Latest News

INDIA RUBBER MEET 2018: India Rubber Meet 2018 - updates
(Last Updated: 12 Nov 2018)

 

 

‘Weekly tapping is the way forward for sustaining natural rubber’

A sector plagued by rising labour costs and slumping natural rubber prices have forced growers to switch to other cash crops to survive, with respect to their disinterest towards replantation.

Published: 01st November 2018 01:26 AM  |   Last Updated: 01st November 2018 11:42 AM  |  A+A-

Image used for representational purpose only.

Express News Service

KOCHI: With the possibility of a revival in prices of natural rubber looking implausible for years to come, the Rubber Board of India is promoting alternative solutions to sustain the rubber plantation sector, which is fast becoming unsustainable, especially for small growers. 

After extensive research, weekly tapping of trees without yield drop or crop loss is being extensively promoted by the board in Kerala. “Weekly tapping, in fact, is beneficial to the trees, resulting in better latex yield and a significant decrease in labour cost,” R Rajagopal, senior scientist, Rubber Research Institute of India (RRII), told Express.  

He said the tapping days can be brought down to 50 from the present average of 150 days. “Take, for instance, 300 trees being tapped in an area with 600 being the labour cost, the savings accounts to 60,000 annually,” said Rajagopal. 

 

 

Representing large plantations in a quest to survive, Harrison Malayalam chairman C Vinayaraghavan said: “Weekly tapping can check shortage of tappers and low rubber prices. We are getting the comparable yield to D3 (third-day tapping) at a reduced cost of production.” Since the trees are being cut less frequently, it exhibits longer economic life, high dry rubber content, lower tapping panel dryness, sustainable yield, better girth increment and more timber value. RRII also debunks the myth of ethephon, which is used as a stimulant for latex production of being harmful to the trees. 

“Our extensive research spanning 13 years has proved there are no harmful effects to the ecosystem from ethephon. Plus, it a permissible agricultural chemical widely used in food crops in India,” said Rajagopal. 

 

A sector plagued by rising labour costs and slumping natural rubber prices have forced growers to switch to other cash crops to survive, with respect to their disinterest towards replantation. Reportedly, 70 per cent of the cost of producing a kilogram of rubber goes towards the labour cost alone, and with the prices of natural rubber hovering around the 125/kg mark, the producers are reporting diminished profit margins for long. 

Facilities like rubber soil information and fertiliser recommendation based on the area and the age of plantations are now available through the Rubber Board’s mobile app ‘RubSIS’. 

RULES FOR SUCCESS OF WEEKLY TAPPING
Regular and systematic tapping on fixed days. If the tapping is on Monday, tapping has to be carried out on all Mondays.
After four tappings yield stimulation by panel application with ethephon to be done (72 hours prior to the fifth tapping) 
Since the number of tapping days is only 52 per year in weekly tapping, proper rain guarding without leak has to be ensured for regular tapping during monsoon season. 
No skipping encouraged.
Proper bark thickness of 2.5 mm/tap has to be ensured.
Proper depth of tapping up to 1 mm from cambium without causing injury is also equally important. 

 

Equip small farmers for sustainable growth, rubber industry told

 

It’s the biggest challenge before the sector, says economist

It is impossible for the rubber industry to be sustainable without the development of the smallholder-dominated natural rubber production sector, according to Jom Jacob, senior economist, Association of Natural Rubber Producing Countries, Kuala Lumpur. He was making a presentation at the India Rubber Meet 2018 here on Wednesday.

“Smallholders are resource poor and are passing through hard times. As the global rubber industry value-chain is taking the journey towards sustainable future, the biggest challenge is to equip the smallholders and help them to be on board. A chain is as strong as its weakest link,” he said.

He pointed out that as the economic viability of rubber cultivation was under threat, the great concern for small farmers is to survive the hard days. The small farmer may be forced to look for alternative livelihoods if rubber cultivation remains unattractive for long periods.

“At the same time, if there are no exit options, there will be a reduction in further investments in the sector. Low rate of replanting, retention of uneconomic old trees, abandonment of mature trees, technological stagnation, etc. are signs of the stress undergone by small farmers forced to stick to rubber cultivation in difficult times,” he said.

