUTLOOK

Total natural rubber consumption in 2004 was 8.4 million tons and demand for it is projected to be 11.9 million tons by 2020, and 14.4 million tons by 2035.
Since the demand for tyres and tyre products is increasingly being dependent on natural rubber, coupled with the increase in the shift to radial tyres, increased
production of commercial vehicles, the consumption of natural rubber would increase on the average by 2.5% per annum.

However, the production capacity of natural rubber is declining due to the age and quality of trees because most of the plantations were planted in the 1950’s, and the    rate of replanting is also slow.
This situation coupled with the creation of a price regulatory body called  International Rubber Company (IRCO) will ensure the stability of prices.
This trend indicates that the future of rubber is bright.