INRO postpones council meeting

INRO postpones council meeting

KUALA LUMPUR (Reuters): The International Natural Rubber
Organization (INRO) said on Thursday it has postponed a meeting
of its governing council to Oct. 9 after the group could not
decide on the sale of its rubber stocks.

"No consensus could be reached," chief executive officer Arch
Roberts told reporters after an INRO council meeting in
Malaysia's capital.

Asked when the council would next meet, Roberts said, "We are
planning for October the ninth, but some members have to check to
make sure that's an acceptable date."

INRO's governing council was earlier scheduled to decide on
Thursday what to do with 138,000 tons of rubber in its stockpile.
Sales have been undermined because of the high purchase price of
the stockpiled rubber.

INRO's cost price stands at 71 U.S. cents a kg but current
prices in top producing countries Thailand, Indonesia and
Malaysia are much cheaper.

The group's failure to reach an agreement means that last
year's resolution on liquidation is still valid.

INRO's decision-making council decided that in liquidating its
stocks, it would not sell rubber at a price below the purchase
and carrying costs. The council is made up of representatives of
consumer and producer member countries.

Delegates from Thailand, Indonesia and Malaysia had said INRO
needed to review last year's decision and reduce the selling
price in order to speed up the sales.