The price may increase by 33% this year, mostly due todemand from tire makers and restricted supply from Thailand, Indonesia andMalaysia. The three countries, which produce about 2/3 of the world’s naturalrubber, signed a memorandum of understanding in Aug. to establish InternationalTripartite Rubber, a consortium, in an attempt to boost the price of naturalrubber. The ITR agreed to cut output by 4% and exports by 10% in 2002 and 2003.Vietnam General Rubber Corp. (Geruco), which accounts for most of Vietnam’sproduction, announced this week that it would join the ITR.

Shoe factories seemed least concerned about rubberdevelopments. They had not noticed a ... Log in to view full article.