"The price has already been raised by Rp200 per kg to Rp29,300 - Rp31,300 from Rp29,100 to Rp31,100 per kilogram," Executive Secretary of the North Sumatra Association of Indonesian Rubber Companies (Gapkindo) Edy Irwansyah said here, Tuesday.
The increase in the price of processed rubber in North Sumatra follows the movement of the price of the commodity on the international market.
In trading at the Singapore Rubber Bourse on March 26, the price of Indonesian SIR 20 for April shipments had been closed at 3,758 US dollars per kg from 3,744 US dollars per kg on March 20.
While the price had been raised, the price of SIR 20 on the international market had not been restored to that of March 13 it closed at 3,813 US dollars per kg, making the price of processed rubber to reach Rp29,700-Rp31,700 per kg.
"Considering the price on the bourse on Marh 26, it appears that the price had still not been restored, and it is even strengthening constantly," he said.
He said the weakening of the price on the international market was slightly triggered by the slight drop in demand after being quite strong, especially from China.
A rubber trader in North Sumatra, M Harahap, said the increasing price of processed rubber has also affected the growers, with the price reaching Rp17,000 - Rp18,500 per kg from Rp16,000-Rp18,000 per kg.
But he said the production of rubber of the growers in Sumatra including Jambi and Lampung was strong because it is still the fall and dry season.
(Uu.H-NG/F001)
Editor: Priyambodo RH
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