MUMBAI: Global natural rubber output is likely to hit a record 14.285 million tonnes this year, up 3.8% from a year ago, boosted by an expansion in area under cultivation, the Association of Natural Rubber Producing Countries (ANRPC) said on Monday.
Demand for natural rubber is likely to rise 2.7% to 14.07 million tonnes in 2020, the grouping said in a statement.
Last year production eased 0.7% to 13.76 million tonnes, hit by an attack of fungal disease in key producer nations, while demand fell 1 % to 13.7 million tonnes on a slowdown in the auto industry worldwide, it added.
The Tokyo Commodity Exchange (TOCOM) rubber contract for July delivery slumped nearly 6% to a one-week low on Monday, hit by worries about the fast-spreading virus in China, although bargain-hunting by some investors trimmed losses.
Source The Sun Daily