MUMBAI : India Rubber prices gained on Wednesday amidst positive trends in equity markets and hopes of revival in automobile sales in festival season in November.
Spot prices monitored by Rubber Board rose to 18400 per 100 kg while at National Multi Commodity Exchange, November contract rose 1.32% to Rs 18479 per kg with steady crude oil prices supporting the plantation crop.
Automobile market leader, Maruti Suzuki Ltd relaunched their best selling Alto 800 while Tata Motors is aiming for the number two slaught with more product launches. Automobile industry is looking forward to increased sales in festive season after a slump seen in September.
Bombay Stock Exchange consumer durables, capital goods and auto indices were are up half a per cent each.
India’s natural rubber consumption rose 5.6 per cent in the first half of the current financial year, while production rose only 1.1 per cent.
Total consumption in the April-September period stood at 5,01,940 tonnes, compared with 4,75,485 tonnes in the year-ago period, while production stood at 3,95,700 tonnes, compared with 3,91,400 tonnes in the corresponding period last year. The demand-supply gap is widening on a monthly basis necessitating more imports. Tyre sector has consumed 5-6% more natural rubber during the first half of 2012-13.
Source: Rubber Country
