Rubber Price Up In South Sumatra

Palembang, Feb 24 (Antara) - The price of farmers` rubber rose to as high as Rp9,562 per kilograms in South Sumatra on Monday from the highest level of Rp8,772 two weeks earlier. The prices were set at auctions held by rural cooperatives, head of the marketing division of the regional plantation office Benyamin, said here. Benyamin said the South Sumatra plantation office receives report of price developments regularly every week from a number of auction centers in the province. However, the price set by farmers followed price developments at rubber processing factories in Palembang, and in international markets, he said. He said the rubber price has been fluctuating sharply in the past two weeks to follow the trend in international markets. He said most of rubber production of South Sumatra is exported to a number of countries . In South Sumatra, there are a number of rubber processing companies among members of the association of rubber companies (Gapkindo). Indonesia is the world`s second largest producer of natural rubber after Thailand and South Sumatra is one of the largest producing provinces.