Indonesia is the world's second largest producer of natural rubber, natural rubber plantation area ranks first in the world. Indonesia's natural rubber output in 2009 to 259 million tonnes, down 5.7% in 2008. Indonesia's rubber industry now focuses on structural adjustment, improve and update the rubber tree, increase their consumption of rubber. According to the Indonesian Rubber Association, restructuring, limited production cuts would be extended to 2014. In addition, he suggested that the Government policy to reduce of China - ASEAN Free Trade Area of the rubber industry, the negative impact.
Indonesia is second only to Thailand, the world's second largest exporter of natural rubber, natural rubber exports about 85% of its production. The main varieties of natural rubber exports is SIR20, increasing year by year the proportion of the standard rubber, up to 95%, while Yan Pianjiao share year by year. There are two main export way: First, the marketer from Singapore procurement, product standards for the implementation of Indonesia's standard; two large multinational companies to the Indonesian factory direct fixed procurement, product standards can be provided by the user, on-demand production and security needs. Indonesia's natural rubber exports of major countries including the United States, Japan, China, Singapore, South Korea. Indonesia's Central Statistics Department in November 2009 according to data released, the rubber and rubber products exports from the 532.6 million U.S. dollars in 2008 dropped to 462.9 million U.S. dollars in 2009. Prediction of natural rubber producing countries in 2010, Indonesia's natural rubber exports expected to reach 2.3 million tons.
Indonesia's rubber processing capacity-building emphasis. Added the last 3 years, 20 local and foreign investment more than rubber processing plants, Sumatra, Java has a powerful main producing areas along the processing cluster, the cities of Medan, Palembang, and natural rubber processing capacity of 120 tons , firm size is large, the annual processing capacity of 20 000 raw rubber to 6 million tons, an average of 50,000 tons / year.
Esilier said that in anticipation of the global automotive industry will not be fully recovered by 2014, so Indonesia's natural rubber industry will continue to cut before that. The Indonesian government is limited by the capacity of the machine to improve the quality of rubber in the country. Indonesian trade ministry official Arif said that the Indonesian government and related industries have reached an agreement to rubber products on the domestic market to develop higher quality standards, the main content is to reduce product impurities. Indonesian rubber in the development of new quality standards, in particular, impurity standards, the reference to the corresponding standards in other countries; This will improve the competitiveness of Indonesian products. Stable quality of raw rubber in Indonesia, mostly for Michelin tires and other large multinational companies directly used.
Currently, Indonesia's many farmers are using the opportunity to update the rubber trees cut, cutting down trees, planting new rubber trees, the update is likely to continue into 2014, Indonesia's rubber production will be reduced. However, due to China - ASEAN Free Trade Area of the overall start and China's rapid economic recovery, the country's natural rubber output in 2010, about 5% growth in exports will increase 10% to reach 2.3 million tons. In reducing the production of the same time, the Indonesian government is also trying to improve the natural rubber demand, especially to improve the country's domestic market consumption of natural rubber. Currently, the annual consumption of its natural rubber output is only 15%, much lower than Malaysia's 40%. To increase domestic consumption, the Indonesian government to actively develop rubber industry of new tires, latex and so on, to take effective measures to protect their rubber tire manufacturing industry in the downstream industry.
Esilier said the Chinese-made tires sold at 95 U.S. dollars / article, the production of tires in Indonesia sells for 127 U.S. dollars / article, without government help, in the China - ASEAN free trade zone opens, the tire industry in Indonesia difficult to compete with their Chinese counterparts.
Source : articlesbase
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