Natural Rubber Industry Situationer Agri-Center - Provincial Capitol Brgy Amas, Kidapawan City 13 May 2014 Anthony P. Bravo Provincial Director DTI Cotabato Province Natural Rubber Industry Situationer - World Market Situation - Domestic Market Situation - Pricing Analysis - Market Outlook - DTI’s Initiatives STATISTICAL SUMMARY OF WORL RUBBER SITUATION http://www.rubberstudy.com/documents/WebSiteData_2.0.pdf NATURAL RUBBER PRODUCTION Asia-Pacific EMEA Americas Total 2010 9,662 475 256 10,393 2011 10,456 482 292 11,230 2012 10,797 502 304 11,603 2013 10,952 515 297 11,764 NATURAL RUBBER CONSUMPTION Asia-Pacific EMEA (EU-27) EMEA (excluding EU-27) Americas Total 2010 7,564 1,136 402 1,671 10,773 2011 7,576 1,242 420 1,769 11,007 2012 7,895 1,077 389 1,666 11,027 2013 8,068 1,082 419 1,640 11,209 WORLD SUPPLY-DEMAND SURPLUS/DEFICIT (380) 223 576 555 WORLD STOCKS 1402 1,625 2,201 2,756 World Demand & Supply Situtation Source: http://www.rubberstudy.com 14,000 12,000 In "000 MT 10,000 NATURAL RUBBER PRODUCTION 8,000 NATURAL RUBBER CONSUMPTION 6,000 4,000 WORLD STOCKS 2,000 0 2010 2011 2012 2013 Total Production by Members of ANRPC in 2011 ( 10.325 mil ton ) Thailand 34.82% Indonesia 28.88% PNG 0.1% Cambodia 0.53% Philippines 1.03% China 6.89% Vietnam 7.91% Malaysia 9.71% India 8.67% Sri Lanka 1.54% 23/8/2012 Ist Reg Rub Con Philippines 5 Major Producers of NR INDONESIA 3.414 Million Hectares THAILAND 2.434 Million Hectares MALAYSIA 1.248 Million Hectares INDIA 0.635 Million Hectares VIETNAM 0.550 Million Hectares World Natural Rubber Industry 70% of natural rubber goes to the tire and construction industries, roads, bridges, buildings, sports race tracks, etc. World Natural Rubber Industry 30% goes to nontire industry use such as: Industrial & surgical gloves, condoms, rubber bands & strips, sport wares, shoes, boots, balls, balloons, rubber hoses, floor mats, insulators, waterproofing sheets & pads, shock absorbers etc…… Domestic Market Situation CAR 0% Area Planted (CY2012) CALABARZON 0% ARMM 18% CARAGA 6% SOCCSKSARGEN 21% DAVAO REGION 4% ZAMBOANGA PENINSULA 46% MIMAROPA 0% CENTRAL VISAYAS 1% PHILIPPINES - 176,244 CAR 27, CALABARZON- 221 MIMAROPA - 742 CENTRAL VISAYAS - 1,015 ZAMBO PEN - 80,375 N MINDANAO - 6,851 DAVAO REGION - 6,693 SOCCSKSARGEN - 36,713 CARAGA - 11528 ARMM - 32,079 NORTHERN MINDANAO 4% Domestic Market Situation PHILIPPINES - 442,998 CALABARZON - 35 MIMAROPA - 42 ZAMBO PEN - 188,855 N MINDANAO - 10,792 DAVAO REGION - 16,070 SOCCSKSARGEN -169,745 CARAGA - 16,611 ARMM - 40,849 (In Metric Tons) Domestic Market Situation Region 12 - 36,713 N Cotabato - 33,388 Sarangani - 445 South Cotabato - 620 Sultan Kudarat - 2,260 Domestic Market Situation Region 12 - 169,745 N Cotabato - 168,936 Sarangani - 459 South Cotabato - 34 Sultan Kudarat – 316 ( In Metric Tons ) Rubber, No. 3 Smoked Sheet (RSS3), Singapore Commodity Source: Singapore Commodity Exchange (SICOM) / http://www.indexmundi.com/commodities Feb 2011 – US$ 280.79/lb Dec 2001 – US$ 22.12/lb Price Movement PHP/kg. Equivalent SMR20 Jan Feb 2009 66.14 65.39 2010 137.13 138.59 2011 231.66 242.55 2012 150.33 158.46 2013 123.84 123.09 2014 99.32 87.39 Mar 66.93 144.23 207.46 159.67 113.57 85.65 Apr 73.94 146.96 215.92 155.38 102.31 81.06 May 76.10 130.36 193.90 143.87 103.47 Jun 77.20 133.72 196.10 121.93 99.04 Jul 78.52 133.58 194.38 120.57 95.86 Aug 90.37 138.82 