Thiruvananthapuram:
Suresh Kumar spends four hours every morning collecting rubber with a bowl, as it drips down the bark of his trees South Kerala. 60 bowls add up to one kilo, which he sells for Rs 99 to retailers.
He's worried his profit, currently 6 rupees per kilo of rubber, will drop soon. Here's why.
India has joined the Free Trade Agreement with 10 Asian countries, which means goods can move between these countries with very low import duties. Kerala is worried because signatories to the agreement like Thailand and Indonesia produce many of the same plantation crops that Kerala grows, but in higher quantities.
This means that items like pepper, tea and coffee will flood India, eating into Kerala's market. Also, the new competition from these other countries means Kerala farmers will have to drop their prices by up to 60%.
The issue has quickly turned into a political one; Kerala's opposition, led by CPM leader Prakash Karat, claims "the centre is bartering away the livelihood of millions of working people of Kerala."
In response, the government points out that items that are key for Kerala like rubber, coconut, and some varieties of fish, are not currently covered by the agreement. But that's a short-term policy that's expected to be revised soon.