Thai Rubber Cash Price Climbs to Record After Trees Damaged

Nov. 11 (Bloomberg) -- The natural rubber cash price in Thailand, the largest producer and exporter, climbed to a record as floods across two-thirds of the country damaged rubber trees and lowered output.

The December-delivery contract for ribbed smoked sheet gained 1.5 percent to 132 baht ($4.47) a kilogram today after storms hit southern provinces where two-thirds of Thailand’s rubber is grown, damaging about 4.5 percent of the nation’s tappable area.

Output in Thailand may decline 10 percent to 870,000 tons in the fourth quarter, reducing total production this year by 5 percent to 3 million metric tons, according to an estimate by the Thai Rubber Association.

(bloomberg.com)