Natural rubber prices crossing the Rs.300 per kg mark have created significant cost pressures for India's latex processors and non-tyre rubber product manufacturers. While the price increase has benefited rubber growers, manufacturers are facing difficulties in absorbing the higher input costs.

According to industry participants quoted by PTI, sheet rubber prices have increased by approximately 60-70% compared with the previous year. Prices of chemicals used in rubber manufacturing have also reportedly increased by 25-50%.

The impact is particularly severe for manufacturers of latex-based products such as medical gloves, balloons, condoms and rubber bands. Smaller manufacturers have limited bargaining power and often find it difficult to pass on higher raw material costs to customers.

Manufacturers have also expressed concerns about competition from lower-priced imported finished products, which further restricts their ability to revise selling prices.

The situation highlights the vulnerability of MSME based non-tyre rubber manufacturers to fluctuations in natural rubber and chemical prices. It also reinforces the need for a balanced import duty structure that supports domestic raw material availability while protecting value added Indian manufacturing.