Rubber exports in the first six months reached $976 million.

The average export price decreased by 15.2% compared to the same period last year. Slow demand growth coupled with rapid production growth has created downward pressure on prices.

According to the Ministry of Industry and Trade, rubber exports in June were estimated at 79,000 tons with a value of 188 million USD. For the first six months of the year, exports of this commodity reached approximately 383,000 tons with a value of 976 million USD; a decrease of 5.0% in volume and 19.2% in value compared to the same period in 2012.

The average export price of rubber reached US$2,595 per ton, a decrease of 15.2% compared to the same period in 2012.

Although China remains Vietnam's largest consumer market (accounting for 46.0% of total export value), it has shown a sharp decline recently: down 21.6% in volume and down 30.7% in value compared to the same period last year.

Vietnam's second-largest rubber export market is Malaysia, accounting for 18.9% of total export value in the first five months of the year. Rubber exports to this market increased by 10.6% in volume but decreased by 11.5% in value compared to the same period last year due to a sharp drop in export prices.

According to statistics from the General Department of Customs, in May 2013, rubber exports increased due to increased production at the beginning of the harvest season; however, due to the decrease in world rubber prices, export revenue did not increase proportionally with the volume.

Slow demand growth coupled with rapid global production has put downward pressure on prices. In addition, high rubber inventories in China and several other countries have also contributed to the price decline.

The supply of rubber from Thailand, the world's leading rubber exporter, is expected to increase in the coming months during the harvest season, further putting downward pressure on rubber prices.

According to VOV - PH