Rubber producers seek to explore export market; Rubber Board convenes meet on March 15

The Rubber Board has convened a meeting of exporters on March 15, 2024 to explore opportunities for export as the price of natural rubber has climbed steeply in less than a week, widening the price gap between the domestic and international markets.

The Rubber Board has convened a meeting of exporters on March 15, 2024 to explore opportunities for export as the price of natural rubber has climbed steeply in less than a week, widening the price gap between the domestic and international markets.

According to rubber dealers in Kottayam, the price of rubber in Bangkok has gone up to more than ₹211 a kg, while the domestic price is ₹174.

“The difference is a big incentive for exports,” said George Valy, president of Indian Rubber Dealers’ Federation.

He said the current indication is that there is a shortage and the price might move further up.

Babu Joseph, secretary of the National Consortium of Rubber Producer Societies, demanded that the price gap in the national and international markets has touched an all-time record, indicating that imported rubber price will cost much more than the domestic produce. This includes the price in Bangkok, plus import duty of ₹30 and estimated additional expenses of ₹15, he said in a statement.

Producers want the Rubber Board to procure rubber at a higher price and export it. The consortium demanded that political parties must come to the aid of the rubber farmers at the earliest.

However, a rubber dealer said there is some apprehension that since Indian exports had slowed down over the last few years, finding ready buyers in the international market may not be easy, especially on long-term contracts because prices may fluctuate, plunging the contracts into serious problems.