India’s rubber imports double

Friday, 14 January 2011 00:01 - - {{hitsCtrl.values.hits}}

New Delhi: Rubber imports have nearly doubled to over Rs. 2,000 crore in April-October 2010 and, along with a surge in other sensitive items such as automobiles, edible oils and milk, led to a 14.1 per cent rise in import of such products during the same period to Rs. 40,499 crore.

With domestic supplies not meeting demands, rubber imports have risen 93.1 per cent to Rs. 2,026.84 crore from Rs. 1,049.6 crore during April-October 2009, according to data released by the Commerce and Industry Ministry on Monday.

Currently, domestic rubber prices are about Rs. 210-215 a kg, whereas international prices are about Rs. 240 a kg. Last month, to increase domestic availability of the item and check rising prices, the Government had cut import duty on natural rubber to 7.5 per cent from 20 per cent for shipments up to 40,000 tonnes till March 31, 2011. After that date, the duty will be reinstated at whichever is the lower of 20 per cent or Rs. 20 a kg. Automobile imports also saw a 114.3 per cent jump to Rs. 1,249.92 crore during the period, while that of parts and accessories of motor vehicles rose 30.1 per cent to Rs. 8,607 crore.

Imports of edible oil increased 11.8 per cent to Rs. 15,882 crore. Within this segment, crude oil imports went up 17.2 per cent, while that of refined oil fell 16 per cent. Increase in edible oil import is mainly due to substantial increase in import of soyabean crude oil, the official statement said.

Imports of milk and milk products saw four-fold jump to Rs. 536.12 crore. Food grains surged to Rs. 211.25 crore from Rs. 12.47 crore.

Alcoholic beverages increased 55.4 per cent to Rs. 287.4 crore.

While total import of 415 sensitive products increased to Rs. 40,499 crore (April-October 2010) from Rs. 35,487 crore during the previous year, the gross import of all commodities was Rs. 889,827 crore against Rs. 743,469 crore.

Imports of pulses, fruits and vegetables (including nuts), cotton and silk, spices and tea and coffee declined during the period; that of all other items, including products of SSI, marble and granite, increased.

Imports of sensitive items from Indonesia, China, Argentina, Korea, Malaysia, the US, Germany, Ukraine, Thailand, Australia, Cote D’Ivoire, the UK, Czech Republic, Vietnam and New Zealand have gone up while those from Myanmar, Canada, Brazil and Japan have gone down.