Mr. Jacob also said that this will result in low yields. “The average yield (measured in terms of the annual production per hectare of mature area) came down in India from 1,903 kg in 2008 to 1,311 in 2017,” he said. A decline in average yield increases the cost of producing natural rubber. Even if wages and all material input costs remain the same, the cost goes up just because of the drastic fall in average yield, he added.

No revival of Natural Rubber prices until 2025: Rubber expert

lobally, plantings during 2005–2013 provide a massive increase in normal production, creating a huge surplus, with a peak in the years 2022 - 2023.

KOCHI: Tough times for rubber growers are not over yet as the prices for Natural Rubber (NR) will hover around the current levels and will only witness a significant upward revision by the year 2025 to reach $2/kg, said Hidde Smit, former secretary general, International Rubber Study Group (IRSG), Singapore. He was speaking at the India Rubber Meet on Wednesday. 

“Globally, plantings during 2005–2013 provide a massive increase in normal production, creating a huge surplus, with a peak in the years 2022 - 2023. NR consumption will increase by some 5 lakh tonnes per year over the coming decades,” said Hidde. 

The world production of NR is anticipated to grow at 5.8 per cent to 14.6 million tonnes in 2019 if NR prices continue at the current level. The global consumption is expected to grow at 3.6 per cent to 14.7 million tonnes. 

Indicating a revival in global NR prices by the end of 2020, the prices are expected to cross $3 dollar/kg by 2030 and break the $5 dollar barrier by 2033-34. The reason being the surplus which is likely to turn into a deficit depending on the planting scenario by 2028, thus facilitating a surge in prices. “Long-term availability of NR depends to a large extent on uprooting, replanting and planting over the coming 5-10 years; coordinated action is required. The risk of a structural deficit may stimulate the search for substitutes or synthetic alternatives,” said Hidde. 

Jom Jacob, senior economist at Association of Natural Rubber Producing Countries (ANRPC) reiterated the possibility of non-revival of prices till 2023. “As the new plantations and replanting have declined from 2013 because of plunge in prices, considerably fewer number of trees will be opened for tapping from 2022 taking into account seven-year gestation growth period of trees,” said Jom.

Reduced tapping frequency is expected to lift the average age at uprooting, thus reducing uprooting. Reduced tapping frequency is also expected to reduce production intensities to an average of less than 90 per cent, thus reducing future availability.

External factors such as an increase in global rubber production, the rise in crude oil prices, subdued demand for natural rubber in China, the weak revival of the US economy, among others are pulling the price down.

 

 

Equip small farmers for sustainable growth, rubber industry told

 

It’s the biggest challenge before the sector, says economist

It is impossible for the rubber industry to be sustainable without the development of the smallholder-dominated natural rubber production sector, according to Jom Jacob, senior economist, Association of Natural Rubber Producing Countries, Kuala Lumpur. He was making a presentation at the India Rubber Meet 2018 here on Wednesday.

“Smallholders are resource poor and are passing through hard times. As the global rubber industry value-chain is taking the journey towards sustainable future, the biggest challenge is to equip the smallholders and help them to be on board. A chain is as strong as its weakest link,” he said.

He pointed out that as the economic viability of rubber cultivation was under threat, the great concern for small farmers is to survive the hard days. The small farmer may be forced to look for alternative livelihoods if rubber cultivation remains unattractive for long periods.

“At the same time, if there are no exit options, there will be a reduction in further investments in the sector. Low rate of replanting, retention of uneconomic old trees, abandonment of mature trees, technological stagnation, etc. are signs of the stress undergone by small farmers forced to stick to rubber cultivation in difficult times,” he said.

Mr. Jacob also said that this will result in low yields. “The average yield (measured in terms of the annual production per hectare of mature area) came down in India from 1,903 kg in 2008 to 1,311 in 2017,” he said. A decline in average yield increases the cost of producing natural rubber. Even if wages and all material input costs remain the same, the cost goes up just because of the drastic fall in average yield, he added.

No revival of Natural Rubber prices until 2025: Rubber expert

KOCHI: Tough times for rubber growers are not over yet as the prices for Natural Rubber (NR) will hover around the current levels and will only witness a significant upward revision by the year 2025 to reach $2/kg, said Hidde Smit, former secretary general, International Rubber Study Group (IRSG), Singapore. He was speaking at the India Rubber Meet on Wednesday. 

“Globally, plantings during 2005–2013 provide a massive increase in normal production, creating a huge surplus, with a peak in the years 2022 - 2023. NR consumption will increase by some 5 lakh tonnes per year over the coming decades,” said Hidde. 

The world production of NR is anticipated to grow at 5.8 per cent to 14.6 million tonnes in 2019 if NR prices continue at the current level. The global consumption is expected to grow at 3.6 per cent to 14.7 million tonnes. 

Indicating a revival in global NR prices by the end of 2020, the prices are expected to cross $3 dollar/kg by 2030 and break the $5 dollar barrier by 2033-34. The reason being the surplus which is likely to turn into a deficit depending on the planting scenario by 2028, thus facilitating a surge in prices. “Long-term availability of NR depends to a large extent on uprooting, replanting and planting over the coming 5-10 years; coordinated action is required. The risk of a structural deficit may stimulate the search for substitutes or synthetic alternatives,” said Hidde. 

 

 

Jom Jacob, senior economist at Association of Natural Rubber Producing Countries (ANRPC) reiterated the possibility of non-revival of prices till 2023. “As the new plantations and replanting have declined from 2013 because of plunge in prices, considerably fewer number of trees will be opened for tapping from 2022 taking into account seven-year gestation growth period of trees,” said Jom. 

 

Reduced tapping frequency is expected to lift the average age at uprooting, thus reducing uprooting. Reduced tapping frequency is also expected to reduce production intensities to an average of less than 90 per cent, thus reducing future availability. 

External factors such as an increase in global rubber production, the rise in crude oil prices, subdued demand for natural rubber in China, the weak revival of the US economy, among others are pulling the price down.

 

India Rubber Meet 2018 is being held at Grand Hyatt Kochi Bolgatty, on 30 and 31 October 2018.

We have arranged facility for registration at the venue on 29 October 2018 from4 pm – 8 pm. (There will be also an informal get together and welcome party from 6pm - 8pm the same day). There will be a separate counter for registration for Organizing Committee members at the venue. Kindly collect your delegate kit, badge and food coupons from the counter.

Schedule of events on 30th  and 31st  is available in the link 

http://indiarubbermeet.in/uploads_2016/topmenu/IRM%202018%20-%20Program%20as%20on%2012_20181012010003.pdf

We have made all arrangements for the smooth conduct of the event.  Those who require accommodation at venue hotel or other hotels nearby, please visithttp://indiarubbermeet.in/accomodation and make their  bookings at the earliest. Conveyance facility from the listed hotels to the venue and back will be provided on 30th and 31stFor more details, kindly visitwww.indiarubbermeet.in

    Together we can  make IRM 2018 a grand success.

Yours faithfully
 
Secretary, India Rubber Meet

 

 

  IRM 2018, 30 & 31 OCT 2018

ORGANISERS

 

1. The Rubber Board
(Ministry of Commerce & Industry, Govt of India)
2. All India Rubber Industries Association
(AIRIA)
3.
Association of Latex Producers of India
(ALPI)

 
4. Automotive Component Manufacturers Association of India
(ACMA)
5. Automotive Tyre Manufacturers's Association
(ATMA)
6.
Block Rubber Processors Association of India (IBRPA)
 
7. CAPEXIL 
(Ministry of Commerce & industry, Govt of India)
8. Exxon Mobil
9. GRP Ltd.
10. Harrison's Malayalam Ltd.
(HML)
11. Indian / International Rubber Journal
12. Indian Rubber Dealers' Federation
(IRDF)
13.
Indian Rubber Growers Association
(IRGA)

 
14. Indian Rubber Institute
(I R I)
15. Indian Rubber Manufacturers Research Association (IRMRA)
16. Kerala State Co-operative Rubber Marketing Federation 
(Rubber Mark)
17.
Latex Rubber Thread Manufacturers Association (LARTMA)
 
18.
National Federation of Rubber Producers Society
 
19. Rubber Skill Development Centre
(RSDC)
20.
Copyright © 2013 Association of Latex Producers of India, All Rights Reserved. Website by: Dom Technolabs.
web counter