Domestic production of NR during April-December 2012 is estimated provisionally as 693200 tonnes. Consumption during this period was 742,330 tonnes with a growth of 3.2 over the corresponding period in the previous year. However consumption of NR during November and December declined by 4% and 8% respectively, according to Sheela Thomas, Chairman, India Rubber Board.
TOKYO/KOTTAYAM (Commodity Online): Natural Rubber market sentiments may remain subdued in 2013 due to higher production and lower consumption estimates released so far. In India, rubber spot prices have fallen from a high of Rs 16300 per 100 kg and futures prices have fallen from Rs 17000 to Rs 15800 levels in the first two months of 2012 till date.
Among the factors that caused the recent fall in prices include the lower India GDP growth, fall in production in automobile industry demand to make tyres and rise in production in the past few months.
“At National Multi Commodity Exchange, Rubber for February delivery seems to be on a moderate recovery phase and support is now seen at 157.25, 155.42 levels,” according to Sreekumar Raghavan, Chief Strategist at Commodity Online.
Domestic production of NR during April-December 2012 is estimated provisionally as 693200 tonnes. Consumption during this period was 742,330 tonnes with a growth of 3.2 over the corresponding period in the previous year. However consumption of NR during November and December declined by 4% and 8% respectively, according to Sheela Thomas, Chairman, India Rubber Board. She said that rubber prices may remain volatile in 2013 considering the global market scenario with respect to production, macro-economics and currency movements.
Tocom Prices
Meanwhile, at Tokyo Commodity Exchange, benchmark rubber contract for July delivery rose to a high of 337.8 Yen per kg, the highest level in ten months but has now retreated to 334.8 levels as markets look forward to the European Central Bank policy decision later in the day.
Source: Commodity Online
