Kottayam: The Rubber Board has announced an incentive of five rupees per kilogram for the export of sheet rubber. The scheme will be in operation from 15 March to 30 June 2024. The Board has constituted an Export Promotion Cell to address the various issues and handholding support to the exporters. Natural Rubber (NR) exporters having a valid Registration-cum-Membership Certificate (RCMC) issued by the Board and registration for using the Indian Natural Rubber Logo are eligible to avail of the benefit of the incentive scheme.
The Board will give the incentive as reimbursement to the exporters on the production of documents prescribed under the scheme. The incentive will also offset the additional cost involved in branding.
The international price of sheet rubber surpassed Indian prices since January 2024. Even though there is a price difference, exporters are not able to export due to the lower price quotes from various producing countries like Vietnam. On the global front, sheet rubber consumption accounts for hardly 10 per cent. China, Malaysia, Sri Lanka, etc., are the major consumers of RSS grades. These consuming nations have long-term contracts for procurement of sheet rubber which was hindering exports from India.
The price hike in the international market (Bangkok) is on account of tight supply conditions due to wintering in Southeast Asian countries, unfavourable weather conditions in the November-December period in Thailand, and leaf fall on account of fungal disease and lean production period. From last week onwards, Indian prices have also risen on account of the enthusiasm shown by the exporting fraternity for fetching export orders supplemented by keeping track of developments happening in international markets, too.
Dr Sawar Dhanania (Chairman, Rubber Board); M Vasanthagesan IRS (Executive Director, Rubber Board); N Hari (Member, Rubber Board); and George Valy (President, Indian Rubber Dealers Federation) spoke on the occasion. Executive Director urged exporters and Rubber Board Companies to explore the present export opportunities to the fullest in the days to come. This will also help to stabilize natural rubber prices in the domestic market. Sixty exporters, including Rubber Board companies, attended the meeting.