RISDA is a federal government agency under the Ministry of Economic Affairs (MEA) and was established on 1 January 1973 under the powers passed by Parliament:-

1. The Act the authorities the rubber industry smallholders development was RISDA Act 85 1972
2. The rubber industry Fund Ordinance (Replanting) 1952.

In accordance with the CIRCULAR, it is clear that the Government looked at the weight on the role carried out by the smallholder sector as an important production sector in the national economy.