RI set to be top rubber producer

RI set to be top rubber producer

JAKARTA (JP): Indonesia, with ample land and laborers, will
easily overtake Thailand as the world's number one rubber
producer after the turn of the century, said Chairman of the
Indonesian Rubber Association O.K. Cornel.

Indonesia, currently the world's second largest rubber
producer, is expected to increase its rubber output to 1.97
million tons per annum by the year 2000 and to 2.34 million tons
by 2005 from the current level of 1.5 million tons.

"As we have ample land and laborers, we will easily overtake
Thailand. Oh, yes," said Cornel.

Thailand's rubber output, which stood at 1.72 million tons in
1994, is projected by the International Natural Rubber
Organization to continue to increase until the end of this
century. Afterwards, he said, its output will be stagnant or
even decrease due to land and labor constraints.

Malaysia, the world's third largest rubber producer with an
output of 1.1 million tons last year, will not be able to
challenge Indonesia's future domination because its output has
begun to decrease. However, it will continue to keep its third
position because it has no serious challengers.

The three Southeast Asian countries -- Thailand, Indonesia and
Malaysia -- currently account for more than 70 percent of the
global output of some six million tons per annum.

Indonesia currently produces some 1.5 million tons of rubber
per annum, mainly from the provinces of North and South Sumatra,
Jambi and West Kalimantan.

It exported almost 90 percent of its output to more than 60
countries. Of its total exports, some 45 percent goes to the
United States.

According to a study by the Asian Development Bank,
Indonesia's rubber exports are projected to increase to 1.59
million tons in 2000 and 1.82 million tons in 2005 from last
year's level of 1.32 million tons. (rid)