India’s SR demand to pick up
Production of synthetic rubber (SR) in India is still low (approximately 1,12,886 tonnes)as against consumption of about 4,83,575 tonnes. This gap requires annual imports of large quantities of SR, which now stand at about 370,000 tonnes. Reclaim rubber production in 2013-14 was about 1,25,000 tonnes.
“NR demand presently is slack due to supply/demand mismatch. There are market fluctuations in the auto industry and lower export demand. However, it is expected that the economy will soon see an uptrend and rubber demand will also increase from 2015-16, says doyen of Indian rubber industry Dr Shom Nath Chakravarty.
The Rubber industry in India is basically divided into two sectors – tyre and non-tyre sectors. The automotive tyre industry is the single largest sector, accounting for about 48 per cent consumption of all kinds of rubbers. The ratio of NR:SR consumption is about 70:30 (42:58 for the world).
“India is a unique country which produces both natural and synthetic rubbers and consumes all that is produced as well as import substantial quantity to meet the shortfall,” he points out.
Dr Chakravarty, who is heading the Delhi-based KPS Consultants & Impex Private Limited, is an industry veteran who has worked in senior positions at Modi Rubber Ltd. (technical collaboration with Continental, Germany) and Bayer (India) Ltd. as well Bayer AG (Leverkusen, Germany).
The Indian rubber industry plays a core sector role in the economy . It has around 5,000 units comprising 50 large-scale, 450 medium-scale and around 4,500 small-scale industries and tiny sector units. They manufacture 20,000 rubber products, employing 500,000 people, including around 22,000 technically skilled, and with a turnover of more than US$12 billion, he said.
PTA News Bureau
Full text in PTA October/November issue