Here are the reasons. Report says the cold in rubber prices may continue.
Dhanam News DeskDhanam News Desk|18 Jun 2021 5:25 PM
Here are the reasonsThe Association of Natural Rubber Producing Countries reports that the low vaccination rates in countries outside the US and Europe won’t allow natural rubber prices to rise hugely in the near future as they delay economic operations return to normal.ANRPC’s senior economist Jom Jacob says the slow-progressing Covid vaccine in Asian countries is creating a huge challenge for the return of economies.Also Read – Trince Group’s new school is coming to Kochi40 % of the world’s rubber consumption is in China. As another variant of the Covid virus spreads in China, the operations of some ports and shipping-logistics systems have been disrupted there.Rubber prices have fallen in the international market in the first half of June.The report says that the second wave of Covid has affected the automobile sector in India a lot. Similarly, the spread of Covid has destroyed the manufacturing sectors in Malaysia, Thailand, Viet Nam and Indonesia.As production resumes in the world’s leading rubber producing countries, there is a possibility of increasing supply in the market.