Cambodia: Rubber exports up by 10 percent in Q1

• Apr 20, 2020

Cambodia’s rubber export has increased 10 percent in the first quarter of this year compared with the same period last year, but the price of the commodity showed a slight decrease, according to a report from Ministry of Agriculture, Forestry and Fisheries.

The figures showed that from January to March, Cambodia exported 53,057 tonnes of rubber, a 10 percent increase, with an average price of $1,397 per tonne, representing a 1.2 percent decrease. Overall, the sector brought in approximately $74 million in revenue for the period.

This is despite a 15 percent drop in export volumes in March when compared with February, from 12,913 to 11,751 tonnes, a result of trade disruption caused by the restriction of cross-border trade activities in response to COVID-19.

Lim Heng, vice-president of An Mady, a company that owns rubber plantations and exports the product, said the slowdown in exports is mostly down to reduced orders from on the  their biggest importers.

“China, where we see our biggest demand market for rubber, has placed stringent restrictions on the import trade because of the pandemic. As a result, export volumes and profit are down,” he said.

While China is a key market, the commodity is also exported to Malaysia, Vietnam and  Singapore

Cambodia has 405,485 hectares of rubber plantations, of which 250,750 hectares (62) percent are “cash crops”, that is, old enough to be tapped.

Recently, the government has adjusted the export tax on rubber in a bid to boost the commodity’s competitiveness in the market.

Cambodia exported 282,071 tonnes of dry rubber in 2019, an increase of 30 percent from 217,501 tonnes on the previous year.

Source: https://www.khmertimeskh.com/50714831/rubber-exports-up-by-10-percent-in-q1/