Traders said that Indian tire factories bought natural rubber at a record high of US$4.69 per kilogram on Wednesday. Because of tight supply, farmers are reluctant to sell and wait for the price of rubber to rise further.

Comprehensive media news on January 5th, a trade organization executive said on Wednesday that Indian tire manufacturers bought natural rubber at a record price of 212 rupees per kilogram (US$4.69) on Wednesday, after buyers increased sharply in the international market. price.

George Valy, president of the Indian Rubber Traders Union, said that it is difficult for tire factories to ensure the required supply. Because traders transfer inventory to warehouses, and many farmers also hold inventory, prices are expected to rise further. Every day, farmers and traders raise their quotations because of rising prices in the international market. In Thailand, rubber prices are more expensive than the market here.

Exchange data shows that in the National Multi-Commodity Exchange (NMCE), the stock of natural rubber has more than quadrupled to 7,156 tons per ton.

On Wednesday, the NMCE April rubber contract price was nearly Rs 18 per kg higher than the January contract in recent months, prompting traders to hold inventory.

JK Tyre Marketing Director A.S. Mehta said that tire companies can wait for a day or two, but they have no choice, because usually no one will hold more than 10-12 days of inventory. Regardless of price, they must purchase.

State-owned Rubber Bureau said in a statement on Monday that natural rubber production in India rose slightly by 0.6% to 101,500 tons in December, because the good weather will help farmers increase the amount of tapping.

The weather is very conducive to tapping. Production in January 2011 will be higher than the same period last year, but not much rubber will flow into the market