Rubber exports expected to grow by 25 per cent this year
Thailands rubber exports shot up by over 50 per cent year on year during the first five months of 2021, the Ministry of Commerce said.
Exports were valued at THB70.34 billion, an increase of 50.80 per cent from the same period last year when it was valued at 46.65 billion baht. Export volume increased to 1.39 million tons from 1.17 million tons during the same period last year.
Lakchai Kittipol, honorary president of Thai Rubber Association, revealed that the substantial growth in rubber exports was due to the low export base last year. He said the economy around the world is starting to recover and many countries are placing more orders.
He said the price of rubber exports this year was higher than last year. Exports continue to expand but at a lower rate because trade partners have already bought some of the stock.
“Rubber exports in volume this year should be close to last year because the production of rubber in Thailand is still not much. During this time, the rain is also an obstacle to production and foreign workers are unable to enter due to the spread of Covid-19,” said Lakchai.
Value-added exports, this year, are expected to grow at least 25 per cent (valued at THB136.125 billion) due to improvement in the world economy as compared to last year.
The top 5 export markets for Thai rubber are: China, Malaysia, Japan, the US and South Korea. All markets saw double-digit growth. In the first five months, the Chinese market grew 33 per cent, Malaysia grew 61 per cent, Japan grew 82 per cent, the US grew 52 per cent, and South Korea grew 36 per cent.