Hainan Rubber Group has taken a series of new steps to enhance its quality and technical standardization system, following the launch of Document No. 1 at the beginning of the year. As part of its broader strategy under the "foundation, two key points, three transformations" framework, the company has introduced a new policy aimed at improving and refining the long-term contracting system for employees working in open rubber gardens. This initiative reflects Hainan Rubber's ongoing efforts to strengthen the entire natural rubber industry chain across its farmlands.
The newly issued document titled "Implementing and Perfecting the 'Long Package' System" outlines several key measures, including the reasonable approval of post production plans, the improvement of the long-term contracting risk mechanism, the clear definition of rights and obligations between branches and contracted households, and the refinement of real-time settlement processes. It also emphasizes the establishment of effective balance adjustment procedures and the gradual resolution of issues related to Mangang project contracting, all aimed at supporting the sustainable development of Hainan’s rubber plantations.
**Highlight 1: Emphasizing Stable Production to Build Trust**
Since the implementation of the "long package" system in 2008, Hainan Rubber has continuously refined its approach. In 2009, it adopted the principle of "great stability with small adjustments," allowing for annual concessions to households. However, recent years have seen significant changes due to natural disasters and other factors. To address this, the company has conducted a comprehensive review of the number of tapping trees in each branch and is now adjusting planned production accordingly.
Looking ahead, Hainan Rubber will use these revised numbers as the basis for future production planning. The company will take into account both natural increases and decreases in tree numbers when setting annual output targets. Branch companies will ensure that the contracted positions remain stable while making necessary adjustments based on actual conditions, maintaining fairness and transparency throughout the process.
This focus on stable production helps build trust among contractors, encouraging them to adopt a long-term mindset. It also reduces the likelihood of violations such as glue theft or illegal sales, ensuring a more secure and reliable production environment.
**Highlight 2: Establishing a Special Apology Fund to Enhance Risk Management**
In addition to managing long-term risk reserves, Hainan Rubber is exploring market-based solutions to accumulate additional funds to support contractors during periods of falling rubber prices or natural disasters. The company has set price ranges for raw material purchases and will return a portion of the profits to branch companies when prices rise. These funds are designated as a special apology fund to protect the income of workers.
Furthermore, Hainan Rubber encourages contractors to participate in agricultural insurance programs, enhancing their ability to withstand risks. By combining financial safeguards with insurance coverage, the company is taking a proactive approach to protecting both its workforce and its operations.
**Highlight 3: Clarifying Rights and Obligations Between Branches and Contractors**
To ensure proper management of rubber assets, the new policy requires branches to prioritize sustainable development and maintain high standards in orchard management. This includes cultivating high-yield areas and renovating low-yield ones, gradually improving the overall quality of the group’s rubber assets.
At the same time, strict adherence to technical regulations is enforced, with regular cross-checks and accountability measures in place. Contractors who fail to meet performance standards may lose their contracts, while those who comply are encouraged to take greater responsibility for their assigned plots.
**Highlight 4: Improving Real-Time Settlement Processes**
Real-time settlement of rubber purchases plays a vital role in building trust between the company and its contractors. By establishing a fair and transparent platform, disputes over pricing, weight, and quality can be resolved efficiently. Each branch is required to announce daily purchase prices, provide immediate feedback on glue weight and dry content, and settle accounts monthly based on the long-term package system.
Special attention is given to "price by quality," ensuring that only high-quality raw materials are accepted, which ultimately improves the overall quality of the rubber produced.
**Highlight 5: Implementing Fair Adjustment Procedures**
To address concerns about unfair production distribution, Hainan Rubber has introduced a balanced adjustment mechanism. Branches must allocate production quotas fairly, taking into account site conditions and actual productivity. A dedicated commission, involving representatives from contracted households, is responsible for monitoring and adjusting production plans to ensure equity and transparency.
**Highlight 6: Promoting Full-Cycle Contracting to Boost Productivity**
As part of its long-term strategy, Hainan Rubber aims to increase the full-time employment rate to 90% within three years by merging smaller jobs and improving workforce efficiency. The company is also promoting specialized division of labor, ensuring that contractors fulfill their responsibilities effectively.
Additionally, unopened rubber gardens and new plantations are being contracted out to employee families, with full-cycle management implemented. During non-production periods, the company invests in infrastructure, while during peak seasons, the "long package" model is used. This approach not only enhances productivity but also ensures better maintenance and protection of windbreak forests.
Overall, Hainan Rubber's latest initiatives reflect its commitment to sustainable development and the long-term success of its rubber industry. By improving policies and fostering collaboration, the company is empowering its workers and ensuring the continued growth of its agricultural land.
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