DUNLOP Conducts Smallholder Support Program Toward Sustainable Natural Rubber Procurement: Contributing to Improving Farmers’ Livelihoods
Apr. 30. 2026
A DUNLOP’s natural rubber procurement subsidiary (SUMITOMO RUBBER SINGAPORE PTE. LTD.), a producer and distributor of natural rubber based in Singapore (Halcyon Agri Corporation Ltd.; hereinafter “Halcyon Agri”), which is a supply chain partner of the DUNLOP Group, and PT Hok Tong, its Indonesian subsidiary, have jointly carried out the “Traceability and Transparency Pilot Project (hereinafter the “SNR Project”),” which is aimed at supporting natural rubber farmers in South Sumatra, Indonesia, since 2022.
This initiative has increased natural rubber productivity and led to improving the earnings of rubber farmers. In addition, the project has enabled them to gain a stable income on the same farmland, which reduced the need to expand farms, contributing to curbing deforestation caused by the expansion of farms. The project activities have generated positive outcomes and have furthered our efforts towards sustainable natural rubber procurement.
■ Background of the initiative
In the DUNLOP Group’s sustainable business activities, natural capital, such as natural rubber, constitutes an essential foundation. In accordance with the recommendations of the Taskforce on Nature-related Financial Disclosures (TNFD), the Group has identified and assessed the dependence and impact of its business activities on natural capital as well as the resulting risks and opportunities and has taken measures accordingly. We consider that continuing to use natural rubber in particular into the future as “a sustainable resource” is one of the major management objectives.
Natural rubber is an important raw material indispensable for the mobility industry including tires. At the same time, we understand that most of the production is carried out not in large-scale plantations but by smallholders, whose insufficient knowledge of cultivation methods and processing techniques may result in decreased productivity and quality as well as unstable income, and that there is a risk of those factors leading to deforestation caused by the expansion of farms or to social issues in production areas. As a measure to address this risk, the DUNLOP Group carries out support activities aimed at improving smallholders’ productivity and living standards.
■ Outline of the SNR project
In this project, we, in collaboration with Halcyon Agri, provided support aimed at enhancing the traceability *1 and transparency of natural rubber as well as improving the living standards of producers (farmers) in South Sumatra, Indonesia. As part of measures to reduce risks associated with wage levels and agricultural practices, which were identified as risks by RubberWay® *2, an environmental and social risk assessment tool dedicated to natural rubber, in this area, we provided support, including investigating the actual conditions of natural rubber farmers’ production, identifying the distribution channels of raw materials, and providing farmers with productivity enhancement training, fertilizers, and fertilization guidance.
■ Outcome
During a period of around three years from 2022 to 2025 (including the period of temporary suspension due to the COVID-19 pandemic), we provided support for more than 1,000 farmers. By providing face-to-face guidance on agricultural techniques in the field repeatedly, we were able to establish smooth communication and trusting relationships with farmers. Through these efforts, we confirmed significant improvements in both productivity and living standards, including a natural rubber yield increase of up to approximately 19% and a farmers’ earnings increase of approximately 25% in the relevant region.
■ Comment from Halcyon Agri
“At Halcyon Agri, we believe that the long-term resilience of the natural rubber industry is closely linked to the well-being of smallholder farmers. Through our subsidiary, PT Hok Tong, and in partnership with DUNLOP, we are advancing a CSR programme in Jambi Province to strengthen farmer capabilities through training, agricultural inputs, and on-the-ground support.
We are honoured to collaborate with DUNLOP, whose strong commitment and investment have been instrumental in enabling this initiative. Through this partnership, we aim to enhance productivity, improve livelihoods, and promote sustainable practices across the supply chain. We believe this collaboration will contribute to the long-term sustainability of the natural rubber industry and create meaningful value for all stakeholders.”
■ Comment from Mr. Mulyono, a farmer who received support
After the application of fertilizers, the leaves and bark of a rubber tree showed clear improvements in their conditions, and the health states of the entire tree improved. The leaves became even greener, and the bark became thinner, which made tapping easier. As a result, the rubber yield increased from approximately 100 kg to around 125–130 kg.
Support from Halcyon Agri and DUNLOP has led to the improvement of our livelihood, and we expect a project like this to continue in the future.
To realize Our Philosophy, which is our corporate philosophy structure, the DUNLOP Group has identified material issues *3 and incorporated them into the long-term corporate strategy. We will continue our initiatives with Halcyon Agri and expand them to other regions and partners, thereby contributing to the realization of sustainable and stable procurement of natural rubber and to solving social issues, including preserving the environment of production areas and improving the living standards of producers.
Since 2026, we have unified all communication under the DUNLOP name. We aim to embody three core values across all of our products and services: “Confidence to Face Every Challenge,” “Experiences that Exceed Expectations,” and “Pushing Beyond Limits.” We will continue pursuing our goal of creating positive emotion through innovative experiences for people all over the world. DUNLOP’s brand statement, “TAKING YOU BEYOND,” reflects our commitment to continually expanding the possibilities for all those who embrace challenges and guiding them beyond their limits.
*1 Tracing the route from production and processing to distribution so as to inspect farm crops, products, etc.
