# Natural rubber: Extraction

The smuggled seeds that moved an industry to Asia

Source page: https://www.materialinsights.org/commodities/rubber/extraction/

What this tab covers How it is mined, drilled or grown, and processed into a tradeable form: the main methods compared, their unit economics, by-products, and the companies that do this work globally and in India.

Natural rubber comes from Hevea brasiliensis, a tree native to the Amazon. Conway recounts how Henry Wickham smuggled seeds to Kew in 1876, seeding plantations in British Asia that soon overtook Brazil. Trees grow for several years before tapping and are then tapped for decades. Tappers cut a thin slice of bark early in the morning and collect latex in cups. Latex is coagulated into sheets or lumps, then milled into technically specified blocks such as TSR20, or concentrated for gloves. Smallholders supply most output.

Natural rubber comes only from tapping the Hevea tree, so supply depends on how many trees are in tapping age and how often farmers tap them. Most rubber is grown by smallholders in Thailand, Indonesia, Vietnam, India and, increasingly, West Africa. Farmers tap less when prices are low or rains are heavy, so output responds to price within months, but planting decisions take seven years or more to show up. The latex then goes down one of three routes: block rubber (TSR) for tyres, ribbed smoked sheets (RSS) for tyres and premium goods, or latex concentrate for gloves and foam. Yields range from about 0.7 t/ha in Indonesia to 2.3 t/ha in India (FAOSTAT 2024).

#### Methods compared

| Method | Share of supply | Typical scale | Recovery / efficiency | By-products | Unit cost |
|---|---|---|---|---|---|
| **Smallholder tapping for block rubber, Thailand and Indonesia** | Thailand 32.3% and Indonesia 15.3% of world output in 2024 (FAOSTAT) | Thailand 3.60 Mha and 4.79 Mt; Indonesia 3.15 Mha and 2.26 Mt (FAOSTAT 2024) | yield 1,332 kg/ha in Thailand and 718 kg/ha in Indonesia (FAOSTAT 2024) | rubberwood from old trees for furniture and panels | n/a |
| **Estate and state-farm plantations, Vietnam, China and Malaysia** | Vietnam 9.0% and China 5.9% of world output in 2024 (FAOSTAT) | Vietnam 0.73 Mha and 1.33 Mt; China 0.75 Mha and 0.88 Mt (FAOSTAT 2024) | yield 1,807 kg/ha in Vietnam and 1,175 kg/ha in China (FAOSTAT 2024) | rubberwood | n/a |
| **West African expansion, Cote d'Ivoire** | 11.4% of world output in 2024 (FAOSTAT); 17.7% of world export value in 2024 (UN Comtrade); 19% of EU sourcing (EU CRM 2023) | national output about 1.7 Mt (11.4% of 14.83 Mt, FAOSTAT 2024) | n/a | rubberwood | n/a |
| **Indian smallholders making sheet rubber, Kerala** | India 5.9% of world output in 2024 (FAOSTAT); 8.75 lakh t in 2024-25 (Rubber Board via Lok Sabha) | 0.38 Mha harvested (FAOSTAT 2024); 150,915 ha planted so far under the North East project with a 200,000 ha target (Lok Sabha, Aug 2025) | yield 2,281 kg/ha (FAOSTAT 2024) | rubberwood | domestic sheet rubber about Rs 210-220/kg against about Rs 200/kg for imports in early 2025 (Rubber World, Jan 2025) |

#### How each method works
**Smallholder tapping for block rubber, Thailand and Indonesia**

Families tap a few hectares each, sell cup lumps or field latex to dealers and crumb factories, which make TSR 20 blocks for tyre makers. Ageing trees and low prices in the 2010s slowed replanting. Thai state agencies run central rubber markets.

Low-cost and flexible, but quality varies and supply depends on millions of farmers' tapping decisions.
 FAOSTAT 2024 **Estate and state-farm plantations, Vietnam, China and Malaysia**

Large estates and state farms tap on a schedule with hired tappers and process on site. China's farms in Hainan and Yunnan grow rubber for strategic reasons. In Malaysia many estates switched to oil palm, and output fell from 1.53 Mt (1980) to 0.39 Mt (2024).

