The Rubber Board of India has introduced an incentive of ₹5 per kilogram for sheet rubber exports, effective from March 15 to June 30, aiming to boost exports and stabilize domestic natural rubber prices. An Export Promotion Cell has been established to support and address issues faced by exporters. This initiative comes in response to the current market dynamics and aims to encourage exporters and Rubber Board companies to capitalize on export opportunities.
Eligibility for the incentive is limited to natural rubber exporters with a valid registration-cum-membership certificate (RCMC) and those registered to use the Indian Natural Rubber Logo. The incentive is designed to cover the additional costs associated with branding and will be reimbursed upon submission of the necessary documents. The measure is expected to make Indian rubber more competitive internationally, despite the lower price quotations from other producing countries like Vietnam.
The global price of sheet rubber has been higher than the Indian price since mid-January, driven by tight supply conditions, unfavorable weather, and production challenges in South-East Asian countries. However, India's export potential has been hindered by long-term contracts and competitive pricing from other nations. The recent increase in Indian rubber prices, fueled by the exporters' enthusiasm and alignment with international market trends, indicates a positive outlook for the industry's export potential.