BANGKOK, Thailand – Prof. Dr. Narumon Pinyosinwat, Minister of Agriculture and Cooperatives and leader of the Kla Dharma Party (KDP), announced that the Rubber Authority of Thailand (RAOT), in collaboration with its network of rubber farmers, has postponed the start of the tapping season by one month—from May to June 2025. This strategic move is expected to reduce global rubber supply by over 300,000 tons, significantly impacting market balance and driving rubber prices sharply higher.
Current rubber prices have seen a steady increase. On May 2, the price of RSS3 (smoked sheet rubber) rose to 70 baht per kilogram, while high-quality raw rubber sheets (moisture not exceeding 3%) reached 68 baht/kg. Fresh latex is priced at 58.75 baht/kg, cup lump rubber (100% DRC) at 58 baht/kg, and cup lump rubber (70% DRC) at 40.60 baht/kg.
Minister Narumon stated that the intentional delay in rubber tapping is aimed at managing global supply and revitalizing the market. The estimated supply reduction—if calculated using the RSS3 price of 72.04 baht/kg (as of April 3, 2025)—could equate to over 14.4 billion baht in value. The shortage is pressuring traders to buy in advance to secure deliveries, creating renewed excitement in the rubber market.
To support farmers during the tapping delay, RAOT will provide interest-free short-term loans (up to 5 million baht per contract for four months) through the Rubber Development Fund under Section 49 (3). These loans are aimed at helping agricultural institutions acquire necessary production inputs to increase yield and reduce costs. In addition, Minister Narumon has directed RAOT to offer a 3% interest subsidy for rubber buyers participating in the initiative and is exploring plans to purchase rubber tire factories to process rubber domestically. This would help reduce supply in the market, raise product quality, and build Thailand’s own rubber brand.
