Analysis of Trends of Natural Rubber prices and overview in Nigeria, Thailand, Malaysia, Indonesia, United States, and Europe

Abstract

Natural Rubber (NR) is cultivated commercially in Asia (Malaysia, Indonesia, Thailand, Sri Lanka, China, Cambodia, Singapore etc), Europe, and Africa (Nigeria, Cote d’ Ivoire etc). Due to many factors, investigation has revealed significant imbalances in demand and supply, leading to significant variations in the prices of rubber products among major producing regions in the World. This study was undertaken to collect scarce information on prices of natural rubber and determine the trends in the prices of rubber from year 2001 till date. Secondary data were collected from reputable journals, internet, and reports of international rubber organizations including Food and Agricultural Organization of the United Nations (FAO), US Consumer Price Index, Singapore Commodity Exchange (SCOM), International Rubber Study Group (IRSG), as well as literature, and sites related to the research. Primary data were collected from RRIN’s archives, records etc and supplemented the secondary data. Quantitative data were collected on the basis of information available in Thailand, Malaysia, Indonesia, Nigeria, USA, New York, London etc and spanned from 2001 to 2025. The basic data generated and the variables affecting prices of natural rubber across producing regions were analyzed using descriptive analysis. The results revealed significant variations in prices of NR within and among the continents under investigation. It can therefore be concluded that price of rubber over the years was dwindled, and thus could discourage farmers from going into rubber farming. The authors therefore recommended that government provides market information and prices of rubber to farmers on a yearly basis. Provision of meteorological data to rubber farmers in the wake of climate change, together with strong leadership in rubber industries, is also recommended. All these will help smallholder farmers to plan ahead and address challenges like price volatility etc.