Rubber prices hit lifetime high

Prices of natural rubber touched an all time high of Rs 72 a kg on Friday. Traders are upbeat about the market sustaining momentum, as the upswing is a reflection of the global bull run.

At Tocom (Tokyo Commodity Exchange) futures price for January 2006 contract has been quoted at Rs 82 a kg, and for May contract it increased to Rs 85 a kg.

May-June contract in Thailand, the world's largest producer of natural rubber, was quoted Rs 80, which in line with the global price increase.

The price of RSS 4 grade touched a lifetime high of Rs 72 for the first time on December 28, 2005 but dropped to end the year in Rs 70-71 range.

Traders told Business Standard that shortage of sheet rubber is a major problem in the current market, which also helped the price increase.

Price of ISNR-20 (crumb rubber) peaked to Rs 70 a kg and that of ungraded sheet rubber at Rs 69. Latex price too moved up to Rs 51 on Friday.