MARKET COMMENTARY
TOCOM and SHFE rubber futures are in red as this week’s session culminates. The benchmark December rubber futures on TOCOM slumped more than three per cent while SHFE rubber futures were down about two per cent probably tracking overnight decline in crude oil prices and declines in other industrial commodities. Lacklusture PMI manufacturing data from China may too have weighed on.
In subdued trades, natural rubber in the local market traded rather steady with a negative bias while on NMCE commodity posted losses for the second successive session on Thursday.
MARKET NEWS
Vietnam is considering joining International Rubber Consortium Ltd.
Indonesia Trade Ministry introduced stricter regulation on tire imports in its bid to boost the domestic tire industry.
According to the Association of Natural Rubber Producing Countries natural rubber production fell by 0.7% (-35,000 MT) to 5.041 million MT in the first half of 2015 as compared to 5.076 million MT in the same period of 2014.
Thailand is set to lobby Vietnam to join the International Rubber Consortium Ltd (IRCo), a move that would help to stabilise rubber prices.
Vietnam’s rubber exports in the first half of this year rose 22 per cent on year on year basis to about 421300 tonnes according to the nation’s Customs department.
A contract for procurement of 80000 tonnes of Thai rubber us planned to be finalized by September 2015 according to Russian Minister of Industry.
According to preliminary trade data released by the China’s General Administration of Customs rubber imports by the country rose 17.9 per cent to 330000 tonnes in June.
Malaysia’s natural rubber (NR) production in May 2015 dropped 11.3% to 38,923 tonnes compared with the same period last year, according to the country’s Statistics Department.
According to the Rubber Trade Association of Japan natural rubber imports by the nation rose 17.2 per cent on YoY basis to 62256 metric tonnes.
Based on the Kerala government’s price stabilization project, Kerala State Cooperative Rubber Marketing Federation has decided to procure 5000 tonnes of rubber in the first phase.
Kerala government has issued orders, framing the guidelines for the implementation of a ‘Rubber Production Incentive Scheme’, which guarantees a price of Rs 150 for a kilogram of rubber.
Source: Geofin Comtrade
