Global rubber output to be up 3.4 per cent at 12 mt in 2014

According to the IRSG estimates, were 11.7 million and 11.3 million tonnes, respectively (a surplus of 0.4 million)

Global production and consumption of natural rubber (NR) in 2013, according to the International Rubber Study Group (IRSG) estimates, were 11.7 million and 11.3 million tonnes, respectively (a surplus of 0.4 million).

It forecasts production and consumption in 2014 at 12.1 (3.4 per cent higher) and 11.9 million, respectively (a surplus of 0.2 million). In 2013, production and consumption grew three per cent and 2.5 per cent, respectively, on a year ago, said Chairman Sheela Thomas at the annual general meet of the Rubber Board at Kottayam.

She said domestic production in 2014-15 was projected at 950,000 tonnes and consumption at 1,010,000 tonnes (a deficit of 60,000 tonnes). Still, there will not be a shortage, as there will be 260,000 tonnes by March-end 2015.

“Production and consumption in India declined during April 2013 to January 2014 compared to a year ago. Production was 9.4 per cent lower on a year ago.  Production in this period was provisionally estimated at 723,000 tonnes. The main reasons for the decline were excessive rains, leaf diseases and low prices. However, the area increased from 504,000 hectares in 2012-13 to 518,000 hectares in 2013-14.”

 

Consumption from April 2013 to January 2014 was provisionally estimated at 811,110 tonnes, one per cent lower than a year ago’s. Consumption in the tyre sector increased one per cent whereas the non-tyre one saw a decline of four per cent on a year ago.

Imports and exports of rubber were 279,627 tonnes and 5,357 tonnes, respectively, during the period. Around 71 per cent of the imports were block rubber. Tight supply of rubber in the domestic market and the difference between the prices of RSS-4 grade in the domestic market and TSR-20 in the global one were the main reasons for the high import volumes.

The meet demanded a scheme for building reserves be formulated under the auspices of the Board, to check the fluctuation in prices.