MARKET COMMENTARY
Lack of cues from the major overseas market amidst limited supplies and poor demand kept natural rubber in the Indian market in thin ranges. On Monday, in the physical market, quotes for RSS4 rubber was hovering around Rs.112-113 a kg while on NMCE, rubber futures ended in red in lackluster trades. In the international market, TOCOM exchange stayed closed on account of National Day holiday on Tuesday while SHFE rubber futures were seen ticking up after the previous day’s decline.
MARKET NEWS
China’s January-August rubber imports down 4.4 per cent to 1.66 million tonnes.
Vietnam exported 118,560 mt of natural rubber in August, edging up 5.75% year on year and rising 12.4% from July, data released Wednesday by Vietnam Customs showed.
Crude rubber inventories at Japanese ports stood at 13256 tonnes as of Aug 31, down 0.6 per cent from that on Aug 20, data from the Rubber Trade Association of Japan showed.
India’s natural rubber imports slumped 32 per cent on YoY basis to 33292 tonnes in August according to the Rubber Board. Consumption as well as production rose to 87500 and 55000 tonnes respectively during the same period.
Malaysia to raise Rubber Production Incentive to RM5.10 from RM4.60 per kg for SMR 20 FOB according to the country’s Minister of Plantation Industries and Commodity.
Salmiah Ahmed has been appointed as the new CEO of International Rubber Consortium, the operational arm of the International Tripartite Rubber Council.
All India Rubber Industries Association has called for formation of an exclusive export promotion council for rubber products.
India’s Minister for Steel and Mines has expressed concerns over problems faced by the local rubber and steel industry due to “dumping” by countries that it has free trade agreements with and said that the matter is in consultation with ministries of finance and commerce as well as the prime minister to reconsider these agreements and rising further anti-dumping duties.
According to International Rubber Consortium, global natural rubber production is expected to decline further in 2015 following the prolonged and strong El Nino.
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