|
|
 |
 |
 |
| Friday, 5 November 2004 |
 |
|
 |
Business | |
| News Business Features Editorial Security Politics World Letters Sports Obituaries
|
Rubber exports to hit record high by end 2004 by Shirajiv Sirimane Sri Lanka's rubber exports will reach a record high by the end of the year according to an official of the Ministry of Plantation Industries, Research Unit. The increase in oil prices in the international market has had a positive impact on the rubber industry as there is an increasing demand for most of the rubber based products. Singapore which is one of the biggest importers of Sri Lanka's rubber has also increased their orders. Sri Lanka had exported 36,100 metric tons of rubber in 2002 and there was a slight dip ( 35,200) the following year. According to available data Sri Lanka has already exported 28,151 metric tons of rubber in the first six months of this year. The export earnings from rubber is also on the increase from US $ 24 million in 2001, to $ 27 million in 2002 and $ 39 million last year. "This too is expected to increase," she said. "With the winter season coming up the demand for rubber byproducts is expected to increase. We expect local exports to reach a record high by the end of the year," the official said. Due to the increase in the price of a US dollar, rubber exporters are getting better prices. "This has been a major boost to the local rubber industry and some of the factories and estates which were not functioning had reopened. This resulted in the increased supply," she said. There was also a move to increase the subsidy to rubber growers to almost Rs. 100,000 per hectares and this has inspired new growers. Unlike some of the other agriculture crops there had not been a sharp increase in the price or scarcity of fertiliser and this too is encouraging new growers. Rubber is 95 percent in the hands of the private sector and is mostly grown in Kalutara, Galle, Ratnapura and Kegalle districts. The major export markets are Pakistan, Thailnd, Singapore, India and Europe. The Ministry has successfully launched a program to introduce rubber plantations to the Moneragala district in a bid to increase production. "Already over 1,000 acres have been planted and more planters are now growing rubber," she said. The Ministry has four nurseries and young plants are being supplied by them. There is a shift from the crepe rubber to the manufacture of sheet rubber mainly due to higher profit margins in producing sheet rubber. However, one of the main problems facing the industry is the lack of rubber tappers who are not keen on engaging in the profession mainly due to the low wages and social stigma. This is mostly evident among the younger generation. Due to more industries being set up in Sri Lanka the local demand for rubber too is increasing and the industry is set to thrive in the future. |
|
News | Business | Features
| Editorial | Security
Produced by Lake House |
