Cambodia's rubber prices declined almost six per cent in the past two weeks, caused by concern over the European crisis with Greece, industry players and Cambodian officials said yesterday.
Men Sopheak, deputy director general of Chop Rubber Plantation, a big rubber exporter in Cambodia, said the price declined by $200 from $3,550 to $3,350 per tonne in the past two weeks.
“The price has dropped during the last two weeks because of the decrease in demand and consumption reduction caused by the crisis in Greece and Europe,” he said.
Heng Sreng, general director of Long Sreng International Co Ltd and owner of Beoung Ket Rubber Plantation in Kampong Cham province, was also affected by the declining price. He said exports to China had been about 500 tonnes.
“The crisis in Europe impacted the rubber industry in China and caused the decline of rubber prices,” Heng Sreng said.
He expressed optimism that the price would bounce back.
“Even with the decrease in price, I don’t think it impact the industry very much. I am optimistic that it will climb back up soon,” he said.
Cambodia exported 12,805 tonnes of rubber worth $41.18 million to foreign markets in the first quarter of 2012.
Thailand is the world’s largest rubber producer followed by Indonesia, Malaysia, India, Vietnam and Sri Lanka.
According to the magazine Rubber Asia, the Asian continent supplies 92 per cent of the world’s supply of natural rubber.
To contact the reporter on this story: Sieam Bunthy at [email protected]