The International Rubber Association (IRA) was inaugurated in Ottawa, Canada on 24 September 1971 through the corporation of rubber associations in both producing and consuming countries. Currently, IRA consists of 21 members from 13 countries. The Thai Rubber Association is one of the initial members and a member of the Management Committee. With the term of 2 years, IRA is led by 9-member Management Committee, 4 of which are member associations from producing countries while the other 5 are those from consuming countries. The objectives of IRA are to formulate rubber trade practices, to prepare international rubber contracts, to foster international cooperation on rubber production, trade and consumption among producing and consuming countries, to collectively solve any problems in connection with international rubber trade as well as to facilitate continued improvement in international rubber trade. The Secretariat office of IRA is currently located in the Thai Rubber Association’s building.

IRA arranges Management Committee meeting once a year. This year, the Management Committee Meeting of the International Rubber Association was held on 6 May 2018 at Taj Samudra Hotel, Colombo, Sri Lanka. In representation of TRA, Mr. Paul Sumade Lee, IRA Chairman, Mr. Supadetch Ongsakul, IRA Executive Secretary, Ms. Piyaporn Saelim (TRA manager) and Mr. Prasit Petnoosed (TRA officer) participated in the meeting. Other associations present comprised Rubber Trade Association of Europe (RTAE), the Japan Rubber Manufacturers’ Association (JRMA), Malaysia Rubber Exchange (MRE), Singapore Exchange Ltd. (SGX SICOM) and Myanmar Rubber Planters & Producers Association (MRPPA).

In his opening remark, Mr. Paul Sumade Lee, IRA Chairman stated that rubber market last year has seen another extreme volatility rallying to over $2000 a ton in Q1 2017, only to fall back miserably into the more familiar trading range of $1400 to $1600 by the end of 2017. This range appears to remain valid for this year so far. Demand has been relatively constant albeit a small increase. With the potential trade wars globally initiated by the United States Trump administration, and tariff measures and counter measures being contemplated by the US and the targeted countries, coupled this with the recent resurgence of the US dollar, we may be heading towards a very difficult time ahead. Rubber farmers around the producing countries have already endured a lot of hardship. On the operation of IRA, last year IRA adopted the amended IRA contract for TSR on 19 March 2017. The contract was effective on 1 June 2017. This year, IRA looks forward to the standardization and amendment to the IRA contract for Latex in drums as well.

Among several important matters vastly discussed at the meeting were International Standards of Quality and Packing for Natural Rubber Grades, Proposed streamlining to the IRA Contract for TSR, Proposed amendments to the IRA Contract for Latex in Drums, and Invitation to APROMAC and CRIA to become IRA member. These 2 associations have rubber-producing and consuming potential. The meeting agreed that further amendment to both the contracts shall be decided by IRA Technical Sub-Committee on Contract Amendments. In addition, the meeting discussed chairmanship and secretariat of IRA for the term 2019-2020. TRA’s IRA chairmanship term will terminate in 2019. The meeting proposed that Gapkindo assume the post at the IRA Biennial General Meeting in 2019.

On behalf of the Thai Rubber Association, I wish to thank Mr. Paul Sumade Lee, IRA Chairman and Mr. Supadetch Ongsakul, IRA Executive Secretary as well as the Secretariat of TRA for excellent arrangement of the meeting. I hope that IRA will always be an important part of the corporation between producing and consuming countries for continued development of international rubber trade.