The import of natural rubber rose 64% to 34,419 tonne in May compared to 20,948 tonne imported in the same month last year. According to the data compiled by Rubber Board this rise was on account of lower prices in international markets and drop in domestic production. The production of natural rubber dropped 10.2 percent to 53,000 tonnes in May 2014 as against 59,000 tonnes in the same month last year.
The imports of the natural rubber increased 49% to 3.24 lakh tonne for the full financial year 2013-14, compared to 2.17 lakh tonne of imports in 2012-13. Also, the imports witnessed an increase in May despite the Centre raising import duty on natural rubber to Rs 30 per kg or 20%, whichever is lower, in December last year.
The basic customs duty on natural rubber earlier stood at Rs 20 per kg or 20%, whichever is lower. Imports have gone up as prices of both block rubber and sheet rubber in the international market are lower as compared to domestic prices.
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