Cambodia's Rubber Export Continue Falling

According to the Cambodian news on May 8, rubber prices in the world continues to fall, despite the rubber export increase in the first quarter, rubber producers ' earnings are still falling. Cambodia's Commerce Department shows newly released data, Cambodia's rubber export in the first quarter of 2014 up 26% compare to 2013, but their sales revenues declined by 28%. Cambodia's vice chairman of the Rubber General Council Heng Sarath said: "last year the rubber price was 2800 USD/t, however it drop to 1980 usd/t this year, rubber prices continued to fall from 2011.” Sarath said that due to the global demand for natural rubber falling, especially the tire industry demand in China come down, he could not foresee when the rubber price falling comes to an end. Independent Economist Srey Chanthy said, due to lack of facilities, Cambodia has to sell rubber directly to the market even if rubber prices fall. In the case of low rubber prices, the reason volumn of export increase greatly is because Cambodia has neither a processing plant or warehouse store harvested rubber. The country's shortage of skilled workers could hinder investment on these facilities. Cambodia's rubber production total amount was 35000T in 2013. Local rubber plantation owner said, when Cambodia's rubber output come to 400000T, we believe that investors will consider to build processing plant here.