MARKET COMMENTARY
Trend stays weak in natural rubber in the local as well as major overseas market. On Monday, TOCOM as well as SHFE rubber futures are seen stretching losses. TOCOM rubber futures ticked lower and stayed in the vicinity of six year low. Stronger US dollar coupled with weak cues from China trade data weighed on the sentiments.
In the Indian markets, natural rubber ended on a weaker note last week. Despite fall in arrivals to the market, steep declines in the international market coupled with poor local demand weighed on RSS4 in the physical as well as futures market.
MARKET NEWS
Rubber Inventories in the warehoused monitored by SHFE was down 0.2 per cent last week to 226843 tonnes according to exchange.
A communique from the Kerala Finance Department said that assistance had been released as per the production incentive scheme on 91,455 invoices, out of a total 1,03,414 applications processed so far. An amount of Rs 22.30 crore has been released against purchase invoices uploaded by rubber growers.
Government of India has added RSS (Ribbed Smoked Sheet) and TSR (Technically Specified Rubber) in Merchandise Export from India Scheme (MEIS) which would make them eligible for an incentive at the rate of two per cent for exports to 169 countries including China, USA, Germany, Italy, Poland, UK, Malaysia, Brazil, Egypt, Iran, Japan, Mexico, Russia, Singapore, South Africa, Turkey and UAE.
Thailand’s cabinet on Tuesday approved measures worth 13 billion baht ($365 million) to help rubber farmers and support falling prices, the director of a state rubber agency said.
Bridgestone Corporation announced that it successfully built passenger tires with 100 per cent of its natural rubber-containing components derived from guayule, a desert shrub that grows in arid region.
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Geofin Comtrade
