25 August 1998
THAILAND and Malaysia are to withdraw from the 22-member International Natural Rubber Organisation (Inro), thereby bringing to an end its international agreements.
The two countries intend to establish a producers-only organisation which they believe will give them greater control over the global price of natural rubber. It is anticipated that this will be achieved by transferring their allegiance to the other important natural rubber industry organisation, the Association of Natural Rubber Producing Countries (Anrpc).
Anrpc accounts for about 80% of the worlds production. It is set to replace the Inro price support scheme with a different policy.
The policy will be to hold supply below current demand, provide a co-ordinated marketing system and also a means of managing of stockpiling any surpluses.
Some industry observers are sceptical of the success of Anrpc.
- Rubber producers seek price support, FWi, 21 August, 1998
- Thai withdrawal threat to Inro, FWi, 28 July, 1998
- Rubber growers seek flexibility, FWi, 24 June, 1998
- Financial Times 25/08/98 page 22