Logo of Phnom Penh Post newspaper Phnom Penh Post - Rubber exports stretch past $100M

Rubber exports stretch past $100M

Content image - Phnom Penh Post
The Kingdom exported 61,839 tonnes of rubber latex worth over $103.2 million in January-March, up 1.28 per cent and 10.9 per cent, respectively. PURSAT AGRICULTURE DEPARTMENT

Rubber exports stretch past $100M

Cambodia netted more than $103.2 million from the export of natural rubber latex in the first quarter of 2022, up by $10.1 million or 10.9 per cent year-on-year, according to the General Department of Customs and Excise of Cambodia.

Exports of the milky white sap, extracted from the Hevea brasiliensis tree native to Brazil, over the January-March period weighed in at 61,839 tonnes, up by 783 tonnes or 1.28 per cent year-on-year, affirmed a report from the Ministry of Agriculture, Forestry and Fishery’s General Directorate of Rubber (GDR).

The report also noted that domestic and international sales of rubber wood notched up 2,130 cubic metres worth $586,700 during the same period. For reference, the GDR earlier reported that in January-February, 808 cubic metres of rubber wood worth $355,946 were exported, an increase of 66 per cent by volume.

GDR director-general Him Aun told The Post that the average price of rubber last month was $1,627 per tonne, up $44 from February, indicating that the $1,594-1,627 range seen over the first quarter was considered a fairly decent rate for growers.

He attributed the uptick in rubber latex sales and prices to a “strong market” with demand from foreign buyers and a greater number of trees mature enough to be tapped. He said that, of the 410,000ha under rubber cultivation, over 310,000ha are tapped areas.

Although GDR experts had determined that Cambodia’s two active car tyre factories – in Preah Sihanouk and Svay Rieng provinces – would require substantial amounts of rubber, the plants have yet to source local latex as planned, relying instead solely on imported compounded rubber, due to a lack of necessary equipment to make the raw material in-house, he added.

Still, Aun affirmed that the GDR was keen to work with the operators to procure natural rubber latex from local businesses and farmers, suggesting that memorandums of understanding could be on the table in the near future.

Going forward, he expects Cambodia to cut down on exports of raw rubber in favour of semi-finished and finished products.

Chea Sakhin, president of the 36-household strong Memot District Family Rubber Agricultural Cooperative, said rubber trees are growing “better” and have yielded more latex due to early rains and other “favourable weather”.

He said that farmers have gradually started tapping their trees early this month, motivated by the inflated prices of the commodity recorded at the beginning of this year.

“In general, early-harvest rubber tends to fetch great prices since demand is high and yields are still low. However, members of the cooperative have been hesitant to expand their cultivation areas due to persistent market instability, the lingering Covid-19 crisis and rising land prices.

“It was also less windy in the beginning of this year compared to last year, resulting in minimal damage to the rubber. Our cooperative wants more rubber processing plants, to help buy latex from farmers and stabilise prices and markets in the long run,” Sakhin said.

MOST VIEWED

  • ‘Education’ a priority traffic-law penalty

    A top National Police official on June 21 neither rejected nor confirmed the authenticity of a leaked audio message, which has gone viral on social media, on a waiver of fines for a number of road traffic-related offences. General Him Yan, deputy National Police chief in

  • Pursat Ford assembly plant opens

    The Kingdom’s first Ford assembly plant was inaugurated on June 16 in Pursat province amid rising demand for brand-new vehicles among Cambodians. The facility is seen as a game changer for the domestic automobile industry, which could bring a wave of investors seeking to cash

  • Siem Reap’s $18M zoo said to educate public, help wildlife

    Angkor Wildlife and Aquarium Co Ltd has invested $18 million in a zoo in Siem Reap province, which will be opened in October to educate and promote animal conservation as well as attract national and international tourists. Currently, the Angkor Wildlife and Aquarium is building the

  • Volunteer scheme to foster ‘virtuous’ humanitarian spirit

    A senior education official said volunteer work contributes to solidarity and promotes a virtuous humanitarian spirit among the youth and communities. Serei Chumneas, undersecretary of state at the Ministry of Education, Youth and Sport, made the comment during the opening of a training programme called “

  • $50B infrastructure plan en route

    The government’s upcoming $50 billion,10-year infrastructure master plan will provide tremendous investment opportunities for domestic and foreign entities, transport experts and economists say. Minister of Public Works and Transport Sun Chanthol revealed the plan to Japanese ambassador to Cambodia Masahiro Mikami on June 15. At

  • Chinese firms unveil preliminary results on metro, monorail for capital

    Minister of Public Works and Transport Sun Chanthol and representatives from China Road and Bridge Corp (CRBC) and its parent company, the state-owned China Communications Construction Co Ltd (CCCC), met on June 24 for talks on results of the firms’ preliminary study on a potential metro