Financial Times

Rubber prices hit new highs
Rubber prices reached new heights at the Colombo auctions last week owing to shortages of raw material in the international market. " The market is very buoyant, and the prices have reached very high levels, breaking all the records," said a trader of Alma Traders. " We cannot see an end in sight to the current rise in the prices."

The rubber sellers are being sidelined, as they wait for prices to rise further, he said adding that hardly any transactions are being carried out in the local market."Rubber production and the availability of rubber in Sri Lanka has been very poor due to the long spell of rain, the international rubber market is doing well and the prices have gone up, up and away," he said.

Rubber prices have rebounded in recent months after a long period in the doldrums, prompting the government to promote the cultivation of more rubber.

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