India retains top slot in rubber productivity

KOCHI: India has regained the No 1 position in the world in rubber productivity. The productivity of India’s natural rubber has been estimated at 1,879 kg per hectare per year for 2006, which is now the highest in the world.

Thailand was in the top slot until 2005 with a productivity of 1,736 kg per hectare per year. Although its productivity increased to 1,799 kg per hectare per year in 2006, it lost its number one position as India’s productivity increased from 1,727 kg per hectare per year in 2005 to 1,879 kg per hectare per year in 2006.

Productivity is estimated by dividing production by tapped area. Sources said that Thailand has been officially reporting productivity figure to the International Rubber Study Group (IRSG). Apart from this the rubber industry in Thailand has been releasing one figure in productivity. India was at the top in rubber productivity a few years back. But Thailand’s productivity saw a major increase as a result of which India was pushed down to the second place a few years ago.

The productivity level achieved by India is higher than these two estimates. Despite the high productivity levels the domestic supply of natural rubber may not see a major increase until 2011-2012, sources said. This is because the growers have already adopted short term measures to increase productivity.

Rubber plants take six to seven years to mature and start yielding. Since new plantings in the years 1999-2000 was limited due to poor prices during the period, the growth of new, mature tappable area in the next few years would be limited.

Although new plantings have increased in the last couple of years, they will mature only by 2011 and 2012. In other words, the supply of rubber would increase and meet the demand only by 2012. Since there is a shortage situation globally the excess that might occur after 2012 would have huge demand.