Ralson cuts tyre prices by 2 per cent

Bicycle tyre manufacturer, Ralson (India) Ltd has reduced the prices of its product by 2 per cent to keep up with the declining cost of natural rubber.

"We have reduced our tyre and tubes prices by 2 per cent as prices of natural rubber have been on a declining mode for sometime," Ralson (India) Ltd Managing Director Sanjeev Pahwa said.

The company reduced the prices of tyres and tubes after a gap of almost two years.

The price of natural rubber has plummeted to Rs 80 per kg and may decline in future and as a result tyre companies may reduce its prices, said market analysts.

In the past, the prices of natural rubber had risen considerably. As a result, the company had raised tyre and tubes prices to compensate the rising input cost.

Being the largest bicycle cluster in the country, Ludhiana alone accounts for almost 60 per cent of the total bicycle tyre production which is around Rs 13-15 crore annually.