194.12 108.86 102.37 Price Movement PHP/kg Equivalent STR20 Jan 2009 66.98 2010 141.10 2011 236.57 2012 154.49 2013 124.97 2014 99.03 Mar 66.61 150.75 218.97 163.02 115.20 86.40 Apr 74.24 151.14 237.02 159.54 106.22 83.94 May 77.66 139.55 206.89 150.45 104.76 Jun 78.96 140.21 201.28 130.55 100.39 Jul 79.15 138.11 197.77 123.21 96.86 Aug Sep Oct Nov Dec 90.83 101.18 106.23 116.80 129.05 142.27 149.10 165.72 186.41 202.14 197.19 197.23 178.56 149.76 147.00 111.84 116.77 124.24 115.94 118.37 100.95 106.94 100.92 99.82 102.83 Feb 66.33 143.44 249.80 164.25 123.94 87.83 Sep 98.90 149.46 192.17 113.97 106.44 Oct 104.54 164.40 175.98 121.91 101.49 Nov 114.74 181.76 144.61 114.69 100.10 Dec 126.89 198.45 144.85 118.23 102.30 Monthly Summary of Farmgate Prices of rubber Cuplump (2009 - 2014) Source: BAS jan feb mar apr may jun jul aug sep oct nov dec 2009 21.83 21.82 22.36 24.59 26.47 27.03 26.82 31.78 37.49 39.91 44.07 50.19 2010 53.88 56.26 59.91 61.27 51.07 52.29 54.29 54.49 54.05 66.45 69.06 79.28 2011 90.21 90.89 61.32 74.63 77.53 84.63 76.94 81.00 81.56 71.30 42.79 48.95 2012 56.87 59.41 64.85 59.93 49.10 46.50 46.02 38.94 39.62 46.17 46.70 44.68 2013 47.90 50.51 43.89 36.80 39.16 36.05 34.13 35.55 37.14 37.70 37.20 37.57 2014 34.86 31.44 29.84 28.00 Price Trend: SMR & TSR 20 PhP Equivalent vs Cuplump Farmgate Price (Jan 2009 to April 2014) 300.00 200.00 SMR-20 150.00 100.00 STR-20 50.00 0.00 Jan Jul Jan Jul Jan Jul Jan Jul Jan Jul Jan Jul PhP/kg 250.00 2009 2010 2011 2012 2013 2014 Cuplump Farmgate Price Price Movement - 2009 140.00 120.00 100.00 80.00 TSR 20 60.00 Cuplump 40.00 20.00 0.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 250.00 Price Movement - 2010 200.00 150.00 TSR 20 100.00 Cuplump 50.00 0.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Price Movement - 2011 300.00 250.00 200.00 150.00 TSR 20 100.00 Cuplump 50.00 0.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 180.00 160.00 Price Movement - 2012 140.00 120.00 100.00 TSR 20 80.00 Cuplump 60.00 40.00 20.00 0.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 140.00 Price Movement - 2013 120.00 100.00 80.00 TSR 20 60.00 Cuplump 40.00 20.00 0.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 120.00 Price Movement - 2014 100.00 80.00 60.00 TSR 20 Cuplump 40.00 20.00 0.00 Jan Feb Mar Apr World Natural Rubber Industry World Natural Rubber Industry World Natural Rubber Industry World Natural Rubber Industry World Natural Rubber Industry DTI INITIATIVES DTI regional and provincial offices in nine (9) regions implemented its Rubber Industry Cluster Initiatives (2013-2016) in coordination with partner agencies and institutions Rubber Quality Improvement Advocacy Productivity improvement for rubber producers, processors and rubber coops through the SSF Program Initiated the organization of National Rubber InterAgency Technical Working Group (NRIAT) and was renamed as the Philippine Rubber Technical Working Group or PHLRUBBER DTI INITIATIVES BPS-DTI through the BPS TC-16 adopted in July 2013 PNS/ISO 2000: 2013 – a standard for Technically Specified Rubber (TSR) Provided laboratory equipment for the Philippine Rubber Testing Center (PRTC-USM) under the Shared Service Facility (SSF) Program of DTI. Acts as the Team Leader of the National Inter-agency Technical Working Group (PhlRubber) in pursuing the development of the rubber industry. Thank You!!