INRO sees progress at October talks<\/p>\n
SINGAPORE (Reuters): The International Natural Rubber
\nOrganization (INRO) expects to make progress by the end of
\nOctober on healing a rift that threatens to scupper the accord, a
\ntop INRO official said on Tuesday.<\/p>\n
\"We hope by the end of October to make some progress,\" Deputy
\nExecutive Director Gerard Loyen told Reuters in an interview.<\/p>\n
A small group of producers and consumers are to meet next week
\nto mull a paper on the pact's future and wider full council talks
\nare set for October 22 and 23.<\/p>\n
\"We hope by then to have proposals from producers and for
\nconsumers to reach a more open position,\" said Loyen.<\/p>\n
INRO, the world's last surviving producer-consumer commodity
\npact with the power to steer prices, runs a serious risk of
\nfoundering as a result of mounting opposition from producing
\ncountries over its failure to lift prices.<\/p>\n
The world's third largest producer Malaysia has already vowed
\nto pull out and the biggest producer Thailand is tipped to
\nfollow suit, but number two Indonesia has pledged to stick by the
\naccord.<\/p>\n
INRO intervenes in the rubber market by buying or selling when
\nthe price reaches pre-set levels and the price range is revised
\nperiodically in line with market trends.<\/p>\n
But prices have suffered relentless pressure from tumbling
\nconsumption due to the Asian economic crisis and rising exports
\nfrom Thailand and Indonesia where producers have cashed in on
\nhigh local prices driven by depreciating currencies.<\/p>\n
INRO was set up in 1980 under the United Nations Conference on
\nTrade and Development (UNCTAD) and was one of a string of price-
\ninfluencing pacts that operated during the 1980s.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/inro-sees-progress-at-october-talks-1447893297",
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"sponsor": "Okusi Associates",
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