🌱 Sri Lanka Rubber Industry Tracker

Production • Farm Gate Prices • Global Prices • Exports • Rubber Products • Climate • Industry Intelligence
Updated: September 2026
LANKABIZ RUBBER INDUSTRY INDEX
68
CAUTIOUSLY POSITIVE
CURRENT INDUSTRY SIGNAL
Sri Lanka’s rubber industry is showing a two-speed recovery. Domestic natural-rubber production remains under pressure, while rubber and rubber-based product exports continue to expand. The strongest area is value-added manufacturing, particularly tyres, gloves and industrial rubber products.
NATURAL RUBBER PRODUCTION
26,641 MT
Jan–May 2026 • provisional
RUBBER EXPORT EARNINGS
US$579.55m
↑ 4.92% YoY • Jan–Jul
JULY EXPORT EARNINGS
US$87.24m
↑ 3.17% YoY
RSS 1 FARM GATE
Rs.779/kg
May 2026
Production Monitor
Indicator 2025 2026 Latest Trend
Natural Rubber Production 66,492 MT 26,641 MT* YTD
Jan–Mar Production 19.1m kg 16.2m kg ↓ 15.2%
2025 Average Yield 1,192 kg/ha — Monitoring
2025 Smallholder Cost Rs.419/kg — Benchmark
*2026 production is provisional and may change as monthly cess-income data is incorporated.
Farm Gate Rubber Price Monitor
Grade Jan 2026 Apr 2026 May 2026 Jan → May
RSS 1 Rs.687.11 Rs.723.20 Rs.779.00 +13.4%
RSS 2 Rs.640.15 Rs.705.63 Rs.758.00 +18.4%
RSS 3 Rs.632.83 Rs.689.95 Rs.755.18 +19.3%
Latex Rs.639.77 Rs.619.71 Rs.643.31 +0.6%
Scrap Rs.315.67 Rs.364.48 Rs.387.84 +22.9%
International Rubber Price Monitor
Kottayam RSS 4 — May 2026 Rs.889.23/kg
Bangkok RSS 3 — May 2026 Rs.977.24/kg
International reference prices reported by the Rubber Development Department.
Rubber & Rubber-Based Products — Export Performance
Indicator 2026 YoY Change Signal
Jan–Jul Export Earnings US$579.55m +4.92% Positive
July Export Earnings US$87.24m +3.17% Positive
June Export Earnings US$87.61m +7.14% Strong
Jan–May RDD Export Earnings US$405m — Official RDD
Export Product Structure — Jan–May 2026
Finished Rubber Products 24,742 MT
Natural Rubber 4,236 MT
Semi-Processed Rubber 3,696 MT
Total rubber export quantity: 32,674 MT. Finished products represented approximately 75.7% of exported tonnage during Jan–May 2026.
Value-Added Manufacturing Signals
🛞 Tyres & Tubes Jan–Jul export earnings supported by Pneumatic and Retreaded Rubber Tyres & Tubes, which grew 4.11% YoY.
🧤 Industrial & Surgical Gloves Export earnings increased 3.32% during Jan–Jul, while July alone recorded 19.01% growth.
⚙️ Hard Rubber Products Gaskets, washers, seals and other hard rubber products recorded particularly strong June growth.
Rubber Trade Monitor
Indicator Jan–May 2026 Assessment
Rubber Exports US$405m Strong
Rubber Imports US$155m Significant input demand
Indicative Export Surplus US$250m Positive
Industry Risk Monitor
Risk Level Direction Why It Matters
Domestic Production HIGH ↑ Jan–Mar production fell 15.2% YoY.
Climate / Rainfall MEDIUM–HIGH ↑ Weather directly affects tapping and yield.
Global Rubber Prices MEDIUM ↓ Higher global reference prices are supportive.
Export Demand LOW ↓ Rubber product exports continue to grow.
Input Dependence MEDIUM → Sri Lanka imports substantial quantities of natural and synthetic rubber.
AI Rubber Industry Outlook

Production: The upstream plantation sector remains the industry’s principal weakness. Jan–Mar 2026 natural-rubber production was 16.2m kg, down 15.2% YoY.

Prices: Farm-gate RSS prices strengthened significantly during the first five months of 2026, supporting smallholder economics.

Exports: The downstream sector is outperforming the upstream sector. Rubber and rubber-based exports reached US$579.55m during Jan–Jul, up 4.92% YoY.

Value Addition: Finished products account for the majority of rubber export tonnage in the latest RDD data. This is a major structural advantage for Sri Lanka.

Investment Thesis: The strongest part of Sri Lanka’s rubber story is increasingly manufacturing rather than raw rubber production. Companies exposed to tyres, gloves, industrial rubber products and specialised manufacturing may therefore have a different risk profile from plantation-focused businesses.

Data Sources & Methodology
Rubber Development Department (RDD): production, farm-gate prices, international prices, rubber imports and exports.

Rubber Research Institute of Sri Lanka (RRISL): auction price information.

Sri Lanka Export Development Board (EDB): rubber and rubber-based product export earnings and product-level performance.

Central Bank of Sri Lanka: production, price and external-sector indicators.

Figures marked provisional may subsequently be revised.