The Hindu Business Line : Rubber output may go up as rain-guarding rises

Guarding it well
Growers have gone for rain guarding to take advantage of the high rubber price.
Rubber Board expects production to top 1.8 lakh tonnes during monsoon.
Prices likely to cool off in the coming months

MORE NOW: Increase in rain-guarding could come handy for growers during monsoon.

Kottayam , May 24

Enthused by the prevailing record prices of natural rubber, growers are resorting to largescale rain-guarding of their trees for the impending monsoon, indicating that production will be higher during this year's rainy season.

Most of the plantations in Kottayam, the district that accounts for 20 per cent of the country's 5.78 lakh hectares of natural rubber plantations, have already had rain guards — a plastic shade fixed on the tree trunk to protect latex.

Production

"We had problems of drought till now. But now things are looking good. This year growers have done widespread rain guarding," a top official of the Rubber Board said.

The Rubber Board expects production to be up by seven per cent during June to August at 1,80,500 tonnes. Last year, production during these months was 1,68,290 tonnes.

"We are expecting production to be 53,500 tonnes, 59,500 tonnes and 67,500 tonnes during June, July and August respectively," the Board official said.

If production goes well as the Board hopes it could ease the shortage of natural rubber in the market and cool off the prices in the coming months.

PERCEIVED SHORTAGE

Natural rubber prices in the domestic market have appreciated by as much as 40 per cent since the beginning of this year. Currently, the benchmark ribbed, smoked sheet (RSS) — 4 grade is trading at a record Rs 102.50 a kg, .

Apart from surging international prices, especially in futures markets, the other reason that has led to this unprecedented price increase is the perceived shortage of the commodity in the local markets.

Tyre companies and other consumers have urged the Union Government to temporarily ban natural rubber exports to help them tide over the shortage of raw material. Growers have decried the demand.

Rubber Board estimates that production during April and May this year could be 53,000 tonnes and 54,000 tonnes, lower than it had projected.

But production would improve with the onset of rains over Kerala, which accounts for 93 per cent of India's natural rubber production.

Latex yield

Growers in the region say latex yield will tend be higher if the climate is cool"I expect production to be good during monsoon. Since we sell rain guards, we know that rain-guarding has taken place well this time," said Prof. K.K. Abraham, President of the Pala Marketing Co-operative Society.

Measures to protect yield

Unlike the previous years, growers are going in for rain-guarding all their trees now. In the past they would put rain guards only partly in their plantations. But the present price flare-up has made farmers to take all measures to protect the yield. It takes Rs 10-12 to put a rain guard, which lasts for a year, on a tree. This year's increasing demand has already started to push up the prices of the material, growers say.