India’s natural rubber imports were up 80% during the April – May period compared with the same period in 2013-14, according to the latest figures of the Rubber Board.

About 63,559 tons were brought in during the two months compared with imports during the corresponding period last year.

However, India’s exports put up a poor show, dropping 98% to just 40 tons, compared with the 1,723 tons during the April – May period of 2013-14. Only 11 tons were exported in May.

A sharp drop in the international prices of natural rubber over the local prices is the key reason for the rise in imports. For the last year, local prices were up INR 20 (approx. USD 0.33) on average over the prices recorded in the global markets, mainly in the Bangkok market.

India’s imports in 2013-14 were 324,467 tons while the yearly production was 844,000 tons. For the first time, imports crossed the 300,000-ton mark. This year, it is expected to cross 400,000 tons.

Meanwhile, production during April and May dropped 7% to 104,000 tons compared with 112,000 tons during the same period of the previous financial year.

Source: tirereview.com