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Indonesia, Thailand, Malaysia Cuts Production 800,000 MT

ITRC Cut Rubber Production to 800,000 million tons - Photo by Thailand's Ministry of Agriculture and Cooperatives

JAKARTA (TheInsiderStories) – Representatives from member countries of the International Tripartite Rubber Council (ITRC) of Thailand, Indonesia and Malaysia agreed to cut natural rubber production up to 800,000 million tons (MT) in this year, said the organization yesterday (06/11).

“In 2019, there is a high possibility that the estimated NR production for ITRC Member Countries reduce as much as 800,000 MT,” said the organization in an official statement.

ITRC reported in the first half (1H) of 2019, total actual export of three countries reached 441,648 MT, which is larger than the targeted cutback of 240,000 MT. In the same period, the gross natural rubber export for the member countries was 492,000 MT, 10.60 percent lower than the same period in 2018.

The ITRC, in a statement, did not specify how much the three countries expected to export or produce in 2019. While, the gross export for other producing countries particularly in Viet Nam, Ivory Coast and Cambodia increased around 106,000 MT (11.56 percent).

In addition, ITRC also expressed its concern on the wide spread of fungal disease which affected rubber plantations in Indonesia, Malaysia and Thailand. It was observed that the disease has widely spread to plantations in those three countries.

Until October 2019, as much as 382,000 hectares of rubber plantation have been affected in Indonesia. The estimated affected area in Peninsular Malaysia is 2,135 hectares with leaf defoliation between 50 to 90 percent for the period from November 2017 to September 2019.

After conducting a survey in the southern part of Thailand along Malaysia’ border, the estimated affected areas in one province was reported at 16,000 hectares in Narathiwat province and could be at least 50,000 hectares along the border area.The areas that have been severely damaged by this disease are around 80 percent.

Production reduced by 40 – 60 percent record was reported by farmers in the area. This will greatly affect rubber production as the months of October, November and December are usually the peak harvest period months of the year. Latest information reported that this disease has spread to Trang province, one of the most crowded rubber areas.

Written by Staff Editor, Email: theinsiderstories@gmail.com