CAMBODIA: Vietnam Rubber Group finishes construction on rubber factory -- K Trade Fair


CAMBODIA: Vietnam Rubber Group finishes construction on rubber factory

The plant, which cost $ 5.2 million after two years of construction, was reportedly inaugurated in Ratanikkiri's O'Yadav district on 23 December 2014 in a ceremony which included Cambodian Deputy Prime Minister Yim Chhay Ly, Vietnamese business weekly the Saigon Times reported. The latex will be extracted from rubber trees planted on almost 45,000 hectares of rubber plantations in the border province, the Saigon Times said. The news comes as worldwide rubber prices fell 21 per cent from May to November, going from $ 94 to $ 74 per pound. "Because of the news [of falling prices] circulating globally, somehow it's going to slow down some of the investors [in Cambodia] who may consider investing in other crops like pepper,” said Men Sopheak, director-general of the Chop Rubber Plantation, one of Cambodia's major rubber exporters. However, while low rubber prices meant smaller rubber companies may scale back their investments, larger ones, such as VRG, could afford to invest for the long term, Sopheak said. "VRG can afford to make these changes, because they are doing well for themselves [in Cambodia],” Sopheak said. VRG's new Cambodian plant will use entirely Vietnamese equipment, and marks VRG's first foray into latex processing in Cambodia, according to an announcement on its website. Source: Daily "The Phnom Penh Post", Phnom Penh; 30 Dec 2014
(Syed Rashid Ali, Karachi, Pakistan)