| They don't want rubber imported from the world's largest producer to benefit any tariff concession. |
| Allowing import of rubber at zero duty from Thailand will adversely impact the domestic rubber growers, said Rubber Board in a note to the ministry. |
| "We are of the view that natural rubber should remain in the negative list," said an official of the board. |
| "There is no need to allow duty-free import of rubber from Thailand or any other country," said N Radhakrishnan, president of Cochin Rubber Merchants Association. |
| Thailand exports 85 per cent of its production. Duty-free import from Thailand could create a glut leading to a crash in domestic prices, he said. |
| In 2004, Thailand produced over 3 million tonne of natural rubber compared with India's 7,50,000 tonne output. |
| "India will be able to meet the requirement of the industry without importing any further quantity other than what is already in the pipeline," Radhakrishnan said. |
| In the current financial year that began April, India is expected to produce 7,80,000 tonne of rubber. Demand is seen at 7,92,000 tonne leaving a gap of 12,000 tonne, according to board estimates. However, at the start of the financial year, there was a stock of 1,07,000 tonne. |
| In the next financial year, the board expects 8,20,000 tonne production and 840,000 tonne consumption. |
| However, in 2004-05, rubber-consuming industry imported 67,000 tonne of rubber. Of this 40,524 tonne came under the advance licence scheme without paying duty. |
| "This facility will remain in the coming years also. Combined with the carryover stock, imports under advance licence scheme makes marginal differences in domestic production and consumption redundant," Radhakrishnan said. |
| This financial year, imports are projected at 60,000 tonne. |
| At present natural rubber is in the negative list of imports with 20 per cent duty. |
| Rubber consumers, mainly tyre makers favour duty free import of rubber. |
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