Datuk Seri Mah Siew Keong showed the world market's rubber price chart at a press conference after the KPPK Hari Raya Aidilfitri celebration at the Ministry's Multipurpose Hall today. (BERNAMA photo)

PUTRAJAYA: Malaysia, together with Thailand and Indonesia, are looking to cut rubber exports soon, to stabilise the 40 per cent plunge in rubber prices, said Plantation Industries and Commodities Minister Datuk Seri Mah Siew Keong.

Since January until now, he noted Standard Malaysian Rubber (SMR 20) prices have plunged by 40 per cent to RM6.27 per kg to RM9.57.

"I know, our 450,000 rubber smallholders are not getting a fair price for their produce," he told reporters after the ministry's Aidilfitri open house celebration here today.

"We will have an urgent meeting on the Sept 15 at Bangkok to stabilise the current rubber price volatility," he said, adding Malaysia can further cut rubber exports from the current 10 per cent to 15 per cent.

Malaysia, Thailand and Indonesia currently produce about 60 per cent of global rubber output of more 12.7 million tonnes.

Mah said members of the International Tripartite Rubber Council (ITRC) — Thailand, Malaysia and Indonesia — have agreed to adopt export restriction measures in the face of falling rubber prices.

“When ITRC meet in Bangkok, in a couple of months, we will finalise the implementation details of rubberised road projects, in our respective countries," he said.

Mah acknowledged the cost of rubberised road is slightly higher in the beginning but in the long term, the maintenance cost works out to be cheaper.

367 reads