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Rubber Varieties Natural rubber was discovered in Brazil in South America about 450 year ago as an exudated mass caused due to drying of milky liquid oozing out of certain rubber trees. Today there is not just one substance called rubber, but a class, made up of a number of materials that have the unique property of high elasticity. < The Rubber tree, Hevea brasiliensis |
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World Rubber Production In 1991 Thailand replaced Malaysia as the top producer and exporter of natural rubber products. This has been the result of a re-planting program. A majority of Thailand's rubber plantations are located in the southern part of the country. Thailand leads the rubber producing countries in research and development of natural rubber. This makes Thai natural rubber is the most dependable and consistent. |
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A majority of rubber products are exported in their raw form such as Technically Specified Rubbers: STR, RSS, Skim Block, ADS, Crape, and Concentrate Latex. Exports account for 90 percent of natural rubber production. The remaining 10 percent is utilized by local manufactures. |
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Of the 10 percent of total production that is utilized domestically, 55 percent of this amount is processes as value-added goods. Major manufactured rubber product are tires and inner tubes for automotive. |
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Standard Grades
Natural rubber is produced primarily in three countries: Thailand, Malaysia and Indonesia.
The following are the specifications scheme for each country:
STR : Standard Thai Rubber
SMR: Standard Malaysia Rubber
SIR : Standard Indonesia Rubber
Natural latex
This is a white fluid obtained from the rubber tree. It contains small particles of rubber
dispersed in an aqueous medium. The aqueous medium also contains plant proteins which
are thought to be responsible for triggering the allergy.
Natural rubber
This includes all material made from or containing latex. Natural rubber is made by two
processes, the natural rubber latex process (NRL) and the dry natural rubber process (DNR)
A. DNR process
This involves compressing the rubber at a high temperature and pressure.
The plant proteins, responsible for the allergy, are denatured at these temperatures and
pressures and therefore purpose a lower risk than rubber made by the NRL process
B. NRL process
This involves the use of natural latex in a concentrated colloidal suspension. This type of
latex contains a much greater proportion of plant proteins than latex produced by the DNR
process. Most immediate type reactions result from exposure to NRL products.
OUR RUBBER PRODUCTS
1. STANDARD THAI RUBBER (STR)
HS code 4001.29
STR is type of rubber grade which are packaged in block, they are widely used in America
and Europe market. STR is subdivided into 6 categories :
STR5L and STR5CV60 wich are made from latex coagulate grades
STR10, STR10CV, STR20 and STR20CV which are made from unsmoked sheet (USS)
2. RIBBED SMOKED SHEET ( RSS )
HS code 4001.21
RSS They are mainly used in automobile tyre manufacturing.
RSS is subdivided into five grades namely RSS1, RSS2, RSS3, RSS4, RSS5
3. NATURAL RUBBER LATEX
HS code 4001.10
Latex is used as raw matterial in the industry of Rubber Gloves, Condom, Balloon, etc.
Latex is subdivided into 2 mainly grades:
1. Low Ammonia (LA) with maximum 0.29% Ammonia added
2. High Ammonia (HA) with minimum 0.60% Ammonia added
4. AIR DRIED SHEET (ADS)
HS code 4001.29
This product looks like RSS (Ribbed Smoked Sheet), but it is more transparent than RSS
because it is processed in smokeless room. It is widely used in Colored Rubber Products.
5. SKIM BLOCK
HS code 4001.29
Skim Block is the by-product from the latex production
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Financial Evaluation of the Rubber Industry By Nantharat Namburee The Rubber Industry has continuously provided a high income for Thailand. Both the value of production and export have increased. |
The samples used in this Financial Evaluation study were 106 business organizations which
were involved with producing and selling the RSS, ADS, TSR, Crape, Skim block and
concentrate latex.
It was found that the average financial standard ratio was 0.92 of the Current Ratio, 0.52 of
the Quick Ratio, 11.99 of the Receivable Turnover Ratio, 10.46 of the Inventory Turnover
Ratio, 4.32 of the Debts to Equity, 0.81 of the Debts to Total Assets, 0.70 of Long-term
Debts of Equity, 2.02 of Time Interests Earned, 9.78 percent of the Gross Profit Margin,
4.29 percent of the Operation Profit Margin, 19.86 percent of the Return Equity, and 4.00
percent of the Return on Investment.
With regard to the average Return on Investment of the Rubber industry , the time in which
the investment was return was 51 months and 16 days. The Average Rate of Return was
16.07 percent. Net present value was 10,917,544.48 baht. Benefit Cost Ratio was 1.21
time of total benefit. The Internal Rate of Return was 18.63 percent. When comparing the
size of business organizations, it was found that a big business organization was the most
profitable, followed by the medium and small business.
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