MarketReportsOnline.com adds "Indonesia's Rubber Industry Analysis 2016" report to its research store.

Pune, Maharashtra -- (SBWire) -- 01/04/2017 --The global market is currently in its fourth year of surplus of natural rubber. The excess supply situation has caused stocks to pile high and prices are falling steadily. It is expected that global surplus by the year 2020 will be approximately 1 million tons of natural rubber and 3 million tons of synthetic rubber.

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World demand for natural rubber, which is primarily used to manufacture tires, is cooling down due to the economic downturn in China.Asia accounts for 93% of the world natural rubber production with Thailand being the largest producer followed by Indonesia and Vietnam. Other large rubber producers in the region include India, China and Malaysia. As per recent developments, under the AETS scheme, Indonesia is expected to bring down its export of natural rubber by 238,736 tons, while Malaysia and Thailand will bring it down by 52,259 and 324,005 tons respectively. This supply cut has caused the global rubber prices to rebound after six years.

China is the world's largest consumer of natural rubber followed by India and the United States. Increasing consumption of tyres and industrial rubber products is expected to boost the global demand for natural rubbers. Indonesia is the second largest rubber producer globally behind Thailand. While the industry is faced with challenges such as low production and poor infrastructure, growing rubber demand from developing economies is expected to boost the market in 2016. Complete report available at http://www.marketreportsonline.com/501978.html.

Indonesia is the second largest natural rubber producer globally. The industry is currently experiencing oversupply with demand having slowed down particularly from China which is the largest buyer of rubber in the world. Sumatra is the key natural rubber producing area in Indonesia accounting for two-thirds of the rubber latex harvested followed by Kalimantan, Sulawesi and Java. 85% of the rubber producers are smallholders and they contribute 81% to the national output.

Actively supporting the sector, the International Rubber Consortium, which is a body representing rubber producers Thailand, Indonesia and Malaysia, has recently recommended the commodity not be sold at the current low prices. Indonesian rubber plantations grew from 3.62 million hectares in 2015 to 3.64 million hectares in 2016. In the same period, the productivity of the rubber plantations grew from 1.04 ton per hectare to 1.05 ton per hectare.There may be a marginal reduction in rubber production in 2016 due to the long dry spell in the second half of 2015. However, no other disruptions are expected in 2016.

Why should the report be purchased?

The report "Rubber Industry" highlights key dynamics of Indonesia's rubber sector. The potential of the sector has been investigated along with the key challenges.The current market scenario and future prospects of the sector has also been studied. The report contains profiles of key players including Bridgestone Corp, Michelin, Goodyear, Continental A.G. and Sumitomo Rubber Industries Ltd.The report contains latest verbatim of industry experts.

Key Topics Covered:
1. Global Rubber Industry
2. Indonesia Rubber Industry
3. Competitive Landscape
4. List of Charts and Graphs
5. Research Methodology

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