Sri Lankan rubber sees gains in December

Rubber demand in Sri Lanka saw a steady demand for all grades in December, Forbes and Walkers market report stated.

Latex Crepe 1X’s and 1’s traded at around Rs.625 per kilo throughout the month while No. 2s gained ground by Rs.25, reaching Rs.535 by end December. Price of No.3s moved up during the first half of the month and eased off towards the latter part, which settled at around Rs.465. LCR 4s off grade traded at around Rs.460 per kilo.

Firm demand prevailed for all grades of scrap crepes. Popular grade 3x browns traded steadily between Rs.435 to Rs.450, while rest of the grades had a mixed demand during the month.

Demand for RSS stood firm as well, the price of RSS 1s improved from Rs.500 to Rs.525 per kilo while RSS 2s gained ground from Rs.490 to Rs.520. RSS 3/4s and RSS 5s were sold at around Rs.475 and Rs.455 respectively.

The statement said the Sri Lankan government has entered into an agreement with the International Fund for Agricultural Development (IFAD) to implement the Small Tea and Rubber Estate Restoration project. Rural Financing Programme is implemented under that project and was scheduled to be wound up by December 31, 2022, which may encourage rubber smallholders to expand their business operations this year. (SD)