Spot rubber resumed its upward journey after a steady opening on Wednesday. The market is likely to experience further decline in arrivals as heavy over night rains continued to disrupt tapping in almost all major plantation areas.
“We are actually passing through a very hard time even during the peak production season,” a tapper told BusinessLine. “We have either to stop working or no work at all so often due to incessant rains”.
As per reports, the spot prices in India are largely driven by domestic factors rather than global cues. RSS prices in Kottayam are around 25 per cent higher than the RSS market in Bangkok.
RSS-4 improved to ₹178 (177.50) and ₹177.50 (177) per kg respectively, according to traders and the Rubber Board. The grade was quoted firm at ₹172.50 (172) a kg by dealers.
In futures, the most active November delivery was up 0.75 per cent from Tuesday’s settlement price to close at ₹179.35 per kg with a volume of 38 lots on the Multi Commodity Exchange (MCX).
RSS-3 (spot) inched up to ₹141.67 (141.61) per kg at Bangkok. SMR20 improved to ₹129.04 (128.39), while Latex dropped to ₹97.74 (98.27) per kg at Kuala Lumpur.
The natural rubber contract for the November delivery was up 2.09 per cent from previous day’s settlement price to close at 13.41 Yuan (₹156.20) per kg with a volume of 174 lots in day time trading on Shanghai Futures Exchange (ShFE).
Spot rubber rates (₹/kg): RSS-4:178 (177.50), RSS-5: 174.50 (174), ISNR 20: 165 (164) and Latex (60% drc): 132 (131).