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Natural rubber (NR) production in India increased by 4.3 per cent in fiscal 2011-12, said Ms Sheela Thomas, Chairman, Rubber Board. She was delivering the presidential address at the 168th meeting of the Rubber Board.
The growth in the NR sector, she said, will continue without much fluctuation, even though many countries were facing economic uncertainties. She also pointed out that the threat of a sharp slowdown had eased, with economic recovery in the US and better policies in the Euro area.
With low inventories and the production-consumption levels finely balanced, , the market could turn volatile in response to weather, currency and speculative factors, she added.
Production and consumption of NR in 2011-12 were 8,99,400 tonnes and 966,750 tonnes, respectively. NR consumption in the tyre sector increased by 6.3 per cent, whereas in the non-tyre sector it declined by 5.4 per cent.
Tyre output
According to Automotive Tyre Manufacturers' Association (ATMA), tyre production and exports increased by 6 per cent and 24 per cent, respectively in the April 2011- February 2012 period. Import and export of NR in 2011-12 were 2,05,433 tonnes and 27,145 tonnes respectively. The carryover stock at the end of March 2012 was 2,30,000 tonnes.
Production and consumption of NR in 2012-13 are projected at 9,42,000 tonnes and 1,006,000 tonnes respectively — a deficit of 64,000 tonnes. However, there would not be any shortage of NR in the domestic market in 2012-13 as the projected opening stock of NR in April 2012 is 2,30,000 tonne and as the rubber consuming industry has entitlement to import around 1,20,000 tonnes of NR through duty-free channels.
World production
International Rubber Study Group (IRSG) has forecast world production and consumption of NR at 11.32 and 11.29 million tonnes, respectively, with a surplus of 31,000 tonnes in 2012.
World NR production and consumption in 2013 would be 11.91 and 11.84 million tonnes — a surplus of 74,000 tonnes. However, deficits/surpluses of these magnitudes are not significant in impacting the NR market, the Chairman informed the Board.
Prof. K. K. Abraham, a cooperative activist and President of the Pala Marketing Society, has been elected as the Vice-Chairman of the Rubber Board.
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