LONDON (Aug. 15)—Natural rubber prices are set to rise sharply as low prices discourage growers from replanting at a time when demand is strengthening, the Economist Intelligence Unit said in its latest forecast of industrial raw material prices. Prices for NR will show an 11.3-percent year-on-year increase in 2000, followed by rises of 31.9 percent and 29 percent in the next two years, according to the EIU´s commodity price index. "A shift in the geography of consumption from hard- to soft-currency countries has prevented the international market price from reflecting a potential physical shortage, and may continue to do so for the next two years," EIU stated.
NR prices to climb amid sinking supply
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