Natural rubber supply deficit in India- What is driving it and how to manage it?

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Over the next 7 years large scale expansions of Bridgestone, Michelin, and Yokohama are expected to happen in various parts of India triggering a demand pull for natural rubber feedstock. Currently there is a severe shortage of natural rubber in the Indian market with the deficit of close to 87,000 MT/year in 2012 and it is definitely clear that India, with its current supply source, will not be able to serve any new tire expansions. Also if the natural rubber buyer has to rely on domestic supply, he will have to pay a higher price, thereby affecting his profit margin.

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Natural rubber supply deficit in India- What is driving it and how to manage it?

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