MARKET COMMENTARY
Weak yen along with firmer crude oil prices buoyed natural rubber prices on TOCOM exchange as the week ends. On Friday, the benchmark April rubber futures on the TOCOM exchange hit its highest level in two week and is heading to post gains for this week. SHFE rubber futures inched up as well. Gains in the major overseas natural rubber market improved the sentiments in the local market as well. RSS4 in the spot market stayed firm and NMCE rubber futures bounced up on Thursday. However, lackluster demand and surging imports kept gains under check.
MARKET NEWS
According to the Rubber Board, India’s natural rubber production rose 20 per cent in September to 60000 tonnes on year on year basis.
TOCOM October rubber futures expired with 466 lots (1 lot= 5 tonnes) compared to 279 lots delivered in September.
Natural rubber imports by China in September declined 36.52 per cent to 188716 tonnes.
India has been unanimously elected as Chairman of the Association of Natural Rubber Producing Countries (ANRPC). Representing Govt. of India, Mr. A. Ajith Kumar IAS, Chairman, Rubber Board took charge from Royal Govt. of Cambodia in the 39th Assembly Session of ANRPC held at Guwahati. The tenure of Chairmanship will be for one year. The Vice-Chairmanship is for Vietnam.
According to the Association of Natural Rubber Producing Countries, natural rubber supply will fall short of demand from 2020 onwards.
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Geofin Comtrade
