MARKET COMMENTARY
Natural rubber in the major overseas market is seen on a positive turf on Thursday. TOCOM rubber futures bounced up from the one week low, while SHFE rubber futures stretched gains on rising crude oil and a relatively upbeat economic data from China. Trade data from China released earlier today showed a rise in imports for the first time in nearly two years and the pace of decline in exports slowing, lessening worries over hard landing of the world’s second largest economy. In the Indian markets on Wednesday, the trend was mixed. RSS4 in the spot market stayed under pressure, falling to its weakest level in about five months, while NMCE rubber futures pared initial losses and inched higher probably on short covering.
MARKET NEWS
India’s natural rubber production rose 11 percent in July from a year ago to 52,000 tonnes the Rubber Board said in a statement.The country’s imports in the month fell to 41157 tonnes from 41917 tonnes, while consumption jumped 4.3 percent to 83400 tonnes on year on year basis.
The International Tripartite Rubber Council (ITRC), a grouping of Indonesia, Thailand and Malaysia, will trim exports by an additional 85,000 tonnes from September to December this year, an Indonesian rubber industry official said.
Hon’ble Minister for Commerce & Industry Smt. Nirmala Sitharaman convened a meeting of the Members of Parliament from the rubber growing states and the stakeholder representatives in Delhi on 22 August 2016.
The Minister directed Rubber Board to estimate state-wise cost of production of rubber at the earliest. On the issue of pending planting subsidy, it was confirmed in the meeting that additional funds for Rubber Board will be sought from Ministry of Finance through second supplementary Demand for Grant.
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Geofin Comtrade
