Growth and Prospects of Natural and Synthetic Rubber Production and Consumption in India

Abstract

Rubber has an essential role in today’s society. Rubber industry can be separated into two main sectors, specifically tire manufacturers and industrial rubber manufacturers. It produces a wide variety of products that people normally rely on in their daily life. The rubber products are either used as tires, hoses or as sealing material on windows. Automotive industry is the most significant market for both tires and industrial rubber products. In India, over the last three decades, the numbers of vehicles have approximately doubled and further increases are expected over the next decade. This trend will eventually increase the consumption of rubber products, which will also augment the use of non-renewable resources, emissions to the air, water and soil during their manufacturing and usage stages. The Indian rubber industry has performed reasonably well, the industry has been growing further during the current financial year, both with respect to total turnover and exports. Though the overall balance of trade in rubber products is in favour of the country, the data indicates that India is becoming a favourable destination for rubber products. It is also noticed that while tyres/tubes, beltings etc are being imported to the country, the bulk of the imports comprises technical goods, sheeting’s etc. Today the amount of rubber used in tires represents approximately 60% of the total rubber consumption in the world. About 25% of the remaining 40% of industrial rubber production is also utilized by automotive industry. This paper focuses on the growth and prospects of natural and synthetic rubber production and consumption.