IRSG plans meet to address rubber industry issues

The International Rubber Study Group (IRSG), a London-based inter governmental agency, plans to organise a roundtable conference of all stakeholders to address the problems likely to emerge in the natural rubber industry, said Hidde P Smit, secretary general, IRSG.

A preparatory meeting of the proposed roundtable will be held during the IRSG annual assembly in April at Kuala Lumpur, he said.

A taskforce constituted by the world body has suggested holding a roundtable to address issues such as possible shortage, volatility in prices and substitution of natural rubber by synthetic rubber, he said.

These are the major problems likely to be faced by the natural rubber sector in the coming days, Smit said.

The International Rubber Study Group believes largescale substitution of natural rubber with synthetic rubber would be detrimental for both farmers as well as the environment.

Confidence over the use of natural rubber has to be restored among various sections to avoid such a situation, Smit said. Appropriate information, good statistics on demand and supply and accurate forecasting are essential for this, he added.

"We are conducting studies on forecasting for the countries of Asia that would provide a detailed and clear idea of future demand and supply," Smit said.

A similar exercise would be undertaken for Europe and the US "We hope to complete the exercise by January," he said.

After ceasing to be a member of the global body in 2000 following difference of opinion, India is considering a proposal to rejoin the forum.

Founded in 1944, International Rubber Study Group currently has 16 countries, besides the European Commission, as members.