MALAYSIA'S FEBRUARY 2024 NATURAL RUBBER OUTPUT FELL BY 2.0%- DOSM

Natural rubber production fell by 2.0% in February 2024 to 29,691 tonnes against 30,287 tonnes in January 2024, the Statistics Department Malaysia (DoSM) said.

Year-on-year comparison recorded a 9.1% rise from 27,209 tonnes in February 2023. 

In a statement, chief statistician Datuk Seri Mohd Uzir Mahidin said 85.7% of February 2024 production was contributed by smallholders and 14.3% by the estates sector.

February 2024's total natural rubber inventory rose by 11.8% to 229,719 tonnes versus 205,498 tonnes in the previous month.

He said rubber processor factories contributed 92.3% of the stock followed by rubber consumer factories (7.6%) and rubber estates (0.1%).

Malaysia's natural rubber exports rose by 27.8% for the month under review to 55,082 tonnes against January 2024's 43,111 tonnes with China accounting for 52.3% of total exports, followed by Germany (8.9%), United Arab Emirates (6.0%), the United States (4.2%) and India (3.3%). 

Gloves, tyres, tubes and rubber thread contributed to exports with gloves being the main product valued at RM1.09 billion in February 2024, a 7.0% rise versus the previous month's RM1.02 billion, the statement said.

According to DoSM, an analysis of the average monthly price showed that concentrated latex recorded a 16.8% rise for the month under review to 684.19 sen per kg while scrap rose by 3.7% to 604.59 sen per kg. 

"Prices for Standard Malaysian Rubber (SMR) increased between 3.5% to 16.6%.

According to the Malaysia Rubber Board's February 2024 Digest, the Kuala Lumpur rubber market saw prices surge throughout the month as SMR 20 recorded a new high of 773.50 sen/kg since 2017.

"The positive sentiment was boosted by a weaker ringgit against the US dollar and heightened expectations of tight rubber supply from major producer Thailand owing to bad weather concerns and a fungus outbreak," it said.