Rubber prices in Kerala have crossed the historic milestone of ₹300 per kilogram due to domestic production deficits, reduced overseas tap yields and supply chain disruptions caused by West Asian conflicts and high crude oil rates.

Kottayam (Kerala): For the first time in history, rubber prices have touched the magic figure of ₹300. On Friday, RSS-4 grade rubber traded at ₹300 per kilogram in Kottayam. Trade63 per kg. Although the international price surpassed ₹300 this past June, it subsequently dropped.
Decreased production alongside rising demand is considered the main reason for the price hike in the domestic market. According to Rubber Board statistics, there is currently a deficit of 5.22 lakh metric tonnes of rubber in the country, with tapping currently halted across 1.76 lakh hectares.
Due to factors including climate change, production has declined in India as well as in major rubber-producing nations such as Malaysia, Thailand and Indonesia. Shipping freight movement faced crises amidst the West Asian conflict, rendering imports expensive, which ultimately benefitted the domestic market.
In addition, the rise in synthetic rubber prices, triggered by surging crude oil costs, further contributed to the price appreciation of natural rubber.
Published: 31 Oct 2026, 07:52 am IST
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