It is quite understandable that when the Auto industry faces a slowdown, the quantities and the byproducts related with the industry will also feel the same slowdown in the market. The same thing happened with the tyre sales.
Reports in The Economic Times that the Rubber Board will focus its promotion activities on consumption by the non-tyre sectors as offtake has dropped over 5 percent in the last six months.
According to the report, usually, this sector absorbs almost a third of production. Lacking the financial strength of tyre companies, the 4,000-plus units in the non-tyre sector are vulnerable to the changes in rubber prices and duties.
The report stated that as part of efforts to promote the sector, Rubber Board is taking an initiative to set up a product testing laboratory in Chennai. Rubber Board is hoping to get funds for the laboratory next fiscal, it was mentioned.
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