NR Prices Rise 23% In A Week

NR Prices Rise 23% In A Week
THURSDAY, MARCH 24, 2011

Natural rubber (NR) prices, both in domestic and international markets, are in a come back mode after the damage last week due to an earthquake in Japan.
The domestic market quoted Rs 228 a kg for benchmark grade RSS-4 which had plummeted to Rs 185 a kg on March 14, the lowest this year.
In Tokyo, TOCOM yesterday (Mar 23) quoted ¥411 a kg for RSS-4, up ¥29 from the closing rate on Monday (Mar 21). It had dropped to ¥375 a kg on March 16. Likewise, Bangkok market on Wednesday (Mar 23) quoted Rs 251 a kg , up by Rs 50 from the Rs 201 on March 15. A bunch of other allied factors also indicate a fundamentally strong market for the next 10-12 weeks.
The market foresees a bullish mode as there would be a decline in production in the coming months due to heat and supplies would be low till the next monsoon. The lean season in the rubber production is March to May. So, according to experts, the global NR prices are now rising after declining sharply last week.
The total domestic production in March-May 2010 was 160,550 tonnes while it was 109,000 tonnes in December alone. The average monthly production in India is 70,000 tonnes while this was reduced to 53,500 tonnes in March-May. The heat during these months reduces the output.
Rubber price jumped after Thailand, the largest producer, asked exporters to halt shipments and as tyre plants in Japan resumed production after the earthquake.
(Business Standarad, India, March 24, 2011)




Buyer resistance tests rubber
THURSDAY, MARCH 24, 2011

KOTTAYAM, MARCH 23:
The physical rubber prices showed a mixed trend on Wednesday. The market opened steady but lost ground on buyer resistance following the early declines on the NMCE. A late recovery in domestic futures failed to strengthen the prices though the international markets ended on a positive note. Meanwhile ISNR 20 improved on better demand but the volumes were comparatively low.
Among other reports, Indonesia, the world's second-largest rubber producer, would increase its output by more than 20 per cent to 3.6 million tonnes by 2015, to meet rising domestic and Chinese demand in fast-growing economies.
In spot, sheet rubber moved down to Rs 228 (229) a kg according to traders. The grade finished unchanged at Rs 228 a kg both at Kottayam and Kochi as per Rubber Board.
The April series closed at Rs 230.20 (230.70), May at Rs 236 (236.38), June at Rs 241.66 (241.28) and July at Rs 242.20 (241.67) a kg for RSS 4 on the National Multi Commodity Exchange (NMCE).
RSS 3 (spot) increased to Rs 253.19 (251.76) a kg at Bangkok. The March futures for the grade firmed up further to ¥445 (Rs 246.73) from ¥440 a kg during the day session and then to ¥449 (Rs 248.95) in the night session on the Tokyo Commodity Exchange (TOCOM).
Spot rates were (Rs/kg): RSS-4: 228 (229); RSS-5: 224 (225); ungraded: 221 (222); ISNR 20: 222 (221) and latex 60 per cent: 130 (130).
(Source: http://www.thehindubusinessline.com/industry-and-economy/agri-biz/article1565065.ece)




Rubber Board invites suggestions for 12th Plan
THURSDAY, MARCH 24, 2011 \

KOTTAYAM, MARCH 23:
Ms Sheela Thomas, Rubber Board Chairperson, has invited suggestions from all the stakeholders for formulating the Board's schemes for the 12th Five Year Plan to be implemented from the year 2012-13.
The development schemes of the Board are part of Five Year Plans implemented by the Government of India. The current schemes in the 11th Plan are ending in 2011-12. Ms Sheela Thomas said that an evaluation of these schemes would be conducted so as to generate inputs for the formulation of 12th Plan schemes. Internationally renowned agricultural scientist and Member of Parliament Dr MS Swaminathan would chair the National Committee which has been constituted for the evaluation. The committee comprising experts from different disciplines would critically look into all the schemes being implemented in the fields of production, processing and marketing of NR and also research in rubber.
In order to give an opportunity for all sections of the public to have their say in plan formulation, the Board has scheduled a series of consultations with various segments of rubber industry stakeholders, she said. The first such meeting would be conducted at Kottayam soon.
Simultaneously, stakeholders can give online observations on the current schemes and suggestions for the 12th Plan, by logging on to the Board's Web sitewww.rubberboard.org.in. They could either key in their proposals in the suggestion box or attach a file. Details of the 11th Plan schemes of the Board are made available on the site, for ready reference.
She said that the observations and suggestions received from the stakeholders would be considered seriously while formulating the 12th Plan proposals of the Board, subject to the guidelines and priorities set up by Government of India and Planning Commission.
(Source: http://www.thehindubusinessline.com/industry-and-economy/agri-biz/article1565067.ece)




Maharashtra Govt open to Rubber Board conducting field trials of genetically modified crop
THURSDAY, MARCH 24, 2011

