Though Sri Lanka has been reputed for producing number one latex rubber crepe and sole crepe in the world, branding of Sri Lankan rubber hasn't been heard of, said Kulatunga Rajapakse, Managing Director, D Samson Industries Ltd, speaking as Chief Guest at the 89th Annual General Meeting of The Ceylon Rubber Traders' Association (CRTA) this week.

He said that though the CRTA is 90 years old, raw rubber production has seen little improvement as many rubber manufacturers still use primitive methods of processing when compared to the tea industry. Nevertheless, he did not deny the fact that CRTA in its 90 year existence has contributed a great deal to trading and exporting of rubber as a commodity.

He urged the members of the CRTA to change the business techniques according to the present environment, like the grocery shop changing into a supermarket. Mr Rajapakse said that in the case of the rubber product sector there are four primary components affecting the industry with energy and bank interest rates being the highest in the region All chemicals required for rubber manufacture are imported and raw rubber is sold at international prices. He said that productive labour is also a matter of concern as all these factors are affected when competing with other rubber manufacturing countries.

He said that they have been urging the government to have rubber at a price lower than international market prices until they establish themselves and pass the message to the world that Sri Lanka is a hub for the conversion of rubber and to have such infrastructure facilities such as mould and dye making, trained engineers to maintain heavy machinery, good testing institutes and good technologists.

He said that once they come up to that standard foreign buyers would consider Sri Lanka a trustworthy supplier and then the industry too would reach the class of the garment industry. Anura Edirisinghe, who was re-elected as the Chairman, CRTA for the second consecutive year, in his address said that the general outlook of the rubber industry is that the consumption of natural rubber will outstrip production and that the demand for natural rubber will exceed supply in 2008/2009. This imbalance is likely to result in increased prices for natural rubber in the coming years as well or may be the prices will sustain at current levels and maintain at these levels throughout 2008. (QP).