MARKET COMMENTARY
Sentiments stay feeble in the major overseas natural rubber market. On Thursday, SHFE rubber futures stretched losses, with the most active January rubber futures falling more than one percent, while TOCOM exchange is closed on account of National Culture Day holiday in Japan.
In the Indian markets on Wednesday, the commodity stayed steady. In the physical market, quotes for RSS4 grade stayed flat around Rs.116 a kg. Direction-less moves were witnessed in the futures market as well. Steep plunge in natural rubber prices in the international market, rising stocks and lacklusture demand weighed on.
MARKET NEWS
Crude rubber inventories at Japanese ports stood at 7,318 tonnes as of Oct. 20, down 3.7 percent from the last inventory date, data from the Rubber Trade Association of Japan showed.
According to the Rubber Board, India’s natural rubber production rose 20 per cent in September to 60000 tonnes on year on year basis.
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
