NOW ranking the third largest natural rubber exporter in the world, Vietnam’s rubber output has been pegged at 1.01 million metric tonnes last year, translating to a volume increase of 23.8% from 2011, according to according to the Vietnam Rubber Association.
However, the annual earnings of US$2.85 billion were down 12.6% on the previous year due to a drop in value.
Last year, the Vietnamese natural rubber price fell 33% following a reduced demand from China, its biggest consumer, and the increasing demand for synthetic rubber over natural rubber .
Efforts directed at intensifying Vietnam’s stance in the global rubber industry have pushed it to the third spot, edging out Malaysia, and positioned strongly now with Thailand and Indonesia, the two rubber producer moguls that hold the first and second ranks, respectively.
The Association of Natural Rubber Producing Countries had previously forecast that Vietnam would produce 955,000 metric tonnes of rubber in 2012.
It also said that by the end of 2012, Vietnam had 910,000 has of rubber trees, accounting for 7% of the total global rubber area and surpassing the planning objectives of reaching 800,000 has in 2015. The capacity of Vietnamese rubber trees now stands at 1.7 metric tonnes per hectare.
Moreover, the Vietnamese government has approved schemes that will have fully developed the country”s rubber industry by 2015 through 2020. Included in the scheme, some 800,000 has of rubber trees will be cultivated to yield 1.2 million metric tonnes of rubber latex per year by 2015. Of this, 30% will be used for the domestic processing industry and the remaining will be exported.
Based on Vietnam’s customs data, the average rubber export price is US$2,829 per metric tonne. Unit prices to sell to India reach US$2,967 and China, US$2,706. In 2012,
In 2012, Vietnam’s export to India increased by 112% from 2011 figures, and amounted to 65,272 tonnes, valued at US$187.7 million.(RJA)
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