Concerned over the sudden spurt in natural rubber prices, the entire gamut of rubber-based industry including automotive tyre makers, cycle and rickshaw tyre manufacturers have sought Prime Minister’s intervention in checking the sudden surge in natural rubber prices.
The Rs 50,000-crore rubber-based industry represented by All India Rubber Industries Association, Automotive Tyre Manufacturers Association and Indian Cycle and Rickshaw Tyre Manufacturers have sought the PMO?s intervention to check the unsual rise in prices which have jumped from Rs 151 a kg in May 10 to Rs 170 a kg on May 25.
?While the government is safeguarding interests of rubber growers, the future of 5 million people employed in around 5000 rubber units across the country has been grossly overlooked,? says TK Mukherjee, president, All India Rubber Industries Association.
High price and even shortage of natural rubber have put many of the rubber-consuming SMEs on the verge of closure, Mukherjee added.
The consortium – dovetailing the three rubber-user outfits- has knocked the PMO doors, after a recent Delhi High Court order which directed the Rubber Board and ministry of commerce to carefully consider the request of rubber-based industries.
The three industry associations had urged the Delhi High Court to impress upon the government to regulate natural rubber prices through removal of its inverted duty structure, fixing of minimum and maximum prices and curbing of speculative interests through ban on futures trading in rubber.
Meanwhile, NR price continues to rise by Rs 2-3 per kg every second day.
India’s rubber production fell short of consumption by 100,000 tonnes in 2009-10, claimed the three associations.
