Natural rubber is seen declining in the major overseas market on Friday. TOCOM rubber futures shed around two per cent, reversing previous day’s gains. Decline in SHFE rubber futures and crude oil as well as upcoming successive holidays in China weighed on the overall market sentiments.
In the local market, activities were subdued on Thursday. Quotes for RSS4 grade rubber stayed rather flat, around Rs.118 a kg. Similar trend was witnessed on NMCE as well probably on lacklusture demand.
According to Rubber Board, natural rubber production in India is seen rising since May this year with July and August showing a rise of 10 and 20 per cent respectively compared to last year.
Vietnam exported an estimated 858,000 tonnes of rubber in the first nine months of 2016, up 15.3 percent from the same period last year, the government said.
TOCOM September rubber futures expired on Monday with 279 lots being delivered compared to 204 lots (1 lot=5 tonnes) delivered in August.
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.
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