*2 Application software developed by Michelin, Continental, and the software developer SMAG
*3 Material Issues: https://www.srigroup.co.jp/english/sustainability/materiality.html
Related Materials
Final Report of the SNR Project (2023–2025) [PDF]
This initiative has increased natural rubber productivity and led to improving the earnings of rubber farmers. In addition, the project has enabled them to gain a stable income on the same farmland, which reduced the need to expand farms, contributing to curbing deforestation caused by the expansion of farms. The project activities have generated positive outcomes and have furthered our efforts towards sustainable natural rubber procurement.
Provision of fertilizers and other agricultural inputs to natural rubber farmers
■ Background of the initiative
In the DUNLOP Group’s sustainable business activities, natural capital, such as natural rubber, constitutes an essential foundation. In accordance with the recommendations of the Taskforce on Nature-related Financial Disclosures (TNFD), the Group has identified and assessed the dependence and impact of its business activities on natural capital as well as the resulting risks and opportunities and has taken measures accordingly. We consider that continuing to use natural rubber in particular into the future as “a sustainable resource” is one of the major management objectives.
Natural rubber is an important raw material indispensable for the mobility industry including tires. At the same time, we understand that most of the production is carried out not in large-scale plantations but by smallholders, whose insufficient knowledge of cultivation methods and processing techniques may result in decreased productivity and quality as well as unstable income, and that there is a risk of those factors leading to deforestation caused by the expansion of farms or to social issues in production areas. As a measure to address this risk, the DUNLOP Group carries out support activities aimed at improving smallholders’ productivity and living standards.
■ Outline of the SNR project
In this project, we, in collaboration with Halcyon Agri, provided support aimed at enhancing the traceability *1 and transparency of natural rubber as well as improving the living standards of producers (farmers) in South Sumatra, Indonesia. As part of measures to reduce risks associated with wage levels and agricultural practices, which were identified as risks by RubberWay® *2, an environmental and social risk assessment tool dedicated to natural rubber, in this area, we provided support, including investigating the actual conditions of natural rubber farmers’ production, identifying the distribution channels of raw materials, and providing farmers with productivity enhancement training, fertilizers, and fertilization guidance.
 |
 |
| Providing technical guidance to farmers | |
■ Outcome
During a period of around three years from 2022 to 2025 (including the period of temporary suspension due to the COVID-19 pandemic), we provided support for more than 1,000 farmers. By providing face-to-face guidance on agricultural techniques in the field repeatedly, we were able to establish smooth communication and trusting relationships with farmers. Through these efforts, we confirmed significant improvements in both productivity and living standards, including a natural rubber yield increase of up to approximately 19% and a farmers’ earnings increase of approximately 25% in the relevant region.
■ Comment from Halcyon Agri
“At Halcyon Agri, we believe that the long-term resilience of the natural rubber industry is closely linked to the well-being of smallholder farmers. Through our subsidiary, PT Hok Tong, and in partnership with DUNLOP, we are advancing a CSR programme in Jambi Province to strengthen farmer capabilities through training, agricultural inputs, and on-the-ground support.
We are honoured to collaborate with DUNLOP, whose strong commitment and investment have been instrumental in enabling this initiative. Through this partnership, we aim to enhance productivity, improve livelihoods, and promote sustainable practices across the supply chain. We believe this collaboration will contribute to the long-term sustainability of the natural rubber industry and create meaningful value for all stakeholders.”
■ Comment from Mr. Mulyono, a farmer who received support
After the application of fertilizers, the leaves and bark of a rubber tree showed clear improvements in their conditions, and the health states of the entire tree improved. The leaves became even greener, and the bark became thinner, which made tapping easier. As a result, the rubber yield increased from approximately 100 kg to around 125–130 kg.
Support from Halcyon Agri and DUNLOP has led to the improvement of our livelihood, and we expect a project like this to continue in the future.
Mr. Mulyono (right), who received support, talking to a researcher of Halcyon Agri (left) about the project
To realize Our Philosophy, which is our corporate philosophy structure, the DUNLOP Group has identified material issues *3 and incorporated them into the long-term corporate strategy. We will continue our initiatives with Halcyon Agri and expand them to other regions and partners, thereby contributing to the realization of sustainable and stable procurement of natural rubber and to solving social issues, including preserving the environment of production areas and improving the living standards of producers.
Since 2026, we have unified all communication under the DUNLOP name. We aim to embody three core values across all of our products and services: “Confidence to Face Every Challenge,” “Experiences that Exceed Expectations,” and “Pushing Beyond Limits.” We will continue pursuing our goal of creating positive emotion through innovative experiences for people all over the world. DUNLOP’s brand statement, “TAKING YOU BEYOND,” reflects our commitment to continually expanding the possibilities for all those who embrace challenges and guiding them beyond their limits.
*1 Tracing the route from production and processing to distribution so as to inspect farm crops, products, etc.
*2 Application software developed by Michelin, Continental, and the software developer SMAG
*3 Material Issues: https://www.srigroup.co.jp/english/sustainability/materiality.html
Related Materials
Final Report of the SNR Project (2023–2025) [PDF]