THE prices of rubber surged over K1,200 per pound again, rubber traders said. In early May, a pound of rubber was priced around K1,000. Shortly after, the rubber price has gradually increased.
The prices of rubber stand at K1,200 per pound for sundried rubber Local 3 and K1,220 per pound for ribbed smoked sheet Local 3. Global demand for rubber, rubber production of the Southeast Asian nations and their market supply are contributing factors to the rubber price condition of Mon State, a major producing state in Myanmar, traders elaborated. Rubber price climbed up in the monsoon season on strong demand when there was low supply in the past years.
However, the rubber price is likely to go down owing to the Central Bank of Myanmar’s currency policy and negative consequences, traders shared their opinions.
Rubber is commonly produced in Mon and Kayin states and Taninthayi, Bago, and Yangon regions in Myanmar. As per 2018-2019 rubber season’s data, there were over 1.628 million acres of rubber plantations in Myanmar, with Mon State accounting for 497,153 acres, followed by Taninthayi Region with 348,344 acres and Kayin State with 270,760 acres.
About 300,000 tonnes of rubber is produced annually across the country. Seventy per cent of rubber produced in Myanmar goes to China. It is also shipped to Singapore, Indonesia, Malaysia, Viet Nam, the Republic of Korea, India, Japan, and other countries.
Myanmar shipped 303,293 metric tonnes of rubber to the foreign trade partners and generated more than US$449 million revenue in the previous financial year 2020-2021.—NN/GNLM
