Kochi: Rubber market opens after 50 days; price drops

In most of the shops, one kilogram of rubber was sold at Rs 107

Though Rubber Board had announced Rs 116 per kg, no one was ready to buy at this rate, sources said on Friday.

Rubber season had ended in February. As it rained for the past few days, rubber tapping was resumed. Though it was expected as a boost to farmers who were reeling under poverty, the drop in the price was a set back.

On March 23, when the trading in rubber closed due to lock-down, RSS-four category was priced at Rs 125 per kg.

Rubber Board sources said on Wednesday, only one tyre manufacturing company bought rubber at Rs 113 to Rs 118 per kg. As per a contract between a company and traders, the company has not received 7500 tonnes of rubber.

Wholesale merchants have enough stock. When the company received their load, they may move to next phase of procuring more rubber. This may affect changes in the price, Rubber Board said.

It is also expected that from June, more companies will procure new stock.

A section of the traders have started trading through social media with a view to exploit the farmers. The Board felt that if this trend continues the price will decline further and opened the market before the lifting of lock down.

Though the price is less now, farmers are optimistic that they will get Rs 150 per kg as per government plan.

Thodupuzha Rubber Marketing Federation president M J Jacob said farmers who have facility to stock the load, it is better to wait as the price may increase further.