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NR Output Likely To Grow By 2.5%

The Rubber Board has projected 2.5 per cent growth in the production of natural rubber for the current year. The board’s projection for the ongoing financial year is 874,000 tonne. The total production had grown by 6.3 percent to peak at 853,000 tonne in 2006-07 compared with 803,000 tonne in the previous financial year.

 The Rubber Board also estimates total domestic consumption of 853,000 tonne in FY8. During the previous financial year, consumption had growth by 2.4 per cent to 820,000 tonne, against an estimate of 5 per cent growth at 841,000 tonne.

 The lower- than-expected growth in consumption is attributed to the slow-down in the non-tyre sector as a result of the higher price tags and a 2 percent increase in the usage of synthetic rubber.

 Imports registered an all-time high in the last financial year, growing by 45 percent to 85,048 tonne compared with 45,285 tonne in 2005-06 Exports have fallen steeply to 55,309 tonne in 2006-07 compared with 73,830 tonne in the preceding financial year. The sharp growth in imports and production had contributed to a stock-pile of  161,000 tonne in 2006-07.

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