Natural Rubber Imports To Rise 67-Pc

Mumbai: India is likely to import 67 per cent more natural rubber this year as demand for the raw material climbs on sustained economic growth, an industry group forecasts. The country is likely to purchase a net 75,000 tonnes from overseas, compared with 45,000 tonnes last year, the source said. The gain may come even as India's natural-rubber output rises as much as 5 per cent to 875,000 tonnes this year. The economy in India, the world's fifth-largest rubber user, has expanded at an average 8.6 per cent since 2003, boosting demand for tires and gloves. Thailand, Indonesia and Malaysia are the three biggest rubber producers, while India is fourth. Natural-rubber futures on the Tokyo Commodity Exchange, the global benchmark, have advanced 94 per cent in the past two years on rising demand from China and India. The contract for October delivery, the most active, gained 1.4 yen, or 0.5 per cent, to 274.2 yen ($2.28) a kg at 9:40am Tokyo time today. Global demand for rubber, and the challenges of boosting supply are the principal topics that will be addressed today and tomorrow at the World Rubber Summit 2007 in Bangkok.