The rubber trade associations of Thailand, Indonesian, Malaysia, Vietnam and Cambodia have agreed to “urge their members not to offer natural rubber for sale at lower levels than current price,” says the International Rubber Consortium in an announcement on its website.
“The five Rubber Trade Associations were of the strong opinion that current rubber market fundamentals were not as bad as what the market perceived, but current natural rubber prices are influenced by weak market sentiment and a bearish commodities market which affected investors’ confidence,” says IRCo.
Rubber prices have fallen over 30% this year and the prevailing rubber prices is lower than the cost of production. The Tokyo Commodity Exchange is closed for a public holiday Monday.
– IRCo
