The global natural rubber and gum market amounted to $25.2B in 2019, therefore, remained relatively stable against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers’ margins, which will be included in the final consumer price).
Despite robust gains in natural gum production in physical terms, the market value could only stabilize over the last years, after dropping sharply in 2015.
Consumption by Country
Thus, global consumption peaked at $29.9B in 2013; however, from 2014 to 2019, consumption failed to regain the momentum. That dynamic is largely shaped by the shifts in prices that followed a shard decrease in global oil prices in 2015.
The countries with the highest volumes of natural rubber and gum consumption in 2019 were Thailand (4M tonnes), Indonesia (3.7M tonnes) and China (1.4M tonnes), together accounting for 62% of global consumption. These countries were followed by Viet Nam, Malaysia, India and Cote d’Ivoire, which together accounted for a further 25%.
From 2013 to 2019, the biggest increases were in Cote d’Ivoire, while natural rubber and gum consumption for the other global leaders experienced more modest paces of growth.
In value terms, Thailand ($6.3B), Indonesia ($5.8B) and China ($2.7B) were the countries with the highest levels of market value in 2019, with a combined 59% share of the global market. Viet Nam, Malaysia, India and Cote d’Ivoire lagged somewhat behind, together accounting for a further 24%.
The countries with the highest levels of natural rubber and gum per capita consumption in 2019 were Thailand (58 kg per person), Malaysia (31 kg per person) and Cote d’Ivoire (20 kg per person).
Market Forecast to 2030
Depressed by shrinking demand for rubber tires and industrial articles on the backdrop of the economic slump caused by the pandemic, the market is to decline noticeably in 2020. In the medium term, as the global economy recovers from the effects of the pandemic, the market is expected to grow gradually. Overall, market performance is forecast to pursue a slightly upward trend over the next decade, expanding with an anticipated CAGR of +0.3% for the period from 2019 to 2030, which is projected to bring the market volume to 15M tonnes by the end of 2030.
Production
For the fourth year in a row, the global market recorded growth in the production of natural rubber and gums, which increased by 3.2% to 15M tonnes in 2019. The total output volume increased at an average annual rate of +2.2% from 2013 to 2019; the trend pattern remained consistent, with only minor fluctuations being recorded throughout the analyzed period.
Over the period under review, global production hit record highs in 2019 and is likely to continue growing in the near future. The generally positive trend in terms of output was largely conditioned by a notable expansion of the harvested area and a relatively flat trend pattern in yield figures.
Production By Country
The countries with the highest volumes of natural rubber and gum production in 2019 were Thailand (4.9M tonnes), Indonesia (3.7M tonnes) and Viet Nam (1.2M tonnes), together accounting for 67% of global production. These countries were followed by India, China, Malaysia and Cote d’Ivoire, which together accounted for a further 21%.
From 2013 to 2019, the biggest increases were in Cote d’Ivoire, while natural rubber and gum production for the other global leaders experienced more modest paces of growth.
Harvested Area and Yield
In 2019, approx. 12M ha of natural rubber and gums were harvested worldwide; with an increase of 3.4% compared with the year before. The harvested area increased at an average annual rate of +2.3% over the period from 2013 to 2019; the trend pattern remained consistent, with somewhat noticeable fluctuations being observed throughout the analyzed period.
In 2019, the global average natural rubber and gum yield reduced modestly to 1.2 tonnes per ha, leveling off at 2018 figures. In general, the yield saw a relatively flat trend pattern.
Imports
After three years of growth, supplies from abroad of natural rubber and gums decreased by -4.3% to 1.3M tonnes in 2019. The total import volume increased at an average annual rate of +1.2% from 2013 to 2019; the trend pattern remained relatively stable, with only minor fluctuations being recorded in certain years. Global imports peaked at 1.3M tonnes in 2018, and then reduced modestly in the following year. In value terms, natural rubber and gum imports declined to $1.6B (IndexBox estimates) in 2019.
Imports by Country
China remains the main importer of natural rubber and gums in the world, with the volume of imports reaching 554K tonnes, which was approx. 44% of total imports in 2019. It was distantly followed by Malaysia (312K tonnes), generating a 25% share of total imports. The U.S. (48K tonnes), Mexico (29K tonnes), Brazil (29K tonnes), the Netherlands (28K tonnes), Belgium (24K tonnes), Viet Nam (22K tonnes) and Pakistan (20K tonnes) followed a long way behind the leaders.
From 2013 to 2019, the most notable rate of growth in terms of purchases, amongst the leading importing countries, was attained by the Netherlands, while imports for the other global leaders experienced more modest paces of growth.
In value terms, China ($608M), Malaysia ($508M) and the U.S. ($54M) were the countries with the highest levels of imports in 2019, with a combined 71% share of global imports. These countries were followed by Brazil, the Netherlands, Mexico, Belgium, Pakistan and Viet Nam, which together accounted for a further 9.9%.
Import Prices by Country
In 2019, the average natural rubber and gum import price amounted to $1,305 per tonne, dropping by -4.1% against the previous year. Over the period under review, the import price recorded an abrupt decrease. The pace of growth was the most pronounced in 2017 an increase of 20% against the previous year. Global import price peaked at $2,464 per tonne in 2013; however, from 2014 to 2019, import prices stood at a somewhat lower figure.
There were significant differences in the average prices amongst the major importing countries. In 2019, the country with the highest price was Malaysia ($1,629 per tonne), while Mexico ($966 per tonne) was amongst the lowest.
From 2013 to 2019, the most notable rate of growth in terms of prices was attained by the U.S., while the other global leaders experienced a decline in the import price figures.
