India’s rubber imports drop, inventory ample

Monday, 13 August 2012 00:00 - - {{hitsCtrl.values.hits}}

India’s natural rubber imports in July fell by more-than 14% from a year ago to 17,084 tons, the state-run Rubber Board said, as tyre makers slowed down purchases due to comfortable inventory built-up from earlier imports.

The country’s rubber production during the month edged up 2.6% on year to 66,000 tons despite poor rainfall in top producing Kerala state, the Board said in a statement.

“Rainfall is lower than the average, but we are getting it after regular interval. It will not affect on production,” said George Valy, president of the Indian Rubber Dealers Federation.

“Even in August production will be higher than last year.”

Production during the first four months of financial year ending in March was largely steady at 240,000 tons, data showed.

India is likely to produce 942,000 tons of natural rubber in the current year, up from 899,400 tons a year ago as production that was planned years ago comes on-stream in non-traditional areas such as north-eastern states.

The world’s fourth-biggest producer’s consumption during July edged up to 83,000 tons from 81,210 tons a year ago.

India’s imports in first four month jumped nearly 27% on year 76,666 tons as in first three months tyre makers aggressively imported to cash in on lower overseas prices.