Rubber Board Chairman Urges Not To Hold Stocks

Kottayam: The Chairman of the Rubber Board, Mr Sajen Peter, has cautioned growers that holding rubber stock would be a risk on the presumption that price will increase further, as futures are on the rise. The futures price of natural rubber has increased to Rs 91 a kg even as spot prices are ruling at Rs 88. He also pointed out that the situation is favourable for imports as the international price is currently lower than the Indian price. The loss of tapping days has resulted in a shortage of less than 50,000 tonnes compared to the same period last year. In these circumstances, the futures prices for September have risen only because of the effect of unfair speculations and this has no connection with the realities in the physical market. If the growers decide to hold back their stock anticipating a corresponding rise in the physical market, it may lead to imports, which would have adverse effect on the market in the peak season.