Natural rubber production dropped 29.2% in February

by ASILA JALIL/ pic by BLOOMBERG

THE Department of Statistics Malaysia (DoSM) revealed that natural rubber production in the country decreased by 29.2% to 46,881 tonnes in February 2020 compared to 66,232 tonnes in January.

Chief statistician Datuk Seri Dr Mohd Uzir Mahidin said the production of natural rubber decreased by 20.6% year-on-year.

According to the monthly rubber statistics released by DoSM yesterday, the average price of latex concentrate in February fell 0.6% to 456.73 sen/kg versus 459.60 sen/kg in the previous month.

The average price of SMR20 also decreased to 549.68 sen/kg in February against 590.38 sen/kg in January.

Export of natural rubber increased by 13.1% to 51,852 tonnes in February versus 45,827 tonnes in January with China being the main export destination.

Exports to China accounted for 47.1% of the total exports. Other markets include Germany (9.7%), Iran (4.1%), Taiwan (3.5%) and Finland (2.9%).

Domestic consumption amounted to 41,512 tonnes with 76.3% or 31,684 tonnes utilised for the manufacture of rubber gloves.

The remaining amount was used to make rubber thread as well as tyres and tubes which took up 8.1% and 6.9% respectively, while 8.7% were used for other purposes.

As of February, total rubber stock level stood at 296,328 tonnes. Out of the total, rubber processors held 89.6% of the amount, 9.4% was with rubber consumers and 1% at rubber estates.

Malaysia is ranked fifth among main producing countries in terms of production of natural rubber in February.

Thailand topped the list with production of about 445,600 tonnes, followed by Indonesia (263,000), Vietnam (80,000) and India (53,000).