Friday, December 6, 2013

Ban import or suspend DFI


Rubber Board executive committee members met to discuss issues related to rubber price, demanded a ban on rubber import or if that was not possible then the government should temporarily suspend duty free import. Another suggestion raised in the meeting was to raise the import duty to 25% without imposing any cap on the maximum limit and also suggested that the purchase tax of 5% levied by the Kerala government be reduced. The members also urged the central and state governments to implement a scheme for joint procurement of rubber.

Rubber advance on speculation that improving U.S. economic data may bring forward stimulus cuts and China may step up purchases for its state reserves. On Friday, Tokyo Commodity Exchange, December futures series closed at ¥267.9 a kg, January 2014 at ¥267.8, February at ¥270, March at ¥271, April at ¥273.9 and the contract for delivery in May 2014 at ¥275.8 a kg. While National Multi Commodity Exchange December futures were trading at `.152.84 a kg, January 2014 at `.154.57 a kg and February at `.157 at 12.30 IST. RSS3 grade closed at `.157.53 a kg at Bangkok, while Malaysian SMR20 closed at `.142.35 a kg.

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