Thursday, August 2, 2012

Burma’s rubber prices low

Thursday, 02 August 2012 12:40 Aye Kyawt Khaing

Rangoon (Mizzima) – Burma expects to export 95,000 tons of rubber in the 2012-2013 fiscal year, 10,000 tons more than last year, an official of the Myanmar Rubber Planters and Producers Association (MRPPA) said.

The largest buyer of Burma’s rubber is China. Burma also export rubber to Singapore, Malaysia, Indonesia, Vietnam, Korea and India.

A rubber plantation in Mudon, Mon State, Burma Photo: ArnisD / flickr

Presently, the price of rubber is a little low, although prices will increase toward the end of the year, said Khaing Myae, the secretary of Myanmar Rubber Planters and Producers Association.

“Burma sells rubber to any country that wants to buy. Our association has arranged for any person inside the country to sell rubber to foreign countries,” said Khaing Myae.

Naing Lwin Tun, a rubber plantation owner in Mawlamyaing, said he anticipated rubber prices to be higher by December.

“Now, the price is not good, so we do not make much of a profit.”

In Burma, rubber is grow year round except for Mandalay, Magway [Magwe] and northern Sagaing Region.

A 110-pound bag of “ribbed smoked sheet (RSS)”rubber is 950 kyat per pound. High quality RSS1 is 1,100 kyat per pound and the price of RSS5 is 950 kyat per pound in domestic market.

For export, the current prices are US$ 2,600 per one ton of RSS; $2,700 per one ton of RSS3; and $2,800 per one ton of RSS1. Last year, the price of rubber RSS ranged from $4,800 to $5,800 per one ton in the global market.

The Myanmar Rubber Industry Association said Burma has a total of 125 million acres of rubber plantations, mainly in Mon State, Tenasserim provinces, Karen, Bago, Rangoon and other regions, of which two-thirds of the cultivated area in Mon State.

In rubber cultivation and production, Burma ranks ninth in the world. Thailand ranks No. 1 in exports.

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