The Main Reasons For The Rubber Supply Reduction

- Nov 01, 2018-

The ripening period of a rubber tree is 7-10 years, and the 10th year is attributed to the biggest gum yield year, so the effect of the cliff-type narrowing of the cultivated area after the 2013 rubber price downturn will be shown in 2020 to 2023.

The main reasons for the supply reduction are the following two: 

1. the rubber price slump has affected the tapping enthusiasm of rubber farmers,

The world evenly one hectare rubber tree originally the glue amount about 1.4 tons, because the tapping enthusiasm drops, the production quantity may be only about 1.2 tons.

2. the felling of the trees, the beginning of about 2013, rubber tree felling quantity beginning has the remarkable rise.

Since 2011, now NR prices are from RMB 40000/MT down to RMB 10000/MT.