The AIRIA has urged for the crucial need to uplift the duty on rubber imports to India

Amidst lower prices for rubber in India, the All India Rubber Industries Association (AIRIA) has re-emphasized the need for a higher import duty on rubber-finished products to protect and promote the interests of local producers and farmers. By imposing higher duties on imported rubber, India aims to make domestically produced rubber more competitively priced in comparison to foreign products. This could encourage buyers to choose local rubber, which in turn could boost the domestic rubber industry and benefit local producers and farmers.

According to Shashi Singh, President of AIRIA, the global oversupply is the main reason for the decline in natural rubber prices. He pointed out that countries such as Thailand, Vietnam, Indonesia, Malaysia, and India have significantly increased rubber cultivation to cater to the automotive industry's demands.

Read More About Natural Rubber Production Cost Reports - Request Free Sample Copy in PDF

Shashi adds that the recent downward trend in the rubber prices can be attributed to weak demand from China and the European energy crisis. Along the similar lines, George Valy, the president of the Indian Rubber Dealers' Federation, noted that a decline in purchases by China, among other factors, has led to a drop in global rubber prices. Additionally, recent rainfall in rubber-growing regions of southern and central Kerala is expected to enhance local supply conditions. Valy also mentioned that there is a general expectation of increased rubber production in other rubber-producing countries.