Malaysia, Indonesia and Thailand collectively account for about 70 per cent of global rubber. — Malay Mail pic
BANGKOK, March 6 — Thailand, Indonesia and Malaysia, the world’s top producers of natural rubber (NR), have agreed to cut NR exports by 240,000 metric tonnes for a period of four months, beginning April 1 to boost the price of the commodity.
The three countries collectively account for about 70 per cent of global natural rubber production.
In a statement today, the International Tripartite Rubber Council (ITRC) said senior officials from the countries met in Bangkok on March 4-5 to finalise the implementation details of the Sixth Agreed Export Tonnage Scheme (AETS).
“Under the Sixth AETS implementation, the three countries agreed on export cutbacks of 240,000 metric tonnes of NR.
“The AETS will be implemented through their respective domestic regulators,” it added.
Meanwhile, ITRC said a monitoring and surveillance committee has been established to monitor and ensure compliance with the AETS.
“The senior officials reiterated the decision made by the ministers in continuing efforts to increase domestic NR consumption in ITRC member countries through the Demand Promotion Scheme, including rubberised road projects.
“Thailand, Indonesia and Malaysia are confident that this collaborative initiative will ensure remunerative prices for all rubber smallholders and other stakeholders in the NR industry,” it added. — Bernama