Natural rubber imports jump 84% in April

Imports of natural rubber rose 84 per cent to 26,445 tonnes in April on account of lower prices in international markets and drop in domestic production.
According to the Rubber Board data, India's natural rubber imports stood at 14,396 tonnes in the same month last year.
Natural rubber imports in FY 2013-14 increased by 49 per cent to 3.24 lakh tonnes from 2.17 lakh tonnes in 2012-13.
Imports increased notwithstanding the Centre raising import duty on natural rubber to Rs 30 per kg or 20 per cent, whichever is lower, in December last year.
The basic customs duty on natural rubber earlier stood at Rs 20 a kg or 20 per cent whichever was lower.

"Imports have gone up as prices of both block rubber and sheet rubber in the international market are lower as compared to domestic prices," a senior rubber board official said.

The gap between international and domestic prices of block rubber is Rs 30-35 per kg, while that of sheet rubber is Rs 17-18 per kg.
About 95 per cent of rubber imported is used by tyre manufacturers and the country imports a big chunk of rubber from Vietnam and Indonesia.
Meanwhile, the production of natural rubber dropped 4 per cent to 51,000 tonnes in April 2014 as against 53,000 tonnes in the same month last year.

The consumption, however, declined marginally to 81,500 tonnes during the month from 82,980 tonnes in April 2013, according to the data.
Rubber exports declined to 28 tonnes in April this year as compared to 1,538 tonnes in the same month a year ago.