By Eko Listiyorini
Thailand, Indonesia and Malaysia continue to limit exports in line with demand, helping stabilize prices, says Yium Tavarolit, CEO of the International Rubber Consortium.
Prices to improve through end of wintering season because of low latex supply and demand will grow steadily, Yium says in interview in Bandung, Indonesia on Feb. 26.
The three countries did well managing exports in Jan.; shipments this year won’t be too high, he says, declining to provide estimates.
We have no intention to push rubber prices too high. We want rubber price to be more stable and healthy, Yium says.
TSR20 today is around 145 cents per kilo; our cost of production is higher, he says.
Global stockpiles probably ~2.2 m – 2.5 m mt.
NOTE: IRCo is operating arm of International Tripartite Rubber Council, which represents government officials, growers, exporters in Thailand, Indonesia and Malaysia; IRCo accounts for 64% of global production.
Cambodia, Laos, Myanmar and Vietnam have agreed to work with ITRC to help stabilize prices.
NOTE: Senior officials from Thailand, Indonesia and Malaysia are meeting in Bandung Feb. 23-27 to discuss price trends, market outlook; to accelerate price-support plans.
READ: Thailand, Indonesia and Malaysia agreed in Nov. to manage supply in line with demand; to avoid expanding new plantations in next 6-7 yrs; to speed up replanting.
02 March 2015, 11:44 AM, Bloomberg , Bangkok
– IRCo
