Rubber consumption hit by global slowdownJanuary 28th, 2009 - 7:25 pm ICT by IANS
Kolkata, Jan 28 (IANS) Rubber consumption in the country may dip to 862,000 tonnes in the current fiscal as against the targeted 899,000 tonnes, a top official said here Wednesday.”Consumption will dip due to lower demand but is likely to improve by the end of 2009-10,” Rubber Board chairman Sajen Peter told reporters on the sidelines of an exposition on the commodity.
To match with the revised consumption target, the production target has also been scaled down to 861,000 tonnes from 875,000 tonnes earlier, he said.
Demand has plummetted as raw material users, such as tyre manufacturers, have curtailed production following the global economic slowdown.
Peter predicted that rubber price will improve within nine to 10 months, saying: “It should be better than what it is now as consumption will improve.”
At present, the price of rubber is Rs.68 per kilogram.
India has exported 80 percent of its targeted volume this fiscal so far, he said, and added: “We are confident of meeting the target of 50,000 tonnes this year.”