KOCHI, MARCH 24:
The Maharashtra Government has responded positively to a proposal from the Rubber Research Institute of India (RRII), under the Rubber Board, for conducting controlled field trials of genetically modified rubber, Ms Sheela Thomas, Chairman of Rubber Board, has said.
She pointed out that the response from the Kerala Government, which had strongly opposed the field trials citing the State's policy to be free of GM crops, was awaited. The trials will be conducted in a closely-controlled environment and not in commercially-cultivated holdings.
She also mentioned that the board would conduct a survey to find out, among other things, the actual stock of natural rubber in the country. She said a framework for the survey, which will investigate several other aspects of natural rubber cultivation and production, was just being readied. The survey would be conducted entirely by the Rubber Board and no outside agency would be involved.
ISSUES WILL BE ADDRESSED
Ms Thomas was speaking at the interactive session with rubber traders organised by the Indian Chamber of Commerce and Industry and the Cochin Rubber Merchants Association. She assured the stakeholders that the issues raised by them would be addressed on an urgent basis, including the suggestion to raise the higher import duty in case of raw latex.
Nearly 50 members of the rubber trading community participated in the interactive session, the first since Ms Thomas took charge as the Rubber Board Chairman.
Mr Prathapachandran, President, Indian Chamber of Commerce and Industry, welcomed the gathering. Mr G. P. Goyal, President, Cochin Rubber Merchants Association, Mr N. Radjakrishnan, Advisor, and Mr K. B. Rajan, Secretary, CRMA, proposed the vote of thanks.
(Source: http://www.thehindubusinessline.com/industry-and-economy/agri-biz/article1568112.ece)




Japan's earthquake and tsunami pulls down Vietnamese rubber price
THURSDAY, MARCH 24, 2011

Vietnam rubber prices fell sharply after the earthquake and the tsunami in Japan on March 11, according to the Vietnam Rubber Group (VRG) on Wednesday.
The price was reduced to 85 million Vietnamese dong (U.S. $ 40.68 million) per ton following the earthquake and tsunami, compared to 120 million Vietnamese dong / ton (57.44 million U.S. dollars . UU.) March 10, said VRG.
Insiders held rubber importers ceased work due to some Japanese carmakers suspend production, despite the fact that Japan accounts for only seven percent of the demand for rubber worldwide total.
However, rubber prices increase again in the second quarter of the year when Japanese auto plants to restore their production, they said.
VRG asked the Vietnamese rubber exporters not to sell products in a chaotic situation.
According to VRG, in the first two months of 2011, Vietnam exported 121,000 tonnes of rubber worth U.S. $ 532 million, 157 percent in volume and 275 percent in value over the same period last year.
Rubber export prices made an album in late February to early March, with approximately U.S. $ 5,000 per ton, more than 75 percent from year to year. The main markets are India, Britain, Hong Kong China and Malaysia, including Malaysia in January alone imported U.S. $ 19.67 million worth of rubber from Vietnam, according to the Vietnamese Ministry of Industry and Commerce.
In 2010, Vietnam exported 783,000 tons of rubber worth U.S. $ 2.376 billion 39 countries, of which China accounted for 60 percent. Vietnam now ranks fifth worldwide in cultivated areas of rubber and fourth in the export of rubber, according to the Vietnam General Department of Customs.
In 2011, Vietnam expects to export around 760,000 tonnes of rubber worth nearly three billion U.S. dollars, VRG estimates.
World demand for rubber will be around 11.15 million tonnes in 2011, while rubber production will be 10.97 million tons, according to the Association of Natural Rubber Producing Countries.
(Source: http://english.peopledaily.com.cn/90001/90777/90851/7329833.html)




Surging demand to boost Indonesia rubber
THURSDAY, MARCH 24, 2011

Jakarta: Indonesia, the world's largest producer of rubber second, increase its production by more than 20 percent to 3.6 million tons by the year 2015 to meet growing domestic demand and the Chinese in the fast-growing economies, the Rubber Association of Indonesia (Gapkindo) said on Tuesday.
Within five years, domestic consumption of rubber in the largest economy in Southeast Asia should go to 20 percent of total production, Suharto Honggokusumo, Gapkindo executive director said. Indonesia produced 2.8 million tons of rubber in 2010 and Honggokusumo regard this increase of 6 percent and 8 percent this year.
The weather anomaly La Nina caused unusually heavy rains this year in Indonesia, even during the dry season, common, leading to the production of many commodities.
"Before 2007, the (annual percentage) increases about 10 percent," he said.
domestic consumption of rubber in Indonesia was 422 000 tons in 2010, and Honggokusumo is an increase of 10 percent this year, when the economy is projected to grow by 6.4 percent. "This is normal, as in China, economic growth is very fast," he said. "Everyone wants a better life - from bicycles to motorcycles, then cars."
"We need to increase local consumption," he added. "In 2015 we would have 20 percent of production is consumed locally."
Global demand for natural and synthetic rubber, is expected to increase to 26.1 million tons in 2011 to 24.4 million tonnes in 2010, the International Rubber Study, said earlier this month. – Reuters
(Source: http://www.btimes.com.my/articles/indorube/Article/)



Tokyo rubber flat
THURSDAY, MARCH 24, 2011

Bangkok (march 24, 2011) : the benchmark tokyo rubber contract ended flat on wednesday as profit-taking emerged after a jump early in the session, but prices were still supported by tight supply in producing countries, dealers said. the benchmark rubber contract on the tokyo commodity exchange for august delivery lost just 0.3 yen to settle at 433.6 yen ($5.38) per kg. other contracts rose by 1.5 to 5.0 yen.
august jumped 3 percent to a high of 446.9 yen early on wednesday, prompting some players to take quick profits. "tocom rubber should rise further after the price finished above the strong support level at 430 yen," one dealer said. others noted that demand remained strong while supply was tight. the most active shanghai rubber contract for may delivery rose 750 yuan to finish at 36,650 yuan ($5,580) per tonne.
(Source: http://www.brecorder.com/news/agriculture-and-allied/world/1170112:tokyo-rubber-flat.html?hl=rubber)