Natural rubber production declined 15.5 per cent during the first five months of the current financial year, one of the sharpest falls in recent years.

 

According to the latest Rubber Board data, the cumulative production figure during the April-August 2013 period was 265,000 tonnes, compared with 313,700 tonnes in the corresponding year-ago period. In August alone, a 5.5 per cent drop was recorded as the monthly output decreased to 69,000 tonnes from 73,000 tonnes in August 2012.

 

According to farmers, heavy monsoon during the five-month period is the main reason behind the sharp fall in production. Major rubber-producing districts in Kerala such as Kottayam and Pathanamthitta have recorded a 35 per cent fall in production during June and July. Tapping of rubber trees was stalled for weeks together because of bad climatic condition. There was large-scale damage to plantations, too. Farmers said there was a spillover of monsoon in August as well.

 

Consumption of natural rubber, too, suffered a setback with 2.8 per cent drop being recorded during the April-August period at 408,805 tonnes against 420,510 tonnes in the same period of FY13. In August this year, consumption was 80,000 tonnes compared to 83,430 tonnes in August 2012, a decline of three per cent. In the current financial year, both consumption and production are on a decline. The general economic slowdown and setback to automobile manufacturing industry are the major reasons behind the fall in natural rubber consumption.

 

However, import to the country increased to 128,465 tonnes in April-August against 97,862 tonnes in the year-ago period.

 

There was a cent per cent increase in August this year at 40,809 tonnes against 17,684 tonnes in the same month last year, Rubber Board data showed.

 

The overseas market is advantageous to rubber-based industries, especially the tyre industry, as global prices are much lower than local ones.

 

Export of rubber is on a pathetic condition as the total export in the five-month period was 2,319 tonnes against 6,413 tonnes during April-August 2013.

 

India had a stock of 210,000 tonnes of rubber at end-August against a stock of 218,000 tonnes a year ago, Rubber Board data showed.