Spot rubber zooms to new high

Kottayam, Jan. 5

Domestic rubber prices explored further highs on Wednesday. The market continued its upward journey on supply concerns and gains in trend setting international markets. On the spot, prices ruled firm, following the bullish mood on the National Multi Commodity Exchange (NMCE).

“The present price hike is the true reflection of the international situation. The price can be said as neither high nor low,” Adv. Joy Nadukkara, Ex. MP and President, Meenachil Rubber Marketing and Processing Cooperative Society said. “In all other producing countries, the price situation is almost the same. It is not a phenomenon peculiar to India. Our production is also not satisfactory commensurate with the total rubber area available. It ought to have been much higher. Climatic change is also yet another set back to bring down the production,” he said.

Sheet rubber firmed up to Rs 212 (210) a kg, according to traders. The grade increased to Rs 210.50 (209.50) a kg both at Kottayam and Kochi, according to the official Web site of the Rubber Board.

The January series improved to Rs 214.26 (212.37), February to Rs 221.67 (218.88), March to Rs 226.75 (223.52) and April to Rs 233.05 (230.23) a kg for RSS 4 on the NMCE.

RSS 3 (spot) flared up to Rs 230.94 (226.39) a kg at Bangkok. The grade improved further at its January futures to ¥419 (Rs 231.06) from ¥416 a kg during the day session and then to ¥422.4 (Rs 232.97) in the night session on the Tokyo Commodity Exchange.

Spot rates were (Rs/kg): RSS-4: 212 (210); RSS-5: 202 (201); ungraded: 198 (197); ISNR 20: 208 (207) and latex 60 per cent 143 (142).

(Source: http://www.blonnet.com/2011/01/06/stories/2011010651721800.htm)