Stockists and farmers are confident of record-breaking prices as rubber market grapples with worst-ever sheet shortage

The price of rubber continues to rise every day. Farmers are keenly watching market movements with hopes for a record rubber performance. Stockists and farm families are confident of a record breaking commodity price as the Indian rubber market is gripped by the worst sheet shortage in a Jupiter cycle. This price increase is due to less supply of goods to the market.

This shortage is due to the decrease in rubber tapping due to heavy rains. Farmers did not get a chance to cut rubber in the first half of Karkidakam. Hence there is a huge demand for rubber sheet and latex in the state. Businessmen are also rushing for this.

Despite offering a high price for the commodity, there are no sellers. 22,000 at the beginning of the week, the fourth grade has gradually risen to Rs 23,500 by the end of the week. Five-grade rubber edged up to 22,600-23,200 from 21,000-21,700, while traders offered up to 16,500 for latex.

Japan’s Osaka Exchange experienced strong selling pressure in the first half of the week, but new investors entered the scene at the weekend’s lower range, opening the door for potential rebounds. Orators are likely to gripe about Singapore and Chinese rubber holiday rates this week. Meanwhile, heavy rains in some parts of Thailand led to a tapping crisis, where sheet prices rose from Rs 180 to Rs 197 per kg.

• Attempts by industrialists to sell off foreign pepper at a cut price in preparation for the North Indian festive season have not been successful. The perceived poor quality of imported goods affected demand. Meanwhile, ungarbled rose by Rs 1,100 to Rs 65,800 in Kochi as inter-state buyers showed interest in chillies from Kerala. In the international market, the Indian price is 8250 dollars per ton. Although harvesting has started in Indonesia, the information available from there is that the yield will be smaller than expected. Their rate is $7600 per ton. Although Vietnam and Brazil are on the scene, their pepper stocks are nominal.
• The millers have raised the price of coconut oil in anticipation of the Ona sale. But there is an allegation from the agriculture sector that industrialists are not showing such enthusiasm in raising the price of copra. Large mills in the neighboring states are making hasty moves to sell oil in stock at higher prices during the festival. The regional demand for coconut oil will increase in the coming month. Coconut oil rose from Rs 15,500 to Rs 15,900. Copra price rose by Rs 200 to Rs 10,200.
• A group of producers are estimating that the new cardamom will be ready for harvest next month. Earlier it was estimated that the commodity would be ready for harvesting in August, but the change in weather has caused a setback. Cardamom prices did not see a revival despite reduced availability. Meanwhile, most of the goods that came up for sale in many auctions have been sold. Cardamom is stocked by exporters and domestic traders. During the weekend, the average varieties were exchanged at Rs.2241 per kg and the best varieties at Rs.3108 per kg.
• Active presence of wedding parties in the jewelery markets has added to the luster of gold. After rising to Rs 51,840 from Rs 50,600, Pawan ended the week at Rs 51,760.