More consistent quality, but higher labour cost; China's plantations sit at the climatic edge of the crop.
 FAOSTAT 1980-2024 **West African expansion, Cote d'Ivoire**

Smallholders and agro-industrial companies have planted rubber since the 1990s and 2000s, selling cup lumps to local factories that export TSR. Cote d'Ivoire is now the third-largest producer and a key supplier to Europe.

Fastest-growing supply source, but new EU deforestation rules require plot-level traceability.
 FAOSTAT 2024; UN Comtrade 2024; EU CRM study 2023 **Indian smallholders making sheet rubber, Kerala**

About 13 lakh growers, mostly in Kerala, tap small holdings and roll latex into sheets that are smoked into RSS 4, the Indian benchmark grade. The Rubber Board, under the Ministry of Commerce, gives replanting subsidies and an ATMA-funded project is planting in the North East.

High yields per tapped hectare, but holdings are small and output covers only about 62% of national use.
 FAOSTAT 2024; Lok Sabha Unstarred Q 2649, 5 Aug 2025; India Sea Trade News, Feb 2024; Rubber World, Jan 2025 Unit economics are indicative ranges from the sources named; costs vary widely by deposit, region and year.

#### Who does it: global

| Company | Country | Activity | Volume | Year | Source |
|---|---|---|---|---|---|
| **Sri Trang Agro-Industry** volume not available | Thailand | largest integrated natural rubber processor (TSR, RSS, latex) and glove maker | not published | n/a |  |
| **Halcyon Agri (Corrie MacColl)** volume not available | Singapore (owned by Hainan Rubber Group) | processor and merchant with factories in Asia and Africa | not published | n/a |  |
| **Hainan Rubber Group** volume not available | China | state-owned plantation and processing group | not published | n/a |  |
| **Michelin** natural rubber purchase volume not published | France | tyre maker; one of the largest natural rubber buyers | not published | n/a |  |
| **Bridgestone** natural rubber purchase volume not published | Japan | tyre maker with its own plantations; one of the largest buyers | not published | n/a |  |
| **Goodyear** natural rubber purchase volume not published | US | tyre maker; large buyer | not published | n/a |  |

#### Who does it: India

| Company | Country | Activity | Volume | Year | Source |
|---|---|---|---|---|---|
| **Rubber Board** | India | statutory body under the Ministry of Commerce (Kottayam): statistics, prices, planting subsidies | 8.75 lakh t national NR production | 2024-25 | [Lok Sabha Unstarred Question 2649, 5 Aug 2025](https://eparlib.sansad.in/bitstream/123456789/2994395/1/AU2649_SW0uyn.pdf) |
| **MRF** volume not available | India | largest Indian tyre maker; large natural rubber buyer | not published | n/a |  |
| **Apollo Tyres** volume not available | India | tyre maker with plants in India and Europe | not published | n/a |  |
| **CEAT** volume not available | India | tyre maker | not published | n/a |  |
| **JK Tyre & Industries** volume not available | India | tyre maker | not published | n/a |  |

India is the sixth-largest producer and second-largest consumer of natural rubber. It produced 8.75 lakh t against consumption of 14.10 lakh t in 2024-25, and 9.05 lakh t against 14.27 lakh t in 2025-26 (Rubber Board via Lok Sabha and UNI, Oct 2026). Imports were 578 kt worth $1.05 billion in 2024 (UN Comtrade), carrying a duty of 25% or Rs 30/kg, whichever is higher.

## Other sections

- [Summary](https://www.materialinsights.org/commodities/rubber/index.md)
- [Overview](https://www.materialinsights.org/commodities/rubber/overview/index.md)
- [Correlation](https://www.materialinsights.org/commodities/rubber/correlation/index.md)
- [Production](https://www.materialinsights.org/commodities/rubber/production/index.md)
- [Stocks](https://www.materialinsights.org/commodities/rubber/stocks/index.md)
- [Cycles](https://www.materialinsights.org/commodities/rubber/cycles/index.md)
- [Trading](https://www.materialinsights.org/commodities/rubber/trading/index.md)
- [Movement](https://www.materialinsights.org/commodities/rubber/movement/index.md)
- [Criticality](https://www.materialinsights.org/commodities/rubber/criticality/index.md)
- [Characteristics](https://www.materialinsights.org/commodities/rubber/characteristics/index.md)
- [Emissions](https://www.materialinsights.org/commodities/rubber/emissions/index.md)
- [Relationships](https://www.materialinsights.org/commodities/rubber/links